Oral Answers to Questions
Debate between Steve Webb and Lucy Powell(10 years ago)
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Lucy Powell (Manchester Central) (Lab/Co-op)
16. What forecast he has made of the likely level of child poverty in (a) 2015 and (b) 2020.
The Minister for Pensions (Steve Webb)
Relative child poverty is now at its lowest level since the mid-1980s, and there are now 300,000 fewer children in relative poverty than in 2010. However, poverty projections are based on a number of factors that cannot be reliably predicted, including the median income.
Steve Webb
The fall in unemployment has happened across the country, and the risk that a child will be living in poverty is three times greater for those living in workless households than for those living in a house in work. We now have over 300,000 fewer children living in workless households, with more falls since those figures were put together. That is the best antidote to child poverty.
Lucy Powell
Those same figures show that Manchester Central has the fourth highest rate of child poverty in the country. That comes on top of the finding by the Government’s own Social Mobility and Child Poverty Commission that there are now 600,000 more children in working households living in absolute poverty. When will Ministers stop denying that that is a problem and do something about it?
Steve Webb
I was very struck by the comments of the hon. Lady’s hon. Friend the shadow Education Secretary. According to a recent article:
“Criticising the policies of the last Labour government, Mr Hunt said that the party had previously been too preoccupied with tax credits and not given enough thought to tackling social problems in families.”
We are tackling those social problems through the troubled families initiative and a whole range of initiatives, such as the pupil premium, free school meals and more help with child care for young children. Disadvantaged children will benefit from our measures.
Housing Benefit
Debate between Steve Webb and Lucy Powell(11 years ago)
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Steve Webb
I am going to make progress.
The deficit was £150 billion. How can we address that? The biggest area of public spending is the Department for Work and Pensions. More than half of that budget goes on pensioners and pensioner-related benefits, which we had pledged to protect. That meant that a very substantial budget—the working-age welfare budget—had to be addressed. The biggest income-related benefit is housing benefit. The biggest group of housing benefit recipients comprises social tenants. We are told that the Labour party would have sought to address the budget deficit, but if we are looking to do so, housing benefit for social tenants must be looked at. If we have to make savings in that, where do we do it? We look at spare rooms in the social housing sector.
However, some people legitimately have a need for an additional room or should not be asked to move. The issue of adapted accommodation was raised. We could have dealt with adapted accommodation in two ways. First, we could have written in a long, complicated statutory instrument what is and is not adapted accommodation. Clearly, just a hand rail would not constitute adapted accommodation and a whole extension probably would, but what about the properties in the middle? Given that there are often no records of how much has been spent on adaptation, trying to write that into the law of the land would not have been an effective way to help those in need.
We therefore decided that we would estimate the cost of protecting those with substantially adapted properties—our estimate was £25 million—and allocated the money to local authorities to assist those in need. [Interruption.] From a sedentary position, the hon. Member for Manchester Central (Lucy Powell) says that it is not enough. Last year, we were told, if I remember rightly, that the discretionary housing payments we had made available for other housing benefits changes were “not enough,” but, at the end of the year, local authorities repaid to the Government £10 million of unspent discretionary housing payments.
Lucy Powell (Manchester Central) (Lab/Co-op)
I can absolutely guarantee that the Minister will not be getting any of his money back this year from any of the local authorities, and certainly not from Manchester. My constituency has among the highest number of people affected by the bedroom tax in the country. The money is fast running out, if it has not already run out, because there are far more people with adapted homes than there is money to go around. I can guarantee that he will not be getting any money back from Manchester city council this year.
Steve Webb
We have estimated £25 million to cover adapted properties. The hon. Lady might have better statistics than the Government on adapted properties, but I suspect that the default position of Labour Members is to say, “It’s not enough; it should be more.”
Let me address the issue directly to respond to the hon. Lady’s point. In 2012-13, we made available £60 million of discretionary housing payments. This year, we have trebled that amount to £180 million. That money is what we might call hard cash for hard cases—the cases to which hon. Members have referred. I say this sincerely to hon. Members: those who raise individual cases should be holding their local authorities to account. The Government have given local authorities the money to help people in need. In fact, we have gone further. Within year, we have allocated an extra £20 million for local authorities to bid for. If they have exhausted, or if they anticipate exhausting, their discretionary housing payments budgets, they can come to the Government for a top-up. So far, barely a dozen local authorities have asked for additional funding.
The hon. Member for Leeds West mentioned the strain being putting on her local authority’s discretionary housing payment. Leaving aside the fact that Leeds has an extraordinarily low rate of home swaps—in other words, is the local authority doing the right thing by its tenants?—it has not asked the Government for a share of the £20 million. If Leeds is so cash-strapped for DHPs, why has it not asked us for the money it says it needs, rather than turning away people it thinks are vulnerable?
Steve Webb
I am grateful to my right hon. Friend for referring to our policy motion, which is a darn sight better than the one we have been asked to consider by the Opposition. The Government are addressing many of the elements in our conference motion. For example, the motion calls for
“an immediate evaluation of the impact of the policy”
which we are undertaking, and
“A review of the amount allocated to local authorities for the Discretionary Housing Payment Fund”.
Lucy Powell
On a point of order, Mr Deputy Speaker. The Minister incorrectly gave figures for last year—the bedroom tax was introduced only in April. I was talking about money that will come back this year. I can guarantee that the Minister will not be getting any money back from Manchester this year—the year of the bedroom tax.
Mr Deputy Speaker (Mr Lindsay Hoyle)
Order. We do not need any help from those on the back row. That was not a point of order, but the hon. Lady has put her point on the record.
Steve Webb
I will come back to that in a moment.
I can assure my right hon. Friend the Member for Bermondsey and Old Southwark (Simon Hughes) that we are addressing many of the points raised in the conference motion, not least because the motion congratulates our colleagues on their role in securing additional discretionary housing payments—something they can all be proud of.
The hon. Member for Manchester Central says that I referred to last year’s figures. I did, because we have not got to the end of this year yet. Last year, we stood here and other Opposition Members said about last year’s budget exactly what she has just said. We allocated DHPs for other changes to housing benefits. They said there would not be enough money, but at the end of the year substantial amounts were repaid.
Steve Webb
I have no idea what that gesture means, but last year we allocated just under £1 million to Manchester, of which more than £500,000 was repaid. This year we have allocated nearly £2 million to Manchester to address those concerns. If it finds that it is still short of cash, despite sending back £500,000 last year, we will of course consider an application to our top-up fund, which we have not so far received.
We have heard nothing from the—[Interruption.]