Oral Answers to Questions

Stephen Crabb Excerpts

Monday 11th July 2016 Commons Chamber

[Lucy Allan (Telford) (Con)]

20. What steps his Department is taking to improve the life chances of the most disadvantaged children and families.

[The Secretary of State for Work and Pensions (Stephen Crabb)]

The Government are committed to tackling disadvantage and extending opportunity so that everyone has the chance to realise their full potential. Our life chances approach will focus on tackling the root causes of poverty, such as worklessness, educational attainment and family stability.

[Sir David Amess]

While I welcome my right hon. Friend’s recognition that strong and stable families make an enormous impact on children’s life chances, will he spell out to the House precisely what his Department is doing to ensure that those relationships are fostered and strengthened, particularly in a coastal town such as Southend?

[Stephen Crabb]

My hon. Friend is exactly right: family stability is a really important part of our mission to tackle entrenched disadvantage. That is why we have doubled funding for relationship support to £70 million and are significantly expanding support for parents. In addition, through our local family offer, we are working with 12 local authorities, including his own in Essex, to learn how best to strengthen the support they offer to families.

[Oliver Colvile]

As my right hon. Friend might know, there is a 12-year difference in life expectancy between one side of my city of Plymouth and the other. What advice would he give to improve chances and life expectancy in Plymouth?

[Stephen Crabb]

My hon. Friend is right that such inequality is unacceptable in Britain today, and that is why our life chances approach includes a set of statutory and non-statutory indicators that will drive action to tackle the wide range of complex and deep-rooted factors that can trap people in poverty, damaging their health and preventing them from making the most of their lives.

[Lucy Allan]

I would like to thank the Prime Minister for his amazing work on the life chances strategy. I hope that every Member, on both sides of the House, will continue to pursue this aim.

The troubled families programme has been a huge success, but does the Secretary of State agree that it could more positively be labelled the “supported families” initiative?

[Stephen Crabb]

I agree very much with my hon. Friend’s point about the leadership role that my right hon. Friend the Prime Minister has played—it has been critical in driving this agenda forward—and I am delighted that the future Prime Minister also shares his commitment. My hon. Friend is also right about the troubled families programme. It is important that we stay positive about the changes and that we do not stigmatise any particular communities, families or households.

[Alison McGovern (Wirral South) (Lab)]

The Secretary of State has mentioned support for working parents several times, but those hit hardest by the Government’s cuts to in-work support for parents are single parents—those who least deserve it—so, on this issue and that of helping single parents, will he think again?

[Stephen Crabb]

I share the hon. Lady’s passion for helping single parents. The current statistics all demonstrate and underline that when lone parents are supported back into work, they can achieve remarkable things in bringing children in those households out of poverty. The trends are moving in the right direction. She should welcome initiatives such as universal credit and our support for childcare costs.

[Ms Margaret Ritchie (South Down) (SDLP)]

Does the Secretary of State agree that efforts to improve the life chances of disadvantaged children and families will be undermined by neglecting the importance of current income levels?

[Stephen Crabb]

I have always been very clear that income levels are important—a regular income is vital for families in difficult circumstances—but it is important that we look beyond that and, for the first time as a nation, start to tackle the underlying root causes of entrenched poverty.

[Debbie Abrahams (Oldham East and Saddleworth) (Lab)]

Last year, child poverty increased by 200,000 as a direct result of the Government’s tax and social security policies, with two thirds of these children living in working households, and it is estimated that by 2020 more than 3.6 million children will be living in poverty. There is overwhelming evidence that child poverty has a direct and negative impact on children’s social, emotional and cognitive outcomes and ultimately on their life expectancy. Given the catastrophic consequences of Government policy implemented on scant evidence, will the Secretary of State do the right thing and repeal the damaging effects of the Welfare Reform Act 2012 and the Welfare Reform and Work Act 2016, which threaten the life chances of these children?

[Stephen Crabb]

I welcome the hon. Lady to her new position on the Front Bench. Given her work in the Select Committee, I am sure she will do an excellent job in the shadow role.

The 200,000 figure that the hon. Lady mentioned exactly points to what was wrong with the previous relative income approach, which her previous Government took to tackling poverty. When real wages grow, poverty rates increase, despite people’s incomes not falling. It is much more important to tackle the underlying causes of poverty—worklessness, educational failure, family stability, problem debt and addictions.

[Chloe Smith (Norwich North) (Con)]

My right hon. Friend will know that Norwich is challenged by social mobility as per the social mobility index of earlier this year. Does he agree with me that it takes all parts of the community to come together to address these kind of problems, including the private sector and the third sector, and that constituency MPs can also play a key role in leading these things?

[Stephen Crabb]

I agree absolutely with my hon. Friend. The work she has championed in Norwich is a good example of local action, showing where local MPs can indeed be the champions. Much as we might want to talk about national levels of poverty and social mobility, it is much more important to understand what is going on at a local level and to drive local action with effective partnerships.

[Neil Coyle (Bermondsey and Old Southwark) (Lab)]

Many disadvantaged families have an older disabled relative, including 2,000 in my constituency who receive attendance allowance. The Government have said that they will scrap attendance allowance and pass funding to councils. When are the Government going to consult formally on those plans?

[Stephen Crabb]

The Government have not said that they are going to scrap attendance allowance. We are looking at options for devolving it to the local authority level, but we have been absolutely clear that this does not mean a cut to supporting attendance allowance. It is about looking at more effective ways of delivering it at the local level to achieve what it is intended to achieve.

[Mr Jim Cunningham (Coventry South) (Lab)]

2. What assessment he has made of the potential effect of the UK leaving the EU on British pensioners living overseas.

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[Michelle Thomson (Edinburgh West) (Ind)]

22. What assessment he has made of the potential effect of the outcome of the EU referendum on welfare spending.

[The Secretary of State for Work and Pensions (Stephen Crabb)]

The British people have voted to leave the European Union, and the referendum decision must be respected and delivered. My Department is working closely with the EU unit that has been set up in the Cabinet Office, and we will be working with the next Prime Minister and the rest of the Cabinet as we forge a new path for the country.

[Alan Brown]

The European Union has provided a number of legal protections involving equality and human rights for disabled people. Given the delay in the publication of the Green Paper on the Work and Health programme, what plans has the Department to protect those rights following Brexit?

[Stephen Crabb]

No one with a disability or a long-term health condition should have any fear whatsoever about what will happen in the coming months and years as we negotiate Britain’s exit from the European Union. We are absolutely committed to protecting rights for disabled people in this country, and the Green Paper, which we will publish in the autumn, will outline our proposals for reforming systems in order to give better support to people with disabilities and long-term health conditions.

[Patricia Gibson]

Last week the Under-Secretary of State for disabled people confirmed that the Green Paper and the long-promised Work and Health programme for disabled people remained a priority for the Government. In the light of the current uncertainty, will the Secretary of State give us an assurance and a clear commitment that sufficient funds for that support are ring-fenced and the programme is guaranteed?

[Stephen Crabb]

The money has already been announced by the Chancellor on successive occasions, and it is there, waiting to be used. When the hon. Lady reads the Green Paper, which we hope to publish later this year, she will see how we will use it to develop longer-term reform options to provide better support for people with disabilities and close the disability employment gap. I think there is cross-party support for that in the House.

[Owen Thompson]

Cuts in support for people who have been placed in the employment and support allowance work-related activity group from April 2017 will leave many sick and disabled people in the dark, and potentially without the protections provided by the European Union. Will the Secretary of State, unlike the Brexiteers, give us some assurance that the Government actually have a plan for the Green Paper to give back, so that those who are affected by these changes are accurately assessed and are recognised and valued by the state?

[Stephen Crabb]

I entirely agree with the hon. Gentleman about the need to recognise and protect people with these health conditions, and we are absolutely committed to doing that. I do not want to repeat the answer that I gave earlier, but we have money set aside, and we will publish the Green Paper later this year. It will set out clear reform options which I hope will command support from Members on both sides of the House, and also from disability organisations.

[Mr Speaker]

Michelle Thomson—not here.

[Mr David Nuttall (Bury North) (Con)]

Does my right hon. Friend agree that one of the most important policy developments is the fact that, once we have left the EU, decisions by his Department relating to eligibility for benefits will no longer be at risk of being overturned by the European Court of Justice?

[Stephen Crabb]

My hon. Friend is absolutely right: there will be that freedom in the future, but there are more options we can develop right now, even while we are still in the EU, for further ensuring that we have a fair benefits system that does not act as an unnatural draw for more migrants. We want people to come here, work and bring their talents, but we do not want the benefits system inflating those migration numbers.

[Debbie Abrahams (Oldham East and Saddleworth) (Lab)]

The impact of uncertainty on the economy following the Brexit vote is already being felt and ultimately will affect jobs, tax revenues and public spending. Before the referendum, the Government predicted that 500,000 jobs might be at risk, so what is the Secretary of State doing to protect these jobs and what is his estimate of the impact on social security spending?

[Stephen Crabb]

It is important that none of us talks up the risks and dangers to the economy. We need to be clear-sighted about the risks and challenges, but we should not be doing anything at the moment to talk down the British economy. The truth is that our economy is fundamentally strong: we have record numbers of people in work and, as we have seen from the announcement by Boeing today, continued investment in creating new jobs in our economy.

[Debbie Abrahams]

The lack of planning by this Government post-Brexit is complacency verging on neglect. The FTSE 250 has already lost 10% of its value since the referendum outcome and that will impact on pension funds. Given that 5,000 of the 6,000 defined benefit pension schemes are currently in deficit and that the pensions regulator has raised concerns of additional risks to these schemes following the Brexit decision, what is the Secretary of State doing to protect the pensions of the millions of people who will be affected?

[Stephen Crabb]

Nothing fundamentally has changed since the outcome of the referendum: the economy continues to perform well and, as I said, we need to be careful that we do not do our bit in talking down the economy at the moment. I agree with the hon. Lady that there is a very real systemic issue with DB pension schemes that we need to look at, and my Department will be discussing it further in the months ahead.

[Mr Peter Bone (Wellingborough) (Con)]

One thing that we do know has happened is the fall in the pound. That has resulted in making our exports much cheaper and imports more expensive. Employers have already said that that will lead to more business and jobs. Does the Minister agree that that would be helpful to him in reducing the number of unemployed?

[Stephen Crabb]

The truth is that right in front of us now, since the outcome of the referendum, we have a mixture of opportunities and challenges. It is incumbent upon us to turn those challenges into opportunities, and we are determined as a Government to do so. If the Opposition want to do their bit, they can stand up and not talk down the British economy at this time.

[Dr Eilidh Whiteford (Banff and Buchan) (SNP)]

Already during this Parliament the Government’s austerity cuts have taken more than £12 billion out of the pockets of low-income households, mostly through changes initiated by the DWP. With many economists predicting a further recession as a consequence of Brexit, and the pound now less stable than Bitcoin, will the Secretary of State assure me that he will not allow those on low and middle incomes to bear the brunt of further economic downturn?

[Stephen Crabb]

On previous occasions I have set out the broad approach I take to welfare reform. With regard to issues in Scotland, with which I know the hon. Lady is primarily concerned, she should be aware that I had a very constructive meeting last week with her colleague Angela Constance, the welfare Minister in the Scottish Parliament. We remain absolutely committed to giving the Scottish Government the new welfare powers agreed to in the Scotland Act 2016.

