Women’s State Pension Age: Ombudsman Report

Richard Burgon Excerpts

Thursday 16th May 2024 Commons Chamber

[Duncan Baker (North Norfolk) (Con)]

It is a great honour to follow the right hon. Member for East Ham (Sir Stephen Timms), who has encyclopaedic knowledge of this subject. I am grateful to him for his speech.

It is no surprise that I want to speak in today’s debate, as I represent the oldest cohort of constituents in the entire country. In North Norfolk, there are somewhere in the region of 5,000 WASPI women who have been impacted by this issue, and not a week goes by without my receiving correspondence from women who have been affected terribly. I will come to the report’s findings in a moment, but I will first reflect on the real impact of this scandal and on what has happened to the women caught up in it. The problem with this place is that we often forget about the real people and the real suffering. We sometimes get very preoccupied with the political and financial problems in front of us and questioning why they happened in the first place, but that is somewhat secondary, because we must not forget about all the women who have really been affected. Across the country, thousands of women in our constituencies are affected.

[Richard Burgon (Leeds East) (Lab)]

The hon. Gentleman is making an important point about finding a resolution. It has been over 1,000 days since the ombudsman found the Government guilty of maladministration. We have heard the shocking figure that a WASPI woman dies every 13 minutes, which means that over 100,000 affected women have passed away since the ombudsman’s finding. I am sure the hon. Gentleman will agree that we need to work together to ensure that the Government get a move on in bringing forward compensation proposals before the summer recess. because people are passing away and time is of the essence.

[Duncan Baker]

I totally agree with the hon. Gentleman. It is now about speed, and I will come to that point later in my speech.

WASPI women have already suffered for years and years and, now this report has been published, we should learn from the other injustices we have seen, such as the Post Office scandal, that speed is of the essence. We need to come up with a remedy as quickly as possible.

Oral Answers to Questions

Richard Burgon Excerpts

Monday 13th May 2024 Commons Chamber

[Richard Burgon (Leeds East) (Lab)]

16. What steps his Department is taking to support pensioners with increases in the cost of living.

[Deidre Brock (Edinburgh North and Leith) (SNP)]

17. What recent assessment he has made of the adequacy of support for pensioners with increases in the cost of living.

[The Parliamentary Under-Secretary of State for Work and Pensions (Paul Maynard)]

The Government have provided total support of over £108 billion to help households and individuals with higher bills. As I just said, in addition, the basic state pension has gone up by 8.5% this year.

[Richard Burgon]

But a new poll today shows that two thirds of people think the Government should urgently pay fair compensation to all WASPI women, including many in east Leeds, who were hit by the change to the state pension age. It has been over six weeks since the Secretary of State got the parliamentary ombudsman’s final report, but nearly three years since the ombudsman said that the Department for Work and Pensions had committed maladministration through its failure to properly inform affected women of the state pension age changes. With a WASPI woman dying every 13 minutes, time is not on their side. When will the Government stop dragging their feet? To help ensure justice, will the Government allow MPs to vote on a compensation package before the summer?

[Paul Maynard]

The hon. Gentleman has heard the Secretary of State reply at great length to a number of questions on that subject today. As he said, we are looking carefully at the report and considering what is a very complex set of recommendations and proposals to make sure that we do the right thing.

Disability Benefits

Richard Burgon Excerpts

Tuesday 26th March 2024 Westminster Hall

[Richard Burgon (Leeds East) (Lab)]

I congratulate my hon. Friend the Member for Slough (Mr Dhesi) on securing this crucial debate. To boil the debate down to its essence, the situation that disabled people in our constituencies and across the country are facing can be summed up like this: too often, disabled people are scapegoated. Too often, they are treated like dirt. The social security system does not give disabled people the financial support that they not only deserve but so fundamentally need, and that needs to change. Benefits are simply too low.

