Oral Answers to Questions

Steve Barclay Excerpts

Tuesday 9th March 2021 Commons Chamber

[Mrs Sharon Hodgson (Washington and Sunderland West) (Lab)]

What recent discussions he has had with the Secretary of State for Health and Social Care on the adequacy of financial support arrangements for people who are self-isolating during the covid-19 outbreak.

[The Chief Secretary to the Treasury (Steve Barclay)]

People who are instructed to self-isolate by NHS Test and Trace and are on a qualifying means-tested benefit, unable to work from home and losing income as a result may be entitled to a payment of £500 from their local authority.

[Vicky Foxcroft [V]]

We need people to self-isolate to control transmission and ease restrictions, yet many are continuing to work as they cannot survive on £95.85 statutory sick pay per week. The Chancellor has been asked about this on numerous occasions, and it was disappointing that nothing new was announced in his Budget. Does the Minister agree that those who do not have access to occupational sick pay and cannot work from home should be eligible for the Test and Trace support payments?

[Steve Barclay]

The hon. Lady is right that many people —indeed, the majority of workers—will have support from employers above statutory sick pay, but it is for the reason she outlines that my right hon. Friend the Chancellor also announced that there will be a payment of £500 for those not qualifying for the means-tested benefit, paid through the discretionary scheme that was funded at the Budget and to be administered by local authorities.

[Judith Cummins [V]]

Bradford Council has the highest demand for self-isolation payments in the country, reflecting the fact that most people in our city are unable to work from home. The standard scheme for people in receipt of certain benefits is fully funded, but the discretionary scheme, which the council must use for everyone else, is not. In fact, the funding for Bradford falls far short of demand, so will the Minister urgently look into this so that councils with a high demand can support all workers who need to self-isolate?

[Steve Barclay]

The hon. Lady makes a fair point, which is that there was a pressure on the scheme for local authorities. It is for exactly that reason that my right hon. Friend the Chancellor announced in the Budget that there will be an increase to £20 million per month for the discretionary scheme. He also listened to representations from the hon. Lady and others about widening the scope of eligibility under that scheme.

[Kate Hollern [V]]

The Government have now made available £20 million a month in discretionary self-isolation funding for local authorities, despite only making £15 million available for four months when the scheme first started, and because of this, hundreds of people in Blackburn have been denied support to self-isolate. Does the Minister now accept that initial allocations fell well below what was needed and contributed to the rise in cases, and does he think that that is fair on my constituents?

[Steve Barclay]

It is right that there was support in place, but it is also right that my right hon Friend the Chancellor has listened to points made by Members across the House, which is why the discretionary support has been increased and also why it has been extended to cover parents who are unable to work because they are caring for a child who is self-isolating and a number of other factors. I think that shows once again the willingness of this Government to respond to the path of the virus and to adapt our schemes to what is needed with, in particular, the extensive support that is now being offered and has throughout the pandemic been offered to local authorities.

[Mrs Hodgson [V]]

In November, a constituent of mine was told to isolate via the NHS covid-19 app. She would have been eligible for the isolation payment, but as she was told to isolate via the app, she was never given an NHS Test and Trace account ID, and therefore her application could go no further. My constituent was affected financially as she could not work, and she has been going round in circles, even with my help, trying to access the payment. Can the Minister advise if my constituent can still access this payment retrospectively?

[Steve Barclay]

It is always difficult to comment without seeing the full facts of an individual case, and I know the hon. Lady is always an incredibly assiduous constituency Member and will ensure that the case is looked at. On the specifics, I would also point to the fact that there is a wider package of support as well. For example, in addition to the self-isolation payments, there is often eligibility for self-employed workers through the self-employed income support scheme. There is a wide range of measures, but obviously it will depend on the individual case.

[Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

Test and Trace has now been allocated £37 billion, but its head, Baroness Dido Harding, has told both the Public Accounts Committee and the Science and Technology Committee that the big struggle is to get people to isolate. So, although the Government have provided support for people to self-isolate, surely the Chief Secretary can go back and look again to ensure that what the Treasury is providing enables test, trace and isolate to be truly effective, or we are really not going to beat this pandemic?

[Steve Barclay]

The hon. Lady is right about the importance of Test and Trace; it is key to our unlocking the economy and to addressing the much more substantive costs in terms of the non-pharmaceutical interventions. As she will know as Chair of the PAC, while I as Chief Secretary and my right hon. Friend the Chancellor will always look at the cost of Test and Trace, the bigger prize is getting our economy opened. On the substantive point the hon. Lady raises on the self-isolation payments, again I point to the fact that at the Budget my right hon. Friend the Chancellor increased the funding for discretionary support; that sits alongside the £500 itself, and is in addition to the wider support that the majority of employers provide.

