Oral Answers to Questions

Will Quince Excerpts

Monday 8th March 2021 Commons Chamber

[Bob Blackman (Harrow East) (Con)]

How many and what proportion of benefit claimants are in rent arrears.

[The Parliamentary Under-Secretary of State for Work and Pensions (Will Quince)]

We do not collect information about individuals’ rent accounts. For universal credit claimants with rent arrears, alternative payment arrangements and support with budgeting are available. In 2020-21, we are projected to spend almost £30 billion on housing benefit and the housing element of universal credit to support people with their housing costs.

[Bob Blackman [V]]

I thank my hon. Friend for that answer. The evidence produced by the National Residential Landlords Association and a lot of housing charities demonstrates that rent arrears are growing and growing very fast such that they will probably never be repaid. What action will my hon. Friend take to ensure that rent arrears are eliminated and further assistance is provided to people who genuinely cannot afford to pay their rent?

[Will Quince]

I thank my hon. Friend for his question. He is a strong advocate on these issues. As I say, managed payment to a landlord is available where universal credit claimants are unable to manage monthly payments and are at risk of financial harm. That can be requested by the tenant, landlord or work coach. Our relatively new online tool makes it easier for landlords to request a managed payment to landlords. UC also enables a landlord to request recovery of rent when a UC claimant is in arrears or once a tenancy reaches two months’ rent arrears. I agree to some extent with my hon. Friend. Rent arrears concern me too and we continue to monitor the situation very closely.

[Ms Karen Buck (Westminster North) (Lab) [V]]

Of the 1.3 million universal credit households who are claiming housing support for their properties in the private rented sector—that is, the people who are most at risk of homelessness as a consequence of rent arrears—in more than 700,000 cases, so more than half, there is a shortfall between the rent being charged and the help available. That number has grown by a quarter of a million since the start of the pandemic. With housing support being cut again in the Budget, will the Minister answer this one question? Will that number have gone up or fallen during the remainder of 2021?

[Will Quince]

We increased the local housing allowance rates in April 2020. We invested nearly £1 billion in LHA, lifting rates to the 30th percentile, giving an average increase of £600 more housing support per year than would otherwise have been received. For 2021-22, all LHA rates will be maintained at the increased level, ensuring that claimants continue to benefit from the increase. For those who require additional support, £140 million of discretionary housing payments are available next year.

[Daniel Zeichner (Cambridge) (Lab)]

What recent estimate she has made of employment rates in the UK.

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[Matt Western (Warwick and Leamington) (Lab)]

What steps her Department is taking to ensure universal credit payments are not reduced in the event of a claimant receiving two payments in the same monthly assessment period as a result of a wage payment being delayed by a bank holiday or weekend.

[The Parliamentary Under-Secretary of State for Work and Pensions (Will Quince)]

We introduced legislation on 16 November so that monthly earnings can be reallocated to another assessment period, meaning that claimants affected by this issue will therefore have one salary payment taken into account in each assessment period. We have also produced guidance to help to ensure that claimants, staff and representatives are aware of different earning patterns and the impact on universal credit payment cycles.

[Matt Western]

People such as Mr B in my constituency and across the country have been forced to survive with little to no support, all because of an error through the Minister’s Department. Worse still, the pain has been prolonged by pursuing this through the courts. Will the Minister do the right thing and properly recompense those affected, such as Mr B, who suffered as a result of utilities being cut off and consequent costs as a result? And will the Minister meet me to discuss that specific case?

[Will Quince]

Of course, I will be very happy to meet the hon. Gentleman to discuss that individual case, and I am very sorry to hear of those circumstances. However, the Court of Appeal judgment was very specific and was limited to double earnings for those paid calendar-monthly caused by a non-banking day salary shift. We have chosen to go further and include all the monthly-paid who are affected by double earnings, but the judgment did not require the Department to apply the new arrangements retrospectively.

[Ian Paisley (North Antrim) (DUP)]

What discussions her Department has had with the Department for Communities on the kickstart scheme.