As we have heard, last week the Work and Pensions Committee published its report considering benefit levels for working-age people and whether they are meeting the needs of claimants. We need to look very closely at three issues arising from that report. First, shortfalls in the support provided through health and disability benefits are found to have a negative physical and mental health impact on claimants, which could in turn affect their ability to work. Secondly, the Committee recommends that the DWP set out a new benchmark for benefits that actually considers living costs. Thirdly, it suggests using the methodology in the Joseph Rowntree Foundation and Trussell Trust essentials guarantee. Those charities estimate that, even after benefits are increased in April, universal credit will fall short of the money needed to survive by £30 each week.

In relation to the situation facing disabled people in our country, in our society, we need to look very closely at the breaches of the United Nations convention on the rights of persons with disabilities. During the hearing on 18 March, the UN Committee on the Rights of Persons with Disabilities accused the UK Government of demonising disabled people and treating them as “undeserving citizens” by preparing to fund tax cuts through slashing disability benefits.

[Ben Lake (Ceredigion) (PC)]

The hon. Gentleman is making an important point. I have a constituent who until 2016 was in receipt of disability living allowance. She was then told to apply for PIP and was rejected. She then went to tribunal and had the decision overturned, and her payment was increased on review. Now, however, in 2024, she has been told that she was never entitled to it and is being pursued by the Department for Work and Pensions for £49,000.

[Richard Burgon]

The hon. Member has eloquently set out an excellent example of how the system puts disabled people into an appalling situation, as we see in our constituency surgeries.

The United Nations special rapporteurs described the UK’s current policy and practice as

“a pervasive framework and rhetoric that devalues disabled people”,

which tells disabled people that they are “undeserving citizens” and makes them “feel like criminals”, particularly those who are trying to access the social security system. The committee members also cited examples of how the Government had continued to breach their obligations under the UN convention on the rights of people with disabilities, and pointed to a benefits system that traumatised claimants, leading to some even taking their own lives, increasing rates of institutionalisation, and a disproportionate number of disabled people who are now too poor to heat their homes or buy food.

A survey by the disability charity Euan’s Guide found that 50% of respondents in this country—one of the richest on Earth—were concerned about their energy bills, while 51% were worried about grocery bills. The Government reported in the autumn statement that there would be a consultation on a social tariff on energy, but that was quietly shelved. A social tariff would have helped financially vulnerable consumers and disabled people with higher energy usage. We need to go back to that.

We should all be shamed by the way that disabled people are treated in our country. A real change in direction is needed. We must move completely against the scapegoating and demonisation of disabled people that we see in much of the right-wing media. Disabled people deserve respect, support and a social security system that works for them. We need to move forward in a way that is inclusive, empathetic and supports everyone in our society. After all, we are all equal.

Women’s State Pension Age

Richard Burgon Excerpts

Monday 25th March 2024 Commons Chamber

[Mel Stride]

Given that the report was published as recently as last Thursday, it is a bit of a stretch to suggest that I should have come to this Dispatch Box with a fully formed set of proposals of the sort that the hon. Lady may wish for. I think that what her constituents and others want is a Government who look at the report very carefully, give great consideration to the complex issues involved and the report’s findings, and engage closely with Parliament, exactly as we did with the ombudsman.

[Richard Burgon (Leeds East) (Lab)]

The Government had to be dragged kicking and screaming to even acknowledge the injustice done to thousands of innocent postmasters. This, too, is an incredible injustice. Millions of women born in the 1950s have been betrayed. Some 3.5 million women have been affected; one dies every 13 minutes, and we have been in this Chamber for an hour. Some 28,000 people have signed the letter from the WASPI campaign to the Leader of the House asking for an urgent debate and series of votes on compensation options, including that proposed by the all-party parliamentary group on this issue. This injustice cannot carry on any longer.

The Secretary of State has sought to avoid answering the question of when a decision will be made. “In due course” is not good enough, and neither is “without undue delay”. When will it happen? When will we get a debate on the issue, and a vote on proper compensation packages?

