Oral Answers to Questions

Will Quince Excerpts

Monday 9th March 2020 Commons Chamber

[Karl MᶜCartney (Lincoln) (Con)]

18. What steps she is taking to provide support for people who require additional help transitioning to universal credit.

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

The Department is working with a range of organisations to support claimants who are transitioning to universal credit. Help to Claim, which is being delivered by Citizens Advice, is working effectively for claimants, and we are in the concluding stages of detailed discussions for a second year of delivery.

[Giles Watling]

On a recent visit to my local jobcentre, it was clear that we have excellent staff and that they support universal credit. Will the Minister outline what plans are in place for outreach services for those who might be intimidated by a visit to the jobcentre or, indeed, who want to access support online?

[Will Quince]

I thank my hon. Friend for his question and for visiting his local jobcentre. All jobcentres have wi-fi and computers available for claimants to access the internet. For those who are still unable to access or use digital services, or who are not able to travel, assistance to make and maintain their claim is available via the freephone UC helpline. As I mentioned, Help to Claim offers tailored practical support to help people make a UC claim.

[Sara Britcliffe]

As universal credit is rolled out, I welcome the use of new technology to help applicants, particularly in Hyndburn. What support is available to make sure applicants make the best use of the new systems?

[Will Quince]

Universal credit has been designed to be as quick and easy as possible for the user, ensuring claimants receive money at the earliest available opportunity. It is designed to be a digital-first service, ensuring we make the best use of technology to design a modern and effective working-age welfare system. It is important to note that our UC claimant survey found that 98% of claimants have internet access and have claimed online.

[Karl MᶜCartney]

I thank my hon. Friend for his answer. Is he aware that in Lincoln we are pleased that the claimant rate is as low as 4.4%, which is a vast improvement on what it was when I was first elected in 2010? Will he outline what other initiatives his Department is undertaking, as well as the local jobs fairs that Conservative MPs organise in their constituencies, to assist the 2,500 or so claimants in my constituency?

[Will Quince]

I thank my hon. Friend for his question and for all the work he does in this area, and I welcome him back to his place. In recent years, the Government have made significant investment to improve work incentives, including the reduction in the UC taper rate from 65% to 63% and an extra £1.7 billion a year put back into UC to increase work allowances for working parents and disabled claimants by £1,000 a year from April 2019. That provides a boost to the incomes of the lowest paid and results in 2.4 million families keeping an extra £630 a year of what they earn.

[Margaret Greenwood (Wirral West) (Lab)]

The Prime Minister said last week that any workers who need to self-isolate because of the coronavirus and who are not eligible for statutory sick pay could claim UC. However, people have to meet a work coach at the start of a claim for UC, there is a five-week wait for the first payment and anyone asking for an advance also has to go to a jobcentre to have their identity verified. So how will people who have to self-isolate be able to claim UC?

[Will Quince]

I thank the hon. Lady for her question. As the Prime Minister set out last week, we will introduce, as part of the Department of Health and Social Care’s emergency Bill, provisions for statutory sick pay to be made from day one. Employers have been urged to make sure they use their discretion and respect the medical need to self-isolate in making decisions about sick pay. People not eligible to receive sick pay may be able to claim UC and/or contributory employment and support allowance, and staff at our jobcentres are ready to support people affected and can rebook any assessment or appointment that is necessary.

[Neil Gray (Airdrie and Shotts) (SNP)]

That just does not answer the question, does it? Will the Minister therefore outline what happens where someone on UC has to self-isolate but has to go through work searches and is unable to attend a jobcentre? Will he expect that person to be sanctioned if she cannot turn up?

[Will Quince]

Absolutely not, and discretion will, of course, be used.

[Neil Gray]

The Minister said last month that he of course thought that improvements could be made to UC. I agree, so perhaps he could outline some, starting with ending the two-child cap, ending the five-week wait and fully restoring the work allowances. Have those conversations been had between his Department and the Treasury, ahead of the Budget?

[Will Quince]

I thank the hon. Gentleman for his question. We are a Government who listen. Let us look at the improvements that have already been made to UC: increased advances, of up to 100% of a full monthly payment; cutting the taper rate, so people keep more of their salary; increasing the amount someone can earn before their UC is reduced; scrapping the seven-day waiting times; introducing a two-week overlap of housing benefit; and, as of July, we are introducing a two-week overlap of various legacy benefits. There are lots of improvements to be made. They do, of course, require Treasury approval, and I am looking at these in a lot of detail.

[Martin Vickers (Cleethorpes) (Con)]

Like my hon. Friend the Member for Clacton (Giles Watling), I recently visited one of the jobcentres that serves my constituency—it was in Grimsby and, along with the ones in Immingham and Barton-upon-Humber, it serves Cleethorpes. The staff there do an excellent job and they are very positive about UC. Will he congratulate the staff and do what he can to reassure those who are having problems transitioning to UC that the Government will be working to solve any of the existing problems?

[Will Quince]

I thank my hon. Friend for his question and for visiting the jobcentre, and he describes the same feedback that my Front-Bench colleagues and I receive when we visit jobcentres. UC is a modern, flexible, personalised benefit, which reflects the rapidly changing world of work. Conservative Members believe that work should always pay and that we need a welfare system that helps people into work, supports those who need help and is fair to everyone who pays for it. I can certainly thank the staff at that jobcentre for all the work they do.

[Stephen Timms (East Ham) (Lab)]

A major cause of difficulty in transitioning to UC is the five-week delay between applying and being entitled to benefit. The Work and Pensions Committee, at its first meeting last week, chose to make this the subject of its first major inquiry, and I am grateful to the Minister for the conversation we have already had about this. Will he confirm that the Department will do all it can to assist the Select Committee in its inquiry?

