Northern Ireland (Welfare Reform) Bill

Sammy Wilson Excerpts

Monday 23rd November 2015 Commons Chamber

[Mark Durkan]

It is a pleasure to be here under your chairmanship, Sir Alan, even if it is not a pleasure to be dealing with this sort of fast-track, microwave legislation. It is unfortunate that, under the terms of the allocation of time motion, although my hon. Friends the Members for Belfast South (Dr McDonnell) and for South Down (Ms Ritchie) and I have been able to table these amendment and will be able to speak to them, we will not be able to vote on them. We tabled amendments 1, 2 and 3 and new clause 1 in this group and another amendment that will be discussed along with clause 3 stand part in a later group. I will stay off that for now.

The Second Reading debate went a lot wider than the content of the Bill. In Committee, we will look at the Bill as we debate the clauses and amendments. I will introduce our amendments by following up on what we said on Second Reading. Our amendments would create a different delineation and more definition in respect of what functions will be exercised, following the legislative consent motion and the passage of the Bill, by the Secretary of State and what functions will remain to be exercised by a devolved Minister working through the devolved Assembly. For us, that seems to be a more sensible way to do things.

Our amendments relate to issues that Members of this House from different parties in Northern Ireland and, indeed, from beyond Northern Ireland have expressed concerns about and that a wide range of people in the Northern Ireland Assembly have expressed concerns about. Therefore, we do not think it would do any injury to the course that the Secretary of State says will be open after the passage of the Bill or to the path forward on welfare reform that the DUP has talked about for these amendment to be considered.

We are told that it is entirely compatible for the same powers to be held concurrently in the Assembly and in Westminster. It must be equally compatible if we make sure that there is agreement and understanding about who will take the lead in respect of each particular function, given the sensitivities and issues involved. If the powers that are taken by the Secretary of State are about satisfying the requirements of the Treasury and others in respect of levying fines and penalties and controlling the rules and rates for benefits, some of the other matters, such as the flexibility of administration and sanctions, could safely and properly be left with the devolved Assembly and the devolved Minister. That is the purpose of amendments 1, 2 and 3. I will address new clause 1 separately.

Amendment 1 would provide some exceptions to the powers that will come to the Secretary of State. Clause 1(3) provides a sweeping range of powers for the Secretary of State in respect of Orders in Council or subsequent regulations, and the amendment would introduce a new subsection to qualify those powers. Amendment 2 would restrict the exercise of powers that would come to the Secretary of State, so that direct rule powers could not be used to

“prescribe a period of more than 3 days for which a universal credit claim does not arise”—

again, that picks up on an issue that has been voiced by many people, not just those in Northern Ireland but people coping with benefits in Britain.

Under amendment 2, the Secretary of State would not have power to

“provide for any sanction period of more than 26 weeks”,

or to amend housing benefit under the Social Security Contributions and Benefits (Northern Ireland) Act 1992. The Secretary of State would also not be allowed to

“provide for a benefit cap”,

and as the Minister told us when winding up the Second Reading debate, changes to the lower rate of the benefit cap under the current Welfare Reform and Work Bill will come in a subsequent Order in Council following this Bill. Many hon. Members—including DUP Members —expressed concern about the lowering of that benefit cap and voted to amend or oppose it, so I would have thought it entirely consistent for them to support an amendment to limit the power of the Secretary of State in that regard.

[Sammy Wilson]

The hon. Gentleman has gone through a list of the changes he wishes to see. His colleague, the hon. Member for Belfast South (Dr McDonnell), said that he believes that these changes will be cost-neutral. Will he explain which of his amendments will cost money to the Executive, and which will bring more money in so that they balance out?

[Mark Durkan]

In response to my hon. Friend the Member for South Down, I said that some of these amendments are cost-neutral. That was what the Minister told us at the time, and some of those points can be repeated for this exception. The Minister in the Assembly said that some of these proposals were cost-neutral. However, some of them will not be cost-neutral, and I make no pretence in that regard.

Proposed new subsection 3A would deny the Secretary of State the right to

“make any limit on the number of children for which any child benefit, child tax credit or child element of universal credit can be claimed”.

Many people have opposed the two-child rule, and the amendment would mean that we do not hand that rule to the Tory Secretary of State when many of us are opposed to it.