[Mel Stride]

The hon. Gentleman has been here long enough to know that he should not ask me questions at the Dispatch Box about when debates may or may not occur; those matters are typically handled by the usual channels, including those in his party and mine. It is quite extraordinary that he should try to get me to set out a timetable for debates. Many of these things will be a matter for Parliament, rather than the Government. However, he is right to raise Horizon, and I am very proud of the fact that this Government have acted at speed on that, and brought forward legislation to make sure that people get the moneys and reparations that they deserve.

Disability Action Plan

Richard Burgon Excerpts

Monday 5th February 2024 Commons Chamber

[Mims Davies]

I wrote to counterparts in Northern Ireland again today, as I did to all devolved groups, and the hon. Gentleman is right about the challenges we have heard in the Chamber today, and I am happy to look at the extra support available for his community. As usual, he makes a pertinent point about ensuring that everybody has that warm home and that support. This is of course devolved in a slightly different way in his community, but I am happy to share the details with him.

[Richard Burgon (Leeds East) (Lab)]

The truth is that disabled people have been at the sharp end of this Government’s cruel policies: their austerity and their attacks on social security and public services. Disabled people are also among the hardest hit by the cost of living crisis, but this disability action plan fails to introduce the emergency measures demanded by disabled people to directly address the crisis, never mind the decade of attacks they have faced; isn’t that the case?

[Mims Davies]

I do not appreciate the characterisation—[Interruption.] Excuse me, the hon. Gentleman seems to be distracted. As I was saying, I do not understand his characterisation. There are 32 actions over the next 12 months in 14 different areas where we have listened and engaged with disabled people. We have heard what they want, and those actions are in parallel with our national disability strategy. His is exactly the kind of rhetoric—“The Government are against you and not supporting you”—that makes disabled people feel more isolated and concerned for their welfare. I want to say squarely to people listening today that we have an absolute focus on what we can do to make sure that disabled people’s daily lives are better and that there is support and help there for them. This is one of the pillars of support that this Government are absolutely committed to. When he reads the full plan, he will see that it will make disabled people’s daily lives better, and that is what this Government are determined to deliver.

Household Support Fund

Richard Burgon Excerpts

Wednesday 31st January 2024 Westminster Hall

[Ian Lavery (Wansbeck) (Lab)]

It is a pleasure to serve under your chairmanship, Mr Hosie. I congratulate my right hon. Friend the Member for East Ham (Sir Stephen Timms) on securing this extremely important debate.

We have to look at who is in most need with regard to the household support fund. These people are so desperate. What are they after? They are after food. It is 2024, and we have people pleading—begging—for food. The people in receipt of the support are people who are on the breadline, as other speakers have explained. It is a lifeline—it is a lifesaver. Why on earth the Government are considering not continuing the fund, or have possibly already made the decision not to continue it after the next month or so, is beyond me.

[Richard Burgon (Leeds East) (Lab)]

Is my hon. Friend, like me, seeing more and more people coming to his constituency advice sessions who are in desperate need, pushed into penury and really struggling to make ends meet? What they need now is certainty that the Government will say, “Do you know what? Yes, we’ll extend the household support fund and we’ll do it now.”

[Ian Lavery]

I totally agree. These people are after food; they are after soap powder; they are after sanitary products. Potentially, they are after heat, warmth and light. This is 2024, for goodness’ sake! We all understand it; we all have people in our constituency surgeries who are suffering greatly as a consequence of this.

As politicians, we all have decent lives and we are all very comfortable, but we see constituents who are in desperate need of help. They are not after luxuries; they just want to keep themselves clean and feed their kids. That is what the household support fund is for.

I place on the record my massive thanks to Northumberland Communities Together. It is led by Julie Leddy, who is getting into the community and has been able to speak to people. The people who need support the most are the hardest to reach. Julie and her team have been absolutely fantastic.

The household support fund needs to be funded adequately and needs to be renewed on a multi-year basis. We need to encourage non-digital applications. Most of all, we need to ensure that the fund continues in the best interests of the people who, sadly, we all see in our constituency offices on a regular basis, who have got absolutely nothing.

