Housing Benefit (Abolition of Social Sector Size Criteria)

Debate between Yvonne Fovargue and Lilian Greenwood

Wednesday 17th December 2014 Commons Chamber

[Yvonne Fovargue]

Absolutely, and that is the problem with a discretionary payment. Do we really want people to move every time their circumstances change? Let us look at it logically. A young couple move into a one-bedroom flat. They have a child so they move to a two-bedroom flat. Then they have another child. The children start school and can share a bedroom for a certain time, but when the first child is older the family move again to a three-bedroom property. Then, when the eldest child is 18, they move back to the two-bedroom flat. Then they go to a one-bedroom flat. Is that not a sure way to break down communities, take away social cohesion and spoil children’s education just when they need it? However, that point is academic, because, as I said, there just are not the properties available for people to move around like that. People are not chess pieces.

Perhaps the Government know that. This is not really about overcrowding, but saving money. Even by that yardstick, however, it still does not work. The Department for Work and Pensions assessment has been downgraded a number of times. It now appears that the cost of dealing with the debt, eviction, abandonment of properties and widespread misery and mental health problems caused by this pernicious tax might mean that cash savings are minimal or non-existent.

[Lilian Greenwood]

Will my hon. Friend give way?

[Yvonne Fovargue]

Not at the moment.

Debt, eviction and widespread misery are what we are talking about. They are the result of the Government’s reform. People have not been given a choice. If they cannot move to a property with fewer bedrooms, they have to make up the rent difference themselves. For tenants in Wigan, the financial impact ranges from nearly £10 a week to nearly £25 a week, or £1,273 a year. That is a lot of money to find on a low income. As I said, they cannot move because there is a shortage of housing, so they have nowhere to go, are staying put and building up debts. One clear consequence of the policy is the build-up of rent arrears. Figures from my constituency demonstrate that 44% of under-occupation households were in arrears in March 2014. The amount of arrears from the 3,319 households was £381,000, with £225,000 solely attributable to the under-occupation charge. That is not a good outcome for a local authority trying to balance its budget, and it is not good for the people themselves, who are at risk of being evicted because they simply cannot find the extra money to pay their rent. It is bad for tenants and it is bad for the councils that are trying to balance compassion with getting the money in. The only alternative to building up debts is to cut down on essentials, such as heating and food. I think we can certainly conclude that the bedroom tax has played its part in pushing people towards food banks, which have surely become the defining image of the Government in their dying days.

It is not too late for the Government to do the right thing and scrap this cruel and unfair tax. It has not given them what they wanted—budget savings—and has not helped to end overcrowding or make our housing system fairer. All it has done is to make poor people more stressed and desperate, living with the constant uncertainty of discretionary housing payments. I stress the word “discretionary”, because there is nothing certain about them at all. The human cost of the policy does not justify any savings that may have been made. I urge Government Members to look at that at Christmas and vote with the Labour party.

Legal Aid Reform

Debate between Yvonne Fovargue and Lilian Greenwood

Thursday 3rd February 2011 Commons Chamber

[Yvonne Fovargue]

Yes, I totally agree. In fact, my local citizens advