ESA and Personal Independence Payments

Penny Mordaunt Excerpts

Wednesday 30th November 2016 Westminster Hall

[The Minister for Disabled People, Health and Work (Penny Mordaunt)]

I congratulate the hon. Member for Lanark and Hamilton East (Angela Crawley) on securing this debate and all hon. Members who have contributed to it.

These are important services and they are at the heart of our nation’s values and its interests. Of the 2.5 million people claiming incapacity benefits, 1.3 million also claim PIP or DLA. A further million claim PIP or DLA, but not incapacity benefits. Many of these people will also access other support and state services, as well as support provided by partner organisations.

What we do is vital, not only to enable someone to meet their living costs and endure, but to support their ambitions. We have that dual responsibility. In addition, I am very conscious, because of the combined areas that I look after, that I have the largest budget of any Minister in any Government Department. That is a huge responsibility to the general public, who fund it, and to those whom these services are designed to help. It is a responsibility that I take very seriously indeed.

PIP and ESA are entirely different benefits, designed for different purposes, and each has its own legal criteria. ESA provides support to those who face barriers to work and looks at what work a person can do, rather than focusing on what they cannot do. Unlike ESA, PIP is non-means-tested and available to disabled people regardless of their employment status. PIP provides a contribution towards the extra personal costs arising from their disability or health condition and can be paid on top of other benefits.

The PIP assessment is designed to treat all health conditions and impairments fairly, and the assessment criteria take into account the impact of all impairments, including mental health, on an individual’s ability to carry out a broad range of everyday activities. That breadth is one of the benefits of the new system in comparison with what went before, and I thank my hon. Friend the Member for North Swindon (Justin Tomlinson), who outlined some other improvements that the system makes.

The title of this debate refers to two benefits, but understandably much of the debate has focused on people, and quite rightly so, as the hon. Member for Airdrie and Shotts (Neil Gray) said. In developing our policy and delivering our services, we need to remember that it is not just about those who have been featured in today’s debate. It is also about those who have not been featured and who rarely get a mention: those who are not on benefits and are not yet in crisis, but are financially fragile; those in ill health; those with multiple caring responsibilities who do not qualify for carer’s allowance; and those who, despite hardship, do not for a variety of reasons access the benefit support available to them. Our concern and our support should stretch beyond the reach of our benefits. What we take forward from the Green Paper and all we do in the interim must have help for those people in mind.

ESA and PIP are massive systems, and both have rightly undergone, and will continue to undergo, continual improvements. Contrary to what the shadow Minister said, we have made many changes. Recent changes include the announcement that we will stop ESA reassessments for those with severe health conditions and disabilities. In designing the changes, I have asked that we plan ahead and see whether we could have permission to share information with local government. That could enable local authorities to stop requiring those very same people to fill in forms for locally administered schemes. In his speech, the hon. Member for Strangford (Jim Shannon) outlined some of the potential benefits of doing that when he mentioned social care and other services.

With ESA, we now have clinical data to hold contractors to account. I pay tribute to the DWP’s chief medical officer and her team for the work they have done on that and on data sharing. We have trialled greater flexibility on the time given to the early stages of an application process to ensure that all the health information is available to the assessor. That is the best way to cut down on incorrect decisions being made at that early stage.

[Debbie Abrahams]

Will the Minister give way?

[Penny Mordaunt]

If the shadow Minister will forgive me, I will make some progress.

We are rolling out that trial. The past presence test will no longer apply to claims for DLA, PIP, attendance allowance and carer’s allowance with regard to refugees, people with humanitarian protection status and their families. We are extending hardship payments. The ESA appeals process has been reformed, with mandatory reconsideration clearance times down from 35 days to nine. The number of weeks and the percentage of case load having to go to appeal to get the right decision are both reducing. Huge strides have been made in identifying hidden impairments, including through training of staff.

The hon. Member for Lanark and Hamilton East spoke at length about the factors of appearance. Many people might look perfectly together and presentable but have deeply hidden issues. We have done a huge amount in training staff to recognise that, and more is planned. The Secretary of State has announced his focus on the use of sanctions with those with mental health conditions, and the Green Paper gives us the possibility of major reform to different parts of the system in unison. In that consultation, we want to examine how we might simplify and improve the assessment process and how we can use information better to effectively support people, such as sharing data—with claimant consent—with support organisations and other state services. The reform of the work capability assessment—which we have not been able to do to date because it requires primary legislation—is a focus of the Green Paper. We could separate out decisions on entitlement to employment support and entitlement to financial support.

[Neil Gray]

Will the Minister give way?

[Penny Mordaunt]

I will just make a little progress, because I have some announcements to make.

The Green Paper also looks at statutory sick pay and other issues that would have benefited people such as Donna—if I have understood her situation—by enabling a phased return to work, which is obviously what people need. Rather than having someone continually jump through hoops, we want that support to be wrapped around the individual, whatever situation they have been landed in. Not only does that support need to be exactly what they need, when they need it and personalised—whether it is delivered by a jobcentre, a GP practice nurse or another—but their experience of the whole system has to be what they need, when they need it. Having to wait for an assessment to be carried out before someone can have a conversation about their situation and hopes is not smart. We need a joined-up, common-sense approach in all we do. We should not just start thinking about what assistive technology or equipment someone might need when they hit the employment market. We need to think about that when they are at school or college and receiving careers advice.

[Carol Monaghan (Glasgow North West) (SNP)]

Will the Minister give way?

[Penny Mordaunt]

Forgive me, but I will make some progress.

That kind of quality support can be reached only through stellar local working. That is why the Green Paper consultation is more than an information-gathering exercise; it is a call to arms. We have to build new commitments and shared outcomes locally. I urge all Members to help us in the consultation process and to come along to the drop-in event in the House on Monday between 3 o’clock and 5 o’clock. It will offer information specific to Members’ constituencies, guidance on how to run an event or get involved in one, as well as bringing partners together to respond to the consultation and thinking about what needs to be done in the local area. During the consultation process, we will continue to develop those networks, facilitated by the flexible support fund, and also busting some of the myths about what local services we will commission to support those on benefits.

I briefly turn to Motability, which the hon. Members for Ayr, Carrick and Cumnock (Corri Wilson) and for North Ayrshire and Arran (Patricia Gibson) particularly focused on. Members will know that a scheme has been set out—I am very grateful to Motability for doing that—to try to help with the transition from DLA to PIP. It is a challenging time for individuals. That scheme is the £175 million package that Members will be familiar with, which enables individuals to keep their car for seven weeks, allows them to buy back their old vehicle and offers a one-off payment of £2,000 to help to meet their continuing Motability needs. Motability is also helping to pay for new adaptions to non-scheme cars, with insurance thrown in. We are aware of how difficult it is—despite that mitigation and the other sources of transport subsidy that might be available—for an individual to be told that they will lose their vehicle with only a few weeks to make alternative arrangements.

There are other problems too. I want to outline one that is of particular concern to me. It relates to people leaving the country for extended periods longer than 13 weeks. That is a problem for students, but it is also a problem for someone who might want to take up a career opportunity, a sabbatical or other opportunities that require travel. Our systems must be able to support someone following their dreams and ambitions. They must enable a person to thrive, so this situation should not be left to stand. We have been discussing with relevant Departments ways to enable PIP claimants to keep their vehicle pending appeal, and we are exploring options to allow those who are not in receipt of the higher Motability component to have access to the Motability scheme. I am also exploring how claimants who are out of the country for extended periods can be better supported. We have a plan and the Treasury’s blessing. This week I have written to Motability to ask for its help in delivering that plan. I anticipate that the plan will require some changes to its processes, but I know that it will do all it can to help us in this matter, as it has in the past. We have a remarkable and unique partnership with Motability, and I hope in my tenure to maximise that.

I have spoken at length about the work-related activity group. Time is short but, briefly, we are looking at a range of measures to help to ensure that someone’s experience of these systems—that is fundamentally the heart of what Members have been discussing today—can be improved and that we are aware of all the issues. That includes looking at developing service user panels to create a real-time reporting mechanism on people’s experiences. We can use those panels to design our benefits systems. There are a raft of other measures that I do not have time to outline today, but they will help us to do that. I will bring forward measures shortly.

The final thing I will do before I hand over to the hon. Member for Lanark and Hamilton East is reassure her that I will be there to assist when devolution transitions further powers to Holyrood. I am already talking to her colleagues there about how we can get the best outcomes for the issues she mentioned. Again, this comes down to all Members of this House—whichever part of the country we represent and whatever our political hue—working together to get the best outcomes in the systems. I hope that all Members will come to the drop-in session next Monday.

[Nadine Dorries (in the Chair)]

Six seconds.