Oral Answers to Questions

Richard Burgon Excerpts

Monday 18th December 2023 Commons Chamber

[Mims Davies]

The Government are determined to ensure that all children, wherever they come from, have the best start in life. We are committed to supporting families and helping them into work. The full uprating, this year and last, is the signal.

[Richard Burgon (Leeds East) (Lab)]

14. What steps his Department is taking to help reduce the number of people experiencing destitution.

[The Secretary of State for Work and Pensions (Mel Stride)]

The Government are, of course, fully committed to protecting the most vulnerable, which is why we rolled out £104 billion in cost of living payments across the period from 2022 to 2025. It is why, as the Under-Secretary of State for Work and Pensions, my hon. Friend the Member for Mid Sussex (Mims Davies), has repeatedly stressed, we increased the rates for the LHA housing support, and why benefits increased by the full 6.7%.

[Richard Burgon]

It is absolutely heartbreaking that in the world’s sixth-richest country we now have 4 million people living in destitution. We know that disabled people are more likely to live in poverty, yet this winter disabled people will not be getting any additional help with the cost of living after the separate disability cost of living payment was quietly dropped. The cost of living for disabled people is still going up, so will the Secretary of State commit to reinstating the payment, and at a level that meets the extra living costs faced by disabled people?

Health and Social Care Levy (Repeal) Bill

Richard Burgon Excerpts

Committee stage
Tuesday 11th October 2022 Commons Chamber

[Steve Brine]

And corporation tax, as my hon. Friend says from a sedentary position. If we believe in prevention—and, as I say, I believe that those on the Front Bench do—we need to have the courage to act on that. That will mean doing unpopular things, but sometimes we have to do unpopular things to do the right things, and that means preventing some of the major killers and some of the major causes of ill health that I have mentioned. If we do not do that, the NHS will continue to cost unsustainable amounts of money and it will become unsustainable. There endeth the lesson of Dr Brine.

[Richard Burgon (Leeds East) (Lab)]

I want to focus my remarks on my new clause 2. I thank the 25 right hon. and hon. Members who added their signature to mine on the amendment paper, and I am pleased that it has support from Plaid Cymru, Alba, Labour, Green, and Social Democratic and Labour party MPs.

The Conservative party was wrong to introduce the health and social care levy, so it is right that it is being scrapped, but it is wrong that the Government are imposing a package of unfunded tax cuts, which have created financial panic and led to interest rates shooting up and millions of people fearing how they will keep their home. The package has created a Tory crisis made in Downing Street, but being paid for by working people.

As I say, I welcome the scrapping of the levy, but of course health and social care still need the extra funding that it would have raised. We only have to look at today’s news about how the number of social care workers has fallen for the first time in a decade to see just how broken our care system is, and rising waiting lists and soaring ambulance waiting times show that the NHS is in dire need of a funding boost. So my new clause 2 would require the Chancellor, in addition to scrapping the levy, to look at different taxes to raise the income that would have been raised by the levy. Specifically, it calls on the Chancellor to look into the iniquity of tax rates on wealth being lower than the taxes paid on income from work.

We are, I am afraid, one of the most unequal countries in Europe when it comes to income distribution, but it is even worse when we look at wealth. The richest 1% hold almost a quarter of UK wealth, so we need a full and wide debate in our country about wealth taxes. I have been calling for a wealth tax—for example, a one-off wealth tax of 10% on wealth over £5 million, which could raise £100 billion and provide an emergency wealth fund to help get us through this crisis—but today, with new clause 2, I want to concentrate not on the taxing of wealth itself, but on taxes on income deriving from wealth.

We have a scandalous situation in our society in which income derived from wealth is taxed below income derived from work. If someone is lucky enough to be able to live off share dividend payouts, they will pay less in tax than someone who earns exactly the same amount by getting up each and every day and going out to work. Likewise, capital gains tax, which is paid on profits when selling assets such as a second home, is paid at rates below income tax rates. How on earth can that ever be justified, and how can it be justified when the Government are plotting—without any democratic mandate, I would add—to cut benefits and public services across society?

