Oral Answers to Questions

Stephen Timms Excerpts

Monday 29th June 2026 Commons Chamber

[The Minister for Social Security and Disability (Sir Stephen Timms)]

Being in work is the best way to avoid poverty. The benefit cap gives a modest but significant incentive to start work and then to progress in work. Some people cannot work, so the cap does not apply to people out of work on disability or caring benefits, but for others it remains in place.

[Paula Barker]

The abolition of the two-child limit by this Government was a key step in cutting child poverty, but some of the poorest families still see their benefit capped, and there are shockingly high levels of child poverty in parts of my constituency, with 70% of children in Arundel ward and 61% of those in Princes Park ward growing up in poverty. The cap hits families with high needs: two thirds are single-parent families, more than half of whom had a child under five and over a quarter had a child under two. They are often forced to turn to food banks to survive as a result. The Trussell Trust provided 1,300 food parcels to children in Liverpool Wavertree last year. Will the Government build on the abolition of the two-child limit and review the benefit cap to ensure that families with very young children are protected from poverty?

[Sir Stephen Timms]

We will certainly keep the policy under review, but at the moment too many people are in poverty through being out of work, and the cap does help by increasing the incentive to work. My hon. Friend is right to highlight the scrapping of the two-child limit—2 million children will gain overall from that. There are 50,000 capped households who will not see a gain, but a large number will. One other point I should make is that childcare support within universal credit is not affected by the cap, so that is of further help.

[Seamus Logan (Aberdeenshire North and Moray East) (SNP)]

The House of Commons Library, quoting the Joseph Rowntree Foundation, reports that child poverty rates in Scotland are much lower than in England, at 23% compared with 31%, due at least in part to the Scottish child payment. In the light of this Government’s mission to tackle the scourge of child poverty, can the Minister describe what measures the Government are planning, in addition to the abolition of the two-child cap—for example, scrapping the infamous bedroom tax?

[Sir Stephen Timms]

The hon. Member is right that the scrapping of the two-child limit is the key measure and will lead to 450,000 children moving out of poverty. Other measures in our child poverty strategy that we published last year will increase that number by another 100,000. That is going to be very welcome progress in Scotland as well as in the rest of the UK, and we will be keeping policies under review.

[Mr Speaker]

I call the shadow Secretary of State.

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[Helen Whately]

Some 100,000 households get over £50,000 in benefits, and 16,000 households get over £60,000 in benefits. That gives them the same income as the top 10% of earners in this country. British people are sick and tired of footing the bill for “Benefits Street” and seeing welfare claimants living lives of luxury at their expense. The right hon. Member for Makerfield (Andy Burnham) has called for more collaborative politics, so will the Minister adopt our plan to toughen up the benefits cap and save £1 billion off the benefits bill?

[Sir Stephen Timms]

If there is a plan, I would be very interested to see it. We certainly have not seen any details of it. The hon. Member’s comments are a further example of her expressing dissatisfaction with the system left behind by her Government after 14 years. We are reforming the system and making sure it is doing the job we need it to do, and we will carry on with that programme of reform.

[Mr Alex Barros-Curtis (Cardiff West) (Lab)]

Question 4, Mr Speaker.

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[John Whitby (Derbyshire Dales) (Lab)]

10. Whether he has made an assessment of the potential merits of ensuring that all care leavers are entitled to the same standard universal credit allowance.

[The Minister for Social Security and Disability (Sir Stephen Timms)]

We have been reminded already this afternoon of the experiences of Fatima Whitbread. Work is under way across Government to give care leavers access to the skills and wider support for sustained employment and career progression. Lower universal credit rates for younger claimants strengthen work incentives and encourage increased earnings over time.

[John Whitby]

This Government are rightly committed to breaking down barriers to opportunity, but care leavers still face disproportionate challenges as they move into independent adulthood. Will the Minister commit to reviewing the universal credit age-related rates for care leavers, with a view to ensuring that all 18 to 24-year-old care leavers receive the same rate of UC as those aged 25 and over?

[Sir Stephen Timms]

It is very important that we do not weaken the incentives for care leavers to start work and to progress once they are in work. At the moment, 40% of young care leavers are not in employment, education or training. That is a horrific statistic, so our response is to provide tailored Jobcentre Plus support. We also have the new youth jobs grant of £3,000, which my right hon. Friend the Secretary of State has referred to, which will be available from tomorrow. Care leavers under the age of 25 are eligible for the one-bedroom local housing allowance rate, rather than the shared accommodation rate, so there is a financial benefit there, but our focus is rightly on support into work.

[Jim Shannon (Strangford) (DUP)]

I thank the Minister very much for his answers, as always. In Northern Ireland, care leavers are really untold heroes in the work that they do. Many of us, in all our communities, understand the delivery of care that is provided. In relation to young people, has the Minister had an opportunity to talk to the relevant Minister in Northern Ireland to ensure that we can move forward with the speed that he seems to indicate? I understand that there are 19,000 young people between the ages of 16 and 24 in Northern Ireland without any employment, so there may be an opportunity here to do better.

