Disability Support

Stephen Lloyd Excerpts

Wednesday 19th December 2018 Commons Chamber

[Stephen Lloyd (Eastbourne) (Ind)]

I congratulate my colleague the hon. Member for Oldham East and Saddleworth (Debbie Abrahams) on securing this important debate and I appreciate the Backbench Business Committee’s granting it.

This is an interesting situation, because I support some elements of UC. I remember supporting it in the coalition. There were elements of it that I pointed out at the time would cause problems. Some of what I said was taken on board, but unfortunately some was not and we have reaped the whirlwind all these years later. A key element of UC that I supported avidly was around working allowance, and I was disappointed that that was cut to ribbons in 2015, although I was delighted only a few months ago that £1.7 billion was restored, if not the full amount. So, there has been a bit of progress.

I worked with my hon. Friend the Member for Oldham East and Saddleworth—I call her my hon. Friend even though we are in different parties—on the Work and Pensions Committee between 2010 and 2015, and we saw a lot of things in the same light. That is one of the reasons that I think today’s request is not unreasonable. Anyone who was born with a disability or acquired it when very young faces an enormous challenge to get work. I know this because I have been working in this area for more than 30 years. After the kerfuffle earlier today, I should tell the House that I have been hard of hearing for 50 years and I am quite a good lipspeaker. I have kept silent about that, however. I decided that there was enough Sturm und Drang without my chucking any more into it. I am going to rise above that.

Disabled people face barriers to employment, to education and in many other areas. A Conservative Member made the point that it was the Conservatives in the early 1990s who introduced the Disability Discrimination Act 1995. I know that well, because I helped to campaign for it, all those years ago when I was young and had no grey hair. I met John Major at the time, and he was very impressive on the issue. The DDA was a huge game changer. Without that law, we would not have made anywhere near the number of advances on disability discrimination in services and employment that we have in fact made. However, there is a long way to go, and that is often because people do not understand the barriers that disabled people face.

Governments on all sides often point out that, under the DDA, someone who acquires a disability while working can keep their job. That is a great thing, and it is really important, but I know loads of disabled people who would give their right arm just to get in the door and be given a job. The system is now much better at protecting people who, sadly, acquire a disability through illness, for example, and that represents fantastic progress. However, the thing that has not changed in all the years I have been in politics, and all the years before that when I was involved in this area, is that it is still incredibly hard for a disabled person to get a job.

On top of that, people have to deal with the incredibly unwise move by the DWP a couple of years ago—before the present Ministers were in situ—to change elements of the capability assessment. The Government kept the support group and a couple of the other groups, but they changed the part of the employment and support allowance that helps disabled people to get work. They changed the income so that it was the same as that of jobseeker’s allowance, or just above it, rather than retaining the higher amount that was available to the support group. That was such a foolish move. I was not an MP at the time—I had a brief two-year period after 2015 when I was not an MP, then I came back—and I remember writing to my colleagues and to the then Ministers about the decision.

Human nature is human nature, and if the additional payment is reduced by 20% for disabled people who are prepared to try to find work, with support, those people will of course strive darn hard to get into the support group. That is not wrong; that is what happens. If I had been off work for six or seven years, and I had been persuaded by my work coach at the Jobcentre Plus to go into an ESA cohort that would give me a little more money than pure JSA—a little less than in the support group but more than JSA—I would be willing to go into that group because there would be more income and also because the work coach would be there to help me to find work. If the rules were then changed, so that my money was exactly the same as it would be on JSA, I would try to stay in the support group—it would be bonkers not to, to be perfectly honest. That is just human nature. That was really frustrating, so I was not surprised to learn that there have been real problems in that area over the ensuing years, and that a lot of people have moved over to the support group who perhaps would not have done so.