In fact, there is huge potential for increasing tax revenues by simply ending the significant tax discounts that go to income from wealth over income from work. How much would be raised by doing this? Ending the lower rates paid on capital gains and share dividends, and removing the related exemptions on those taxes, would raise around £24 billion per year. That is a lot more—nearly double—than the amount from the national insurance tax hike on working people, which would have raised around £12 billion to £13 billion. The funds that my proposal would raise could be a big down payment on the investment that we need to ensure our social care system delivers for everyone, and it could make a big difference in addressing the crisis in our health service.

For those on the Conservative Benches who may be appalled by this idea or this moderate proposal, I want to point out that the former Chancellor—not the last one, but the one before, the right hon. Member for Richmond (Yorks) (Rishi Sunak)—commissioned a review of capital gains tax, and that review recommended slashing the annual allowance and aligning capital gains tax rates more closely with income tax, in a move that could raise billions of pounds for the Exchequer. On this, Margaret Thatcher, even, had an interesting view. Under Thatcher’s premiership, the same basic unfairness of lower taxes on capital gains was ended. It was back in 1988 that the then Chancellor, Nigel Lawson, said that

“there is little…difference between income and capital gains, and many people effectively have the option of choosing…which to receive. And…it is by no means clear why one should be taxed more heavily than the other.”—[Official Report, 15 March 1988; Vol. 129, c. 1005.]

Since then, wealthy people living a low-tax lifestyle have been benefiting from even lower capital gains rates than over 30 years ago, so something has gone wrong and it is now time to put that right. We need solutions to deal with this economic crisis in a socially just way, not through austerity, not through benefits cuts and not through public service cuts. Social justice means putting tax justice at the heart of our economy. We should start by ensuring that those who live off their wealth pay at least the same level of tax as those who live off their own work.

[John Redwood (Wokingham) (Con)]

I disagree with new clause 2 and new clause 1. I welcome very much the legislation. One of the objectionable features of the original proposal was hypothecation, because I do not think it is possible to identify a single tax that just happens to meet the costs of a particular service, let alone a tax that would then have revenue growth at the right pace to take care of the needs of that service. This one was particularly misleading. There was no way that the amount of tax to be levied got anywhere near paying the full costs of social care. It was misleading to make people feel that social care might be as cheap as this particular tax, although the tax itself was burdensome on all those who go to work.

There are still strong elements of hypothecation in new clause 2, which I would equally object to. Again, we should not mislead people into believing there is a simple, relatively low tax that takes care of a huge problem—social care. Indeed, when the Government compounded the difficulty by saying that in the first instance the tax would be mainly used for the health service, and by some magic that would drop away and it would go to social care, it all became incredible to me. That is why I did not like the idea in the first place. It is very good news that we are sorting it out.

The challenge of new clauses 1 and 2 is a perfectly fair one, and I think the answer is straightforward. Social care does need more money to go into it, and it will need progressively more. If we fund our social care better and expand it, it will release some of the pressures on the NHS. There are some people who could vacate a bed quite safely and get better social care if that were available, so this is worthwhile expenditure from that point of view as well. Above all, it is worthwhile expenditure because people deserve better care and better treatment and that should be funded out of general taxation.

The Government are right now to abolish the hypothecated specialist tax, to give up the idea that there is a single, relatively low tax that solves all the problems, and to accept that social care and NHS provision together is a major claim on the general taxation of the country. If the general taxation of the country does not reach total spending—it does not seem to at the moment—it is also a claim on borrowing.

On that last point, we should remember that for the previous two years the Office for Budget Responsibility grossly underestimated the revenues that came into our economy, and we borrowed considerably less than it was forecasting. It may not be so wildly wrong this year, when it looks perhaps as if its borrowing forecast is a bit on the low side, but we must remember that the way to pay for these services is to grow the revenue. That was what we were doing last year and the year before, and that is what we must do next year, to take care of the need to spend more on the NHS and social care.