[Sir Stephen Timms]

I would be delighted to have that conversation. I speak regularly to the Minister in Northern Ireland about matters in my portfolio, and I would be happy to cover this matter in our next conversation.

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[Steve Darling (Torbay) (LD)]

I welcome the Government’s acceptance of a finding from the Liz Sayce review of carer’s allowance overpayments in respect of the underuse of waivers, given that the households concerned are often the most vulnerable in society. Has a review of the use of waivers been undertaken, and what changes have been made for frontline staff?

[The Minister for Social Security and Disability (Sir Stephen Timms)]

As the hon. Member knows, we are working through the cases of those who were required to repay an overpayment over recent years. I am receiving an update every week on the number of cases that have been gone through and the number of people who have had an overpayment reduced or cancelled, and I would be happy to give the hon. Member further information about the progress of that work.

[Mr Toby Perkins (Chesterfield) (Lab)]

T7.   Support for young people wanting access to the world of work has never been more crucial, but the success of youth hubs will depend on their ability to connect with, be useful to and understand the needs of employers. What steps will the youth hubs take to ensure that they are communicating with businesses and understanding their needs?

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[Sarah Olney (Richmond Park) (LD)]

T4. One in 50 Londoners, including one in 21 children, are homeless and living in temporary accommodation. London boroughs are spending £5 million a day on temporary accommodation. Although housing costs have skyrocketed in the past 15 years, the temporary accommodation subsidy gap has remained frozen since 2011. Some councils are now struggling to fund other important areas, such as social care. Will the Minister commit to urgently reviewing the temporary accommodation subsidy gap, to ensure that councils are fairly reimbursed?

[Sir Stephen Timms]

I can assure the hon. Member that my Department is working very closely with the Ministry of Housing, Communities and Local Government to look at what we need to do between us to address the problem of homelessness. I note the point she raises, which is one of the points for discussion.

[Tom Rutland (East Worthing and Shoreham) (Lab)]

T9. The number of young people not in employment, education or training should concern us all, so I was delighted to see the announcement earlier this month of a new youth hub for Adur. Can the Secretary of State set out how it will set young people up for success in my constituency?

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[Adam Dance (Yeovil) (LD)]

T6. The universal credit team have admitted that they made the wrong decision on whether my constituent had to pay the bedroom tax for a room to care for his son, but they have only backdated payments to 25 May 2025, rather than 1 July 2024. Can the Minister ensure that my constituent gets a full refund, and set out how we are going to stop future errors on universal credit decisions?

[Sir Stephen Timms]

There is a limit on how far back applications can be backdated, but if the hon. Gentleman would like to drop me a line with the details, I will make sure that we have a good look at the case he raises.

[Neil Duncan-Jordan (Poole) (Lab)]

The Pensions Minister knows that there is no retirement on a dead planet, so will he commit to writing to the 50 largest UK pension funds to ask them to set out their timetable for divesting from fossil fuels?

[Joy Morrissey (Beaconsfield) (Con)]

The increased PIP costs are expected to add an extra £5 billion to the welfare budget this year. As the TaxPayers’ Alliance has highlighted, the number of households earning over £100,000 and getting PIP has doubled to 200,000 claimants. Will the Minister make an assessment of the potential merits of means-testing PIP to ensure targeted support?

[Sir Stephen Timms]

Together with disabled people, we are co-producing a review of PIP to ensure that it is fair and fit for the future. The review’s terms of reference reflect the view of successive Governments that PIP should be a non-means-tested cash benefit for people both in and out of work, because anybody can incur additional costs as a result of long-term ill health or disability.

[Alex Ballinger (Halesowen) (Lab)]

Sadly, Dudley borough was named in Alan Milburn’s “Young people and work” report as the worst performing borough in the country for tracking 16 and 17-year-olds—for over a thousand 16 and 17-year-olds, it was unknown whether they were working, in school or in college, or what they were doing at all. Can the Secretary of State outline what the Department is doing to ensure that we do not lose sight of these young people, as we have done in Dudley, so that we can give them the opportunities they need?

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[Tulip Siddiq (Hampstead and Highgate) (Lab)]

One of my constituents is a former care leaver who is facing immense health conditions and he can no longer work. Given the lack of family and social support that many care leavers experience, they are uniquely vulnerable to financial insecurity. Can the Minister confirm that the experiences of care leavers are being considered as part of the Timms review?

[Sir Stephen Timms]

If the care leavers are PIP recipients —I think that is probably the case in the example my hon. Friend has given—we are certainly considering that point. If this issue is one that she thinks we need to reflect on in the review, I would be keen to hear about such experiences.

[Caroline Voaden (South Devon) (LD)]

Bereavement benefits have not been uprated for 10 years, and they simply do not recognise the lifelong impact of early bereavement on children and surviving parents. Will the Minister look again at uprating bereavement support benefits in line with inflation?