Social Security

Lord Elliott of Ballinamallard Excerpts

Wednesday 14th September 2016 Commons Chamber

[Tom Elliott (Fermanagh and South Tyrone) (UUP)]

I may come later in my short speech to a few of the points that the hon. Member for East Antrim (Sammy Wilson) raised. First, however, on the detail of the legislation, I want to make it clear that the Ulster Unionist party supports the benefit cap, for example, because it is important that we keep people in work. People are better off in work than totally relying on benefits, so we do support a raft of these issues.

We are still concerned that the split cap level between London, where it is £23,000, and the rest of the UK, where it is £20,000, represents the most significant non-conformity in the UK’s social security system. It will need to be watched closely, and the issue is obviously with the reserved Government here at the moment. Clearly, that is where the watching brief must be, and I am sure that the Northern Ireland Assembly and Executive will also make representations here.

It had originally been planned to introduce universal credit in Northern Ireland from 2017, but that has now moved to the autumn because the development work on the Northern Ireland changes to the universal credit information and communications technology system has been delayed. The deadline still remains June 2018. As such, the Department for Communities in Northern Ireland has now found itself with the unenviable task of trying to implement one of the biggest shake-ups in a generation over less than 12 months, but I am sure it will manage that with the help of others.

We still do not support the abolition of the work-related activity component of employment and support allowance for new claimants from April 2017. However, the debate has been held, and the Government have not taken that on board, so we must progress with what we have. We must now move on to identify all the additional support and help that claimants need to help them return to work.

On a more principled issue, there is huge frustration that, first, this measure has had to come back here to be implemented and, secondly, that it has taken so long, at a huge cost to organisations such as the health service and the education service, where there have been delays after delays. A lot of this has just been grandstanding. I fully accept the point that some people just did not want to vote for this in the Northern Ireland Assembly and Executive. Let us be blunt about it: Sinn Féin was the biggest proponent of that, assisted to some extent by the SDLP. The reality is that this issue could have been resolved many months—in fact, years—ago. The delays have been at a huge cost to the people of Northern Ireland—the ordinary people who needed that health care and that education.

I support the continuance of this measure. There are some changes that I would have liked to see that did not happen, but we are where we are, so I support the progression of this measure. Clearly, however, we cannot get into another mess like the one we have been in for the last couple of years; otherwise, the Northern Ireland Executive and Assembly will be back to a very difficult position and, once again, to stalemate.

[Mr Nigel Dodds (Belfast North) (DUP)]

It is a pleasure to follow the hon. Member for Fermanagh and South Tyrone (Tom Elliott). I want to support what my hon. Friend the Member for East Antrim (Sammy Wilson) said very powerfully about why we are here today debating this statutory instrument. It is important to emphasise that this is not a situation that we on these Benches wanted to see. We want to see the Northern Ireland Assembly legislate in those areas that are devolved, although it should be noted that the Scottish Parliament, with the extensive powers it has, does not have responsibility for welfare. This is an area where Northern Ireland took responsibility, and those who negotiated the 1998 Belfast agreement decided it would be a good idea to devolve welfare to Northern Ireland, with the massive cost that comes with that, although the vast bulk of it, as my hon. Friend said, comes from direct payments and not out of the Northern Ireland block grant. As a former social development Minister back when devolution began in 1999, I remind the House that the understanding was that there should be parity, because if we deviated from that, then Northern Ireland would have to pay for it out of the block grant. Areas such as hospital spending, education, the environment and housing would all have to suffer cuts to pay for any deviation.

This comes to the crux of the arguments that took place in the Northern Ireland Assembly in recent times. People in certain parties—notably the SDLP, and at times Sinn Féin and others—would say, “Let’s deviate, let’s do our own thing—we’re not accepting these welfare cuts.” Their proposal to try to get something for Northern Ireland was to say, “Let’s set up a committee, go and knock on the door of the Treasury, and demand that Northern Ireland receives hundreds of millions of pounds extra,” which was never going to happen.

Had this measure not been introduced—had the “Fresh Start” negotiations that took place primarily between the DUP and Sinn Féin not had a successful outcome—then by now we would have had full, untrammelled direct rule from this place. That is the reality of it. We would have had welfare changes in Northern Ireland that were exactly the same as those in England and Wales. There would have been none of the mitigations—none of the changes that we implemented, and wanted to see implemented. So the consequence of the approach of members of the SDLP and others who opposed a sensible compromise would have been full, untrammelled welfare changes of the sort that they say they oppose.

[Tom Elliott]

Can the right hon. Gentleman enlighten us, because I have not got to the bottom of it, on why Sinn Féin has done such a somersault on this? It totally opposed it for years, and then all of a sudden it seemed to come to its senses and accept the principle of it. Can he shed any light on that?

[Mr Dodds]

It is for Sinn Féin to explain its own position. It is not for me to speak for it, especially when its Members do not come to this House. Certain Members are often seen about the corridors. They are here to collect their allowances—their political representation money and their constituency office allowances—but that is all they do; they do not take part in any other parliamentary processes. I will therefore leave it to them.

The reality had to dawn on people in Northern Ireland that we were facing the collapse of the political institutions. It is a bit like a local council in England or Wales, or anywhere else, being told, “Here’s your financial settlement—here’s what you’ve got to work within,” and the leading party there saying, “Sorry, we’re not going to accept that. We’re going to set budgets that are way beyond that, we’re going to just ignore the financial realities, we’re not going to make any compromises which will safeguard the most vulnerable”—