Oral Answers to Questions

Richard Burgon Excerpts

Monday 21st March 2022 Commons Chamber

[Mims Davies]

Across Rotherham, our jobcentre teams are really helping to employ people and get those vacancies filled. I have been in jobcentres where people have quite often been unemployed for a very long time; the experience of being offered a job, there and then, changes their lives. We are working locally and nationally with employers on local recruitment days, jobs fairs and sector-based work academies, all as part of the commitment to get half a million claimants into work by the end of June.

[Richard Burgon (Leeds East) (Lab)]

18. What steps her Department is taking to support people with the increase in the cost of living.

[The Secretary of State for Work and Pensions (Dr Thérèse Coffey)]

The Government are providing support worth over £21 billion across this financial year and the next to help families with the cost of living. Through the Department for Work and Pensions, that includes cutting the universal credit taper rate and increasing work allowances.

[Richard Burgon]

Most benefits and the state pension will rise by just 3% in April, but inflation could be over 8%, so that is a real-terms cut of 5% for people who are already having to choose between eating and heating. Given that, how on earth does the Secretary of State think it acceptable to target the incomes of the poorest in our society like this? Will she commit today to action so that nobody’s benefits are cut during the deepest cost of living crisis in decades?

In-work Poverty

Richard Burgon Excerpts

Wednesday 16th March 2022 Westminster Hall

[Richard Burgon (Leeds East) (Lab)]

It is a great pleasure to serve under your chairship, Ms Rees. I congratulate my hon. Friend the Member for Easington (Grahame Morris) on securing this important debate. This debate takes place in the context of a sustained attack on the living standards of ordinary people in this country. Energy bills are rocketing. There are tax rises and real-terms pay cuts for millions of people, as well as cuts to universal credit, benefits and pensions. That does not happen in a vacuum; it comes after a decade of austerity, cuts to public services and the tightest squeeze on wages in 200 years. Experts warn that this could be the biggest drop in living standards in many decades.

What does that mean in reality? The daily reality of this crisis for families in my constituency of Leeds East and throughout the country is grim. How, in the fifth-biggest economy on Earth, can we have families who cannot turn the heating on? How, in the fifth-biggest economy on Earth, can we have a situation where parents are missing meals to make sure that their children can eat? How, in the fifth-biggest economy on Earth, do we have more food banks than branches of McDonald’s? I recently met staff at the Chapeltown Citizens Advice in Leeds; their data shows that already, more than one in seven people in my constituency cannot pay their energy bills without cutting back on essential spending.

At the same time, the richest are getting richer. While millions suffer, the millionaires are doing very well. British billionaires have increased their wealth by £290 million per day. The Government have been slashing the taxes of bankers and the gas and oil giants that make £900 profit every single second. Let us be clear: the right to be warm is more important than the right to make super-profits. It is a rigged economic system, which is failing ordinary people. It is a crisis made in Downing Street—let us not be scared to say that.

The Government are trying to shift the blame; they are trying to say that the cost of living crisis is due to the horrific war on Ukraine. It is not. The Government’s plan is to make working people pay the costs of the pandemic, just like they made ordinary people pay for the bankers’ crisis. Poverty is a political choice, and the Tories are choosing to push people into poverty through the cost of living crisis.

What do we do about it? We need an emergency plan to tackle the situation. I will make five suggestions. First, the Government must scrap the national insurance hike that is coming in next month and replace it with a wealth tax on the richest 1%. Secondly, we need a windfall tax on energy profits, to be immediately used to lower energy bills, and a huge home insulation programme to save people hundreds of pounds a year. Thirdly, we need a national minimum wage of £15 per hour. Fourthly, we need the restoration of the universal credit uplift, and its expansion to those who are denied it. We need to uplift benefits by the 8% that the Resolution Foundation and others are calling for to meet inflation pressures. Finally, we need to tackle child hunger, with free school meals for all schoolchildren—learning from what Labour is doing in power in Wales.

We cannot allow the Government to yet again force working people to pay for a crisis. They have made a political choice; our political choice is to fight back with a set of proposals that will make a real difference.