[James Murray (Ealing North) (Lab/Co-op) [V]]

The Government’s road map out lockdown says that self-isolation is critically important to halting the spread of disease, yet Baroness Harding has recently admitted that financial difficulties prevent people from self-isolating and a year ago the Health Secretary admitted he could not live on statutory sick pay of £94.25 a week. It is now £95.85 a week, so can the Minister explain why the Chancellor refuses simply to guarantee that anyone who has to rely on statutory sick pay or is unable to access even that should be eligible for the £500 payment?

[Steve Barclay]

I do not think the hon. Gentleman has actually read the Budget announcement made last week, because the discretionary element of the Test and Trace support payments applies even if people are not in receipt of means-tested benefits. So it does recognise the point raised by Members that it is important that there is an incentive for people to be tested; that is what the £500 payment through the Test and Trace system addresses. But in addition Members raised cases which were just outside the means-tested element of Test and Trace; that is the issue that the discretionary fund addresses, and it was dealt with in the Budget last week.

[Craig Whittaker (Calder Valley) (Con)]

What fiscal steps he is taking to support the charity sector in response to the covid-19 outbreak.

[The Chief Secretary to the Treasury (Steve Barclay)]

The Government have provided an unprecedented multibillion- pound package of support for Britain’s charities, including £750 million of dedicated funding that has helped more than 15,000 organisations across the country respond to the impacts of covid-19 and relieve the pressure on our NHS.

[Craig Whittaker [V]]

As we all know, yesterday marked International Women’s Day, a day when we celebrate and recognise the social, economic, cultural and political achievements of women. However, this pandemic has also shone a light on domestic abuse and the struggles of many women across the country, so will my right hon. Friend set out what steps he is taking to support charities in this field so we can ensure that victims and their children can access the support they need?

[Steve Barclay]

I join my hon. Friend in marking International Women’s Day yesterday, and he raises a very important issue. That is why my right hon. Friend the Chancellor at the Budget last week committed a further £90 million of funding; that, of course, builds on the £125 million announced at the spending review and indeed the earlier £25 million that had also been provided, recognising the 65% increase in calls to the national domestic abuse hotline and the renewed focus within Government on this important issue.

[Alison Thewliss (Glasgow Central) (SNP) [V]]

Charities across these islands have done amazing work through the pandemic, so with the Finance Bill coming up will the Treasury reward the efforts of these charities and encourage the public to donate by temporarily increasing the rate of gift aid from 20% to 25% and expanding the small donations scheme to make gift aid much easier to claim?

[Steve Barclay]

I join the hon. Lady in recognising the huge contribution that charities have made. In respect of specific tax measures, obviously they were dealt with by my right hon. Friend the Chancellor in the Budget last week, but I remind the hon. Lady of the £750 million of dedicated funding that has been provided to date in recognition of that important work.

[Geraint Davies (Swansea West) (Lab/Co-op)]

What assessment he has made of the regional equity of infrastructure investment (a) in Wales and (b) throughout the UK.

--- Later in debate ---

[Amy Callaghan (East Dunbartonshire) (SNP)]

What recent discussions he has had with his Scottish Government counterpart on the effect of UK fiscal policy on living standards in Scotland.

[The Chief Secretary to the Treasury (Steve Barclay)]

I have frequent discussions with the Scottish Government Finance Secretary and spoke to her ahead of the Budget last week.

[Kenny MacAskill [V]]

Despite furlough, high streets face devastation—first shops and now pubs, an even harder space to fill. Was the Budget not an opportunity to support what are community assets in urban as well as rural areas and where alcohol consumption is supervised and not unchecked? With supermarkets having made huge profits during lockdown, much of that through alcohol sales, is it not time to support the Social Market Foundation’s call to increase alcohol duty on off-trade to sustain the on-trade in our communities?

[Steve Barclay]

Many businesses across Scotland argued for the alcohol freeze, not least the Scottish whisky industry. They also argued for the fuel freeze, which my right hon. Friend the Chancellor delivered. I am also surprised, when the hon. Gentleman talks of community, that he does not even recognise the extra capacity funding that his community received in the Budget. With all these things that impact the community, clearly, the additional £1.2 billion of funding received by the Scottish Government through Barnett consequentials at the Budget will again enable the Scottish Government to work with the UK Government to deliver better services in his community.

[Marion Fellows [V]]

The poverty Chancellor has refused to make permanent the £20 universal credit increase and apply it to legacy benefits, with 75% of those affected being disabled. If he refuses to change course, 60,000 Scots, including 20,000 children, will be left in poverty and forced to decide between heating and eating. If the Minister was in their position, what would he choose: heating or eating?