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[Sally-Ann Hart (Hastings and Rye) (Con)]

What steps she is taking to support universal credit claimants during the covid-19 outbreak.

[The Parliamentary Under-Secretary of State for Work and Pensions (Will Quince)]

We have injected over £7 billion into our welfare system, including increasing the universal credit standard allowance for a further six months until September, providing claimants with an additional £1,560-worth of support over 18 months. We are extending the minimum income floor relaxation to July 2021 for all self-employed UC claimants affected by the economic impact of covid-19, and we are increasing the number of work coaches by 13,500 this financial year.

[Sally-Ann Hart [V]]

Universal credit has helped millions of people during covid, including thousands in Hastings and Rye. It is one of the positive news stories to come out of the pandemic, but it is clear that many universal credit claimants need ongoing support tailored to their specific circumstances. What steps is my hon. Friend taking to deliver a strengthened universal credit support service that meets the needs of claimants and ensures a consistent and streamlined service for claimants, not just in Hastings and Rye, but across the country?

[Will Quince]

I thank my hon. Friend for that question. She is a strong advocate for her constituents in Hastings and Rye. Since April 2019, and throughout the covid pandemic, we have provided funding to Citizens Advice and Citizens Advice Scotland to deliver Help to Claim, which gives specific and targeted support for those people needing additional support to successfully make a universal credit claim. I am pleased to say that we will be funding that support for a further 12 months.

[Catherine West (Hornsey and Wood Green) (Lab)]

What assessment she has made of the implications for her policies of the financial barriers to people’s compliance with the requirement to self-isolate; and if she will make a statement.

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[The Parliamentary Under-Secretary of State for Work and Pensions (Will Quince)]

In April 2020, legacy benefits were increased by £600 million, and they will increase by a further £100 million as part of the Government’s annual uprating exercise. Support is also available for legacy claimants migrating across to universal credit. Since July 2020, a two-week run-on of housing benefit, income support and income-related employment and support allowance and income-based jobseeker’s allowance is paid to eligible claimants to provide additional support to move to UC.

[Kate Osamor [V]]

Nearly 2 million sick and disabled people claiming ESA have missed out on £1,000 this year, at a time when they are facing increased costs. The Minister will know that for many of them a transition on to UC would see them significantly worse off. Will he review the Chancellor’s decision to continue to discriminate against those disabled people on legacy benefits? Almost a year into the crisis, what possible justification is there for this two-tier system?

[Will Quince]

The temporary UC standard allowance uplift was introduced to support those facing the most financial disruption due to the pandemic. Legacy benefits were uprated by CPI—the consumer prices index—last year and will be uprated again by CPI as part of the annual uprating exercise. Claimants on legacy benefits can make a claim for UC if they believe they will be better off. I encourage anybody to go on gov.uk and use one of the independent benefit calculators to check carefully their eligibility, because on applying for UC their entitlement to legacy benefit will cease.

[Florence Eshalomi (Vauxhall) (Lab/Co-op)]

What discussions she has had with Cabinet colleagues on the financial effect of the covid-19 outbreak on disabled people and their carers.

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[The Parliamentary Under-Secretary of State for Work and Pensions (Will Quince)]

I thank my hon. Friend for that question. We understand how vital this support is to families who have suffered the loss of a loved one. We intend to take forward a remedial order to remove the incompatibilities from the legislation governing widowed parents allowance and bereavement support payment by extending those benefits to unmarried cohabiting couples with children. The order will be laid before the House in due course.

[Kerry McCarthy (Bristol East) (Lab) [V]]

The Minister for Disabled People will know that many disabled people’s organisations are extremely unhappy about the national disability strategy consultation, which closed last month. They were quoted as being “shocked and dismayed” and I know the Bristol Disability Equality Forum feels the same. What conversations has he had with the Disability Unit in the Cabinet Office to try to rectify this and ensure that disabled people do not feel insulted and excluded but are properly engaged in this process?