[Dr Whiteford]

In the past week, for the fourth year in a row, the Infrastructure and Projects Authority has given the roll-out of personal independence payments an “amber/red” rating, indicating that

“successful delivery of the project/programme is in doubt with major risks apparent in a number of key areas”

and adding that “urgent action” is needed to address the problems. What is the Secretary of State going to do to fix these problems, and how does he intend to protect his Department’s projects from the impending doom of a Cabinet full of Brexiteers?

[Stephen Crabb]

Any big project, whether it is the introduction of universal credit or the roll-out of PIP, carries substantial risks, and I think the IPA report recognised that fact. In the past four months, since I have been in the Department, I have been committed to driving through improvements to the PIP process. PIP still commands broad support across disability organisations, which recognise that it is a much better benefit than the old-style disability living allowance.

[Kerry McCarthy (Bristol East) (Lab)]

On the one hand, Lush cosmetics has just announced that it is going to move most of its production overseas, because it says that its workers do not feel welcome here, while on the other hand there are those in the food and farming sector, 38% of whose workforce comes from overseas, who are saying that they could go out of business because they will not be able to find people to employ. What is the Department doing to protect jobs in the south-west in the wake of the Brexit vote?

[Stephen Crabb]

The Department has clear plans in place for any significant increase in unemployment, whether in a particular local region or right across the UK. We have contingency plans for dealing with up-ticks in unemployment. However, we need to be really careful that we do not exaggerate the bad news that the hon. Lady might think is out there. There are opportunities for this country in terms of trade deals and of securing new investment, such as the investment from Boeing that was announced today. There are also serious risks and challenges, and we need to be clear-sighted and prepared for those.

[Dr James Davies (Vale of Clwyd) (Con)]

6. What progress his Department is making on reducing the number of workless households.

[The Secretary of State for Work and Pensions (Stephen Crabb)]

The number of workless households is now the lowest on record. Since 2010, it has fallen by more than 750,000.

[Dr Davies]

In Rhyl and district, the number of people requiring support through the Work programme for the long-term unemployed has dropped from 400 to 150 over the past 18 months. That is good news, but jobseeker’s allowance and employment and support allowance claimant rates in parts of Rhyl remain concerning, and the Work programme delivery company has recently closed its principal office in the town. Can the Minister assure me that the new Work and Health programme will take particular account of individuals who are less receptive to intervention and who need more intensive input?

[Stephen Crabb]

I absolutely agree with my hon. Friend. The new Work and Health programme is being designed precisely to help those people who face multiple and complex barriers to getting into work. Beyond that, our upcoming Green Paper will look at the additional ways in which we can reduce the disability employment gap in the longer term. Of course, GPs play a key role in supporting those people, and I look forward to meeting my hon. Friend and his GP colleagues to discuss these important issues further.

[Neil Gray (Airdrie and Shotts) (SNP)]

Given that the Work programmes have been cut by 87% and that the Secretary of State now knows who the next Prime Minister will be, will he confirm today that he will lobby her to increase the funding for the system that the Green Paper will produce? Will he also confirm the timetable for its roll-out?

[Stephen Crabb]

I am pleased to be able to tell the hon. Gentleman that the next Prime Minister of this country absolutely shares my passion and commitment to a one nation vision of our society, to breaking down barriers and disadvantage and to ending inequalities. We await the specific decisions that the new Prime Minister will take on the important issues we are discussing today.

[Heidi Allen (South Cambridgeshire) (Con)]

Building on the point about the significantly reduced amount of funding available for the Work and Health programme, what assurances will the Secretary of State be able to give us if, in the light of Brexit, we see a significant increase in the number of people looking for work generally? How on earth will a reduced programme be able to serve everybody?

[Stephen Crabb]

The important point to make to my hon. Friend is that the Work and Health programme is just one part of a wider package of initiatives that we are taking forward to close the disability employment gap and to provide better support for people with long-term health conditions. I shall not repeat what I said in response to earlier questions, but the Green Paper that we are publishing later this year will outline the full range of reform options that we are interested in taking forward.

