Oral Answers to Questions

Steve McCabe Excerpts
Monday 24th February 2014

(10 years, 2 months ago)

Commons Chamber
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Iain Duncan Smith Portrait Mr Duncan Smith
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Far be it for me to recommend to my hon. Friend what he should mention to his constituents, but he might well start with the fact that this benefits cap was opposed by Labour when we implemented it. His point about the level is simple. We have embedded the cap now, it has been rolled out and we have made sure that it has worked properly. We have seen a huge number of people move back to work; some 19,000 people who were going to be capped have gone to work and thus avoided the cap. So the cap is successful everywhere. However, we should remember that there are differences in income and in London a lower cap would be a rather severe penalty to put on people. Therefore, although I keep the cap under review, I have no plans at the moment to change its level.

Steve McCabe Portrait Steve McCabe (Birmingham, Selly Oak) (Lab)
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The hon. Member for Isle of Wight (Mr Turner) clearly wants the cap to be reduced in his area and the Secretary of State makes an important point about London. Does that not suggest that there is some argument for taking into account regional variations in costs, so that the cap reflects what is happening locally?

Iain Duncan Smith Portrait Mr Duncan Smith
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I am intrigued and pleased that the hon. Gentleman says that he supports the principle of the cap, which is more—in essence—than the Opposition have ever done in any vote. They voted against the cap—just in case they have forgotten. My point to him is a viable one. The trouble is where should regional calculations be made? Cities in regions have different levels of income from some of the countryside, so it starts to become quite a complicated process. Of course, I am willing to discuss this issue with the hon. Gentleman and anybody else who thinks that they have a plan, and I will certainly look at that, but right now the cap is successful, the majority of the public think it is a good idea and it was only his Front-Bench team who decided to vote against it.