[Steve Barclay]

First, as was set out in analysis published with the Budget, the measures that the Government have taken have supported the poorest working households the most. Secondly, the hon. Lady also failed to mention the additional capacity funding for her community that was announced at the Budget. Thirdly, the Scottish Government requested specific powers in respect of benefits and tax, and, of course, they have the option to use those powers that they said that they wanted.

[Amy Callaghan [V]]

As the Minister will be aware, the £20 uplift to universal credit has been a lifeline during the pandemic. Many families in my constituency are devastated that the uplift is set to end in September. With the Scottish Government committed to tackling child poverty, including through the game-changer Scottish child payment, the UK Government-imposed cliff edge could pose a significant setback. Does the Minister agree that plunging children and families into poverty, whether it is now or in September, is a callous act, and will he commit to a permanent uplift to universal credit?

[Steve Barclay]

We have managed to get a hat trick, because the hon. Lady also received capacity funding for her own area at the Budget but chose not to mention that funding, which will help the families she referred to. It is also slightly odd for her to talk about plunging into something when the Chancellor has announced an extension. Coupled with that, and the UK-wide measures that were set out at the Budget—including measures such as freezing fuel duty, which will help many families in her own constituency—there was an additional £1.2 billion of funding for the Scottish Government and the powers to which I referred in my previous answer. Therefore, many families have been helped, including 480,000 existing claimants in Scotland as well as new claimants, and the families helped through the £500 one- off payment that was announced at the Budget. There was a strong package of support for Scotland, none of which she chose to mention in her question.

[Robert Largan (High Peak) (Con)]

What fiscal steps his Department is taking to improve transport connectivity across the UK.

--- Later in debate ---

[Paul Blomfield (Sheffield Central) (Lab) [V]]

As some students return to campus this week, those studying in Northern Ireland will each receive £500 support. The Welsh Government have provided hardship funding equivalent to £300 per student. In Scotland, it is £80. For those studying in England, hardship funds equate to just £36, so does the Chancellor not accept the case for equal support across the UK? Students have lost vital income from part-time jobs, paid rent on unused accommodation and faced other costs, so will he meet the all-party parliamentary group for students to discuss our recommendations for hardship support and funding to make up for missed learning opportunities?

[The Chief Secretary to the Treasury (Steve Barclay)]

I am always happy to meet the hon. Gentleman and discuss that matter in more detail. As he will recognise, one of the features of the Budget was the number of UK-wide measures, but at the same time he is quite right to point to the additional £2.4 billion of Barnett consequential funding that was allocated to the devolved Administrations, which has enabled them to apply further support as a result of the fiscal strength that is offered by the UK Treasury. I am of course happy to discuss the specific point with him in more detail.

[Mrs Pauline Latham (Mid Derbyshire) (Con) [V]]

My right hon. Friend the Chancellor said the day after the comprehensive spending review that the Government were looking at when they will bring forward legislation on the 0.7% of gross national income target. Can he update us? What is the Government’s timescale for bringing forward the legislative proposals to reduce the annual target of spending 0.7% of GNI on aid to 0.5%?

--- Later in debate ---

[Zarah Sultana (Coventry South) (Lab) [V]]

The disgraceful 1% pay rise for NHS workers is really a pay cut when inflation is factored in. The Prime Minister claims that it is all we can afford. The Government had no problem finding £37 billion for the private test and trace system, an extra £16 billion for the military budget, or hundreds of millions of pounds in dodgy covid contracts for the Health Secretary’s WhatsApp contacts. NHS workers have seen their pay fall by more than 10% in real terms in the past decade, so instead of handing out fortunes to mates and donors, will the Chancellor heed the calls of trade unions and NHS staff and give them the pay rise that they deserve, which is 15% to make up for a decade of lost pay?

[Steve Barclay]

With respect, the hon. Lady is simply wrong on the facts with her question. Under the Agenda for Change three-year award, the average increase this year was 2.5%, not the figure she alluded to. But of course, the Government have asked the pay review body to consider a number of factors and, as is normal practice, the Department of Health and Social Care has set out what is affordable within its budgets.

[Ian Levy (Blyth Valley) (Con)]

The Government recently confirmed the first eight sites to be awarded freeport status. That will provide great opportunities for prosperity in those areas. In my home constituency of Blyth Valley we have the only deep-water port in Northumberland, with investments in offshore wind, such as at the Catapult, as well as Britishvolt with the only gigaplant in the UK. What assessment has my hon. Friend made of granting a second round of bidding for areas such as Blyth that were not successful on this occasion?