[Shabana Mahmood (Birmingham, Ladywood) (Lab)]

7. What assessment his Department has made of the effect of recent changes to benefits on the number of children living in poverty.

[The Secretary of State for Work and Pensions (Stephen Crabb)]

We know that work is the best route out of poverty. The number of people in work is at a record high and the number of children living in a household where no one works has fallen by 450,000 since 2010.

[Shabana Mahmood]

My constituency has the third highest level of child poverty in the country, and 13,600 families currently receive tax credits, leaving them vulnerable to the Government’s cuts to universal credit. In his aborted bid for the Tory leadership, the Secretary of State said that he had a

“strong grasp of…the social and economic divisions in our country”.

If that is true, does he agree that cuts to universal credit will only compound the social and economic divisions in our country? Will he now commit to reversing those changes so that our children do not have to pay the price of his Government’s political choices?

[Stephen Crabb]

I absolutely stand by what I said. There was a massive expansion of tax credits under the previous Labour Government, but it did not do a single thing to tackle the underlying causes of poverty. Universal credit is just one part of what we are doing. There is the national living wage, which the Labour party used to support at one time, and the increase in personal allowances. We are in the business of transforming the landscape for people on low incomes. That is why the figures are moving in the right direction.

[Derek Twigg (Halton) (Lab)]

Whatever the recent changes to benefits, they do not seem to have dealt with the big issue of personal independence payments—PIP. I recently had to deal with a horrendous case in which an individual in my constituency should have received PIP, but did not and had to go through the appeal process. I wrote to the Minister and the Government just ignored it. What are the Government doing to ensure that people who should be in receipt of PIP get it early and are not left to wallow while waiting for a long time, as they have been recently?

[Stephen Crabb]

The Parliamentary Under-Secretary of State for Disabled People or I will be happy to meet the hon. Gentleman to discuss that specific case. As for the broader principles behind the question, we are improving the PIP process, speeding up applications, decisions and appeals. If the hon. Gentleman has specific concerns, I would be happy to meet him to discuss them further.

[Luke Hall (Thornbury and Yate) (Con)]

8. What steps he is taking to support people with disabilities and health conditions who are looking for work.

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[Richard Graham (Gloucester) (Con)]

T1. If he will make a statement on his departmental responsibilities.

[The Secretary of State for Work and Pensions (Stephen Crabb)]

On 6 July I appointed Paul Gray to lead a second independent review of PIP. A call for evidence has been published today, seeking evidence from individuals and organisations to inform the review. The review will consider how effectively further evidence is being used to assist the correct claim decision. It will also look at the speed and effectiveness of information gathering, as well as building on recommendations from the first review. I am today announcing the Department’s intention to conduct an evaluation of PIP, with initial findings to be published by early 2017.

[Richard Graham]

To help deliver our manifesto commitment of bringing a million people with disabilities into work, will my right hon. Friend consider extending the current exemption from employer national insurance contributions for apprentices both to additional apprentices and to full-time employees with disabilities, so that, like the US, the Netherlands and Ireland, our tax system benefits employers who see the abilities as well as the disabilities of all our constituents?

[Stephen Crabb]

When it comes to closing the disability employment gap, I am absolutely clear that no options have been left off the table. We want to look at the widest possible range of solutions, including financial incentives such as our small employment offer, which will support small businesses to increase local job opportunities for disabled people.

[Debbie Abrahams (Oldham East and Saddleworth) (Lab)]

In May, after a two-year fight, the Government finally published redacted reports of 49 social security claimants who had died between 2012 and 2014, revealing that 10 of the 49 had died following a sanction, and 40 of the deaths were associated with a suicide or a suspected suicide. Another nine social security claimants have died since 2014. When will the Secretary of State publish the reports into their deaths, or will we have to wait another two years for those as well?

[Stephen Crabb]

I hear the hon. Lady’s point, but it is important not to infer too many causal links between the factors that she is raising, and she needs to be extremely careful in how she describes those cases at the Dispatch Box. I am happy to discuss the matter with her on another occasion.

[Henry Smith (Crawley) (Con)]

T2. What support is my right hon. Friend’s Department offering to those in later middle age and older who are seeking work?

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[Stephen Crabb]

I totally disagree with the hon. Lady. We are continuing to roll out universal credit across Scotland, and the early results from Scottish jobcentres are very, very positive. As I said earlier, I had a very constructive and useful meeting last week with Angela Constance, the Scottish Minister with welfare responsibilities. I recognise that the Scottish Government have some separate choices and priorities, and we are committed to giving them the powers to take those forward.

[Mr Alan Mak (Havant) (Con)]

T4. Starting a new business is one of the best ways out of worklessness. Will the Secretary of State join me in encouraging entrepreneurial jobseekers from Havant and across the country to apply for the Government’s new enterprise allowance?

[Stephen Crabb]

We absolutely do want to support more people to move into self-employment and to help develop the entrepreneurs of the future. The new enterprise allowance has now successfully supported the start-up of nearly 85,000 new businesses and I look forward to visiting my hon. Friend’s constituency to see some of those businesses in action.

[Stuart C. McDonald (Cumbernauld, Kilsyth and Kirkintilloch East) (SNP)]

T8. For obvious reasons, refugee families and children are not usually required to meet past residence requirements when accessing benefits, so why on earth are the Government trying to overturn a recent tribunal decision so as to deny disabled refugees, including children, access to disability living allowance on the grounds of those very residence criteria? Is that not particularly absurd given that many of them will have been resettled here specifically because they have such a disability?

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[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

The Government are trialling distributed ledger technology, or blockchain, for the payment and spending of claimants’ benefits. It is a fantastic new technology, but the Government’s own report says that it needs a regulatory, ethical and data framework. How do we know that vulnerable benefits claimants are not being forced to share their data without giving proper informed consent?

[Stephen Crabb]

I thank the hon. Lady for that very interesting question. This technology is very new, and I confess that I am not an expert on it—the person who is is my noble Friend Lord Freud, who is, of course, in the other place. When it comes to security of claimants’ data, we are absolutely committed to the very highest standards of protection. However, in terms of the wider technology issue the hon. Lady refers to, I look forward to discussing it with her in more detail.

[Stuart Andrew (Pudsey) (Con)]

Currently, children under three are not eligible for Motability benefits. However, during my time in children’s hospices, I saw first hand how critical transport is for children with life-limiting illnesses, particularly given all the equipment they need. Will my hon. Friend agree to look at the issue again to see whether these young people can get the support they need?

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

I do not want to upset anybody on the Labour Front Bench by showing passion and anger about the Government’s failure to tackle unscrupulous employers who give no guarantee of employment, no contract, no certainty and no pension—nothing but zero-hours contracts, with people being hired from agencies—but when will the Government take on these rotten employers?

[Stephen Crabb]

Zero-hours contracts, of course, form only a very small proportion of the overall jobs in the labour market. The thing that is particularly pernicious about zero-hours contracts is the exclusivity clauses—that has been recognised as widespread—and we are the Government who actually took action to deal with that.

[David Morris (Morecambe and Lunesdale) (Con)]

In my constituency we have an initiative with the DWP and the Salvation Army food bank whereby when people come into the food bank, the DWP helps them in any way it can by placing an officer there. Would my right hon. Friend like to come to Morecambe to see at first hand how this initiative is working out?

[Stephen Crabb]

Yes, I would like to go to Morecambe to see that project. I am very clear that something we need to be doing far better, and more of, through our job centres at a local level is integrating with local services, whether they are provided through the Salvation Army or any other charity.