There are still some really odd anomalies. I have recently been helping a constituent who had worked for the DWP at the local Jobcentre Plus for x number of years. Unfortunately he became ill, and after a few years it was clear that his illness was stopping him working effectively, even part time. The DWP did its best to help him through the process, but eventually he was let go, under proper due process—I have no complaints about that, and neither did he. Two years later he was on ESA and had to go for a work capability assessment, because the DWP’s system had said, “No, you’re not disabled enough to have these benefits.” He was disabled enough to be made redundant but not disabled enough a few years later to actually get the benefits, which was ridiculous. I do not believe that it was a conspiracy; I believe that it was classic dim bureaucracy. I try to provide support at tribunals where possible, so one member of my office team—I am training up a second colleague—joined my constituent to act as an advocate at tribunal. He won and is now getting all the benefits to which he is entitled.

My point is that that clunkiness happens more often for someone who is disabled. I know so much about this subject, having worked with so many thousands of people over the years, so that is why I believe we need an assessment. I do not think that is unreasonable. I do not agree with all the things that it is suggested are required. My colleague the hon. Member for Oldham East and Saddleworth would be surprised if I agreed with her on everything, but I agree with her on this. We need a specific assessment of the impact that the changes are having on disabled people. If we do not have that, I fear for the really huge migration—the million migration—although I accept that the Government have been making some good amendments to universal credit, sometimes through gritted teeth. That is why I do not think that it is unreasonable to ask for an independent impact assessment that is focused on disabled people.

[Debbie Abrahams]

Is the hon. Gentleman aware that the Centre for Welfare Reform recently published an analysis of the Government’s reasons for not producing a cumulative impact assessment? In summary, it found no good reason why the Government should not evaluate the combined impact of their policies.

[Stephen Lloyd]

I was not aware of that, but it makes my case perfectly. As the hon. Lady knows, that is a good lobby group, from a different perspective—from the right of centre. What we have is left of centre, centre—an empty void these days, but that is by the by—and right of centre all telling the Government to have the impact assessment.

[Giles Watling]

Does the hon. Gentleman not agree that if the impact assessment is based on faulty data, and therefore comes up with faulty answers, it is not worth having?

[Stephen Lloyd]

I have to say to the hon. Gentleman, with genuine respect, that I think the Department is spinning to him on that. I know a lot about disability statistics, including all the different Government and DWP statistics, and I do not believe that it would be beyond the wit of man to come up with the model that gets over the particular hurdle he has talked about. My view is that the hurdle is not as dramatic as the DWP is saying. We might have to agree to disagree, but I genuinely believe that, and I have worked a lot with the DWP over the years under different Governments.

I will now close, as I know others wish to speak. The request for an independent assessment is not unreasonable, and it would do the Government credit to accept it. On that basis, I hope the Minister is listening.

--- Later in debate ---

[Jim Shannon (Strangford) (DUP)]

I am pleased to contribute to the debate, and I congratulate the hon. Member for Oldham East and Saddleworth (Debbie Abrahams) on securing it.

Benefits are the biggest issue in my office. I have one member of staff who does nothing else but deal with benefits five days a week; to be honest, she works outside her hours because she is a compassionate lady. The rest of us in the office, including myself, have done DLA appeals, and we still continue to do them. We deal with the benefits system as well, and these are incredibly difficult issues. The Government have indicated that they will review some of the universal credit system, and may I say that that cannot come soon enough?

I want to say something to the Under-Secretary of State for Work and Pensions, the hon. Member for North Swindon (Justin Tomlinson), who is in his place, and to the Minister for Disabled People, Health and Work, who has left but will no doubt be back shortly. I am not saying this to give them a big head, but both Ministers are very affable and engaging, and they do try to address the issues. I know that because I have spoken to them both. They have come to me to say, “Look, if there’s anything at all that you want to speak about, please speak to us about those things”.