[Will Quince]

I thank the Chairman of the Select Committee for his question. I start from the premise that we do not believe anybody has to wait five weeks for a payment under universal credit. Advance payments are available at the beginning of a UC claim and budgeting support is available for anybody who needs extra help. We have the two-week roll-on of housing benefit, and as of July this year we will also have the two-week roll-on of other legacy benefits. I will of course look carefully at the findings of the report by the right hon. Gentleman’s Committee.

[Mark Tami (Alyn and Deeside) (Lab)]

3. What steps she is taking to reduce the length of time between a claimant’s last universal credit payment and first state pension payment.

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

The Government recently announced that anyone reaching state pension age while claiming universal credit can receive a run-on until the end of the assessment period in which they reach state pension age. This removes any potential gap in provision, with such pensioners receiving, on average, an additional £350.

[Mark Tami]

The announcement in the written statement on Thursday was extremely welcome and a great victory for hundreds of thousands of pensioners throughout the country. I thank all Members from all parties who signed early-day motion 129, which highlighted the issue. As it was clearly a bad policy in the first place, what redress will the Government offer to those pensioners who have already suffered loss?

[Will Quince]

First, I thank the right hon. Gentleman for all his work in this policy area. As he rightly pointed out, the change does remove any potential gap in provision, with people reaching state pension age and leaving universal credit receiving an additional £350 on average. I stress that the process is already in operation on an extra-statutory basis, ensuring that nobody loses out on reaching state pension age. Legislation will be amended accordingly later this year.

[Andrew Bridgen (North West Leicestershire) (Con)]

Will the Minister outline to the House what steps his Department is taking to support those citizens who have fallen into problem debt?

[Will Quince]

Certainly—the breathing space policy is a prime example. If my hon. Friend would like to meet me or, indeed, the Under-Secretary of State for Work and Pensions, my hon. Friend the Member for Hexham (Guy Opperman), who is the Minister for Pensions, we would be happy to do so to set out in more detail the action that the Government are taking.

[Angela Richardson (Guildford) (Con)]

4. What steps she is taking to support people with disabilities into employment.

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[Kirsten Oswald (East Renfrewshire) (SNP)]

16. What assessment her Department has made of the effect of the four-year freeze in working-age social security benefits on levels of poverty.

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

The benefit freeze will end next month, and working age benefits will rise with inflation. We will spend an additional £1 billion on working age benefits in 2020-21.

[Kirsten Oswald]

A 1.7% increase in working age benefits does not make up for the damage caused by the four-year freeze: affected benefits and tax credits will be about 6% lower in 2020-21. If austerity was really over, the UK Government would be making up the shortfall. Has the Secretary of State asked the Treasury to make up that shortfall?

[Will Quince]

As I have just said, the Government have already announced that working age benefits will rise in line with inflation next month. As the hon. Lady will know, the Secretary of State has a statutory obligation each autumn to conduct a review of pension and benefit rates for the following year. This review will begin in October for implementation in the following April.

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

17. What plans she has to provide financial support to women affected by the equalisation of the state pension age.

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[Selaine Saxby (North Devon) (Con)]

T9. Many of my constituents are taking advantage of the online application for advance payments of universal credit. I recognise that it is a useful facility, but no bank would lend to people in this manner. Will the Minister work to ensure that claimants receive proper debt advice before requesting an advance and look to significantly extend the repayment period?

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

Advances are an important tool to help the most vulnerable claimants receive the money they need to live on. As part of the application process, proposed repayments and advance payment are explained. All claimants are advised to request a level of advance that is manageable when considering the repayments required.

We have announced that from October 2021 the repayment period will extend to 16 months, but I am very sympathetic to extending it further and am looking at that in detail.

[Grahame Morris (Easington) (Lab)]

T6. Evidence from Macmillan Cancer Support shows the availability of home visits for people suffering from cancer and claiming universal credit varies considerably across the country, with some waiting up to a year. Even before the advent of coronavirus, people with cancer should not really have attended a jobcentre if they were undergoing chemotherapy and were at risk of infection. What advice will the Minister give on that? Will he publish the figures on the availability of home visits for universal credit across the country?

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[Helen Hayes (Dulwich and West Norwood) (Lab)]

The gap between local housing allowance rates and average rents for a two-bed property in Southwark is now over £1,000 a month, and raising the local housing allowance in line with the consumer prices index will do almost nothing to close the gap. By continuing to ignore the issue, the Secretary of State is continuing to contribute to entirely unnecessary homelessness. If the Government are serious about ending homelessness, will the Secretary of State urge her right hon. Friend the Chancellor of the Exchequer to use this week’s Budget to re-link the LHA to the bottom third of rents?

[Will Quince]

As the Secretary of State said a moment ago, local housing allowance rates are not intended to meet all rents in all areas. The LHA is designed to ensure a fair balance between supporting vulnerable people to meet their housing costs and public spending. From April 2020, LHA rates will be increased by inflation, but I join the Secretary of State in urging the Mayor of London to do far more in terms of supply.

[Paul Maynard (Blackpool North and Cleveleys) (Con)]

In 2015, our election manifesto rightly committed us to halving the disability employment gap. By 2019, unfortunately, we had watered that down merely to reducing it. 2015 was also the last year that we published Fulfilling Potential indicators, allowing us to monitor the gap. As the Minister pulls together his new national disability strategy, I urge him to reinvent the wheel and provide robust statistical indicators to allow us to monitor the narrowing of the gap.