Both the Ministers are keen and eager to help—I say that in advance because I do not want them to think I am attacking them, because I am not doing so—but there are things I have to say tonight about universal credit and where it is, and the fact that it is having an impact on my constituents. It would be remiss of me to come to this Chamber and not to say that. I wanted to say that first, because I know the Under-Secretary always responds; he knows that, because I have spoken to him before about it. None the less, we are where we are on these issues.

The Equality and Human Rights Commission has done a very in-depth analysis, which I and others have read; indeed, some right hon. and hon. Members have referred to it. It shows that the bottom two deciles will lose, on average, approximately 10% of their net income, with much smaller losses for those higher up the income distribution. Negative impacts are particularly large for households with more disabled members and for individuals with more severe disabilities, as well as for lone parents and those on low incomes.

For some family types, these losses represent an extremely large percentage of income. For example, for households with at least one disabled adult and a disabled child, average annual cash losses will be just over £6,500—over 13% of average net income. Here is a specific figure, because I have some people from Bangladesh in my constituency: the impact of changes to direct taxes and benefits is to reduce the income of Bangladeshi households by some £4,400 per year on average. These are specific points, and I want to say them in a very constructive way to the Under-Secretary, because I know he responds. I am happy to say these things, because I know he will come back, as he always does.

At an individual level, women will lose on average considerably more from changes to direct taxes and benefits than men. Women will lose some £400 per year on average, and men will lose some £30.

[Stephen Lloyd]

The hon. Gentleman is making a very powerful point. The figures he is talking about are true in my constituency as well. I know one family that is losing just under £500 a month. As we in the Chamber all know, the reality is that these are substantial sums of money for some of our poorest disabled fellow citizens. There is no point arguing about it any more. That is why I think the request from the hon. Member for Oldham East and Saddleworth (Debbie Abrahams) for an independent impact assessment is reasonable and fair, and it needs to be a matter of priority, otherwise there will be many more of the stories the hon. Gentleman is talking about.

[Jim Shannon]

I thank the hon. Gentleman for his intervention, and yes, I totally agree. At the very end, I will make a similar recommendation to what the hon. Gentleman has mentioned.

This does affect low-income families. Some of the figures I have mentioned are for men and women, but the figures conceal very substantial variation within both genders. Lone parents in the bottom quintile—the bottom fifth—of the household income distribution lose some 25% of their net income, or £1 in every £4 on average. The hon. Member for High Peak (Ruth George) referred to this earlier, and mentioned very clearly the income impact on those in the lower income brackets.

On average, disabled lone parents with at least one disabled child fare even worse, losing almost £3 out of every £10 of their net income. In cash terms, their average losses are almost £10,000 per year. That is massive, and we cannot ignore those things. Those things really quite annoy me, and I think they annoy us all. In fairness, I think they probably annoy Ministers as well, but we do need a response from Ministers if we are to deal with them.

Around 1.5 million more children are forecast to be living in households below the relative poverty line. These are massive issues; in Northern Ireland, and in my constituency, children are sliding into poverty as a result of these reforms. I am being completely honest, Madam Deputy Speaker: these things are happening, in my constituency! And they are happening in everybody else’s as well.

We quite recently had the roll-out of universal credit, so we know these things come in almost like a storm breaking over people. The statistics carry on, but this gives a very clear picture to me. We were told that universal credit would be beneficial to households in need. I have to say honestly, I do not see that happening at this moment. To see disabled homeless people being so massively affected is totally unacceptable. For that reason, I support the recommendations of the Equality and Human Rights Commission. It recommends that the UK Government should:

“1. Monitor and publish the impact of welfare reforms on disabled people, including assessment of the cumulative impact of tax and social security changes.”

I think that if we get those facts, they will tell the tale.

“2. Review the levels of benefits to ensure they provide an adequate standard of living.”

It is so important. People are falling into poverty, and children in particular. I always get annoyed when I hear of children living below poverty levels; I think others might as well.

“3. Ensure that work coaches are trained to deliver tailored employment support so that the specific needs of disabled people are being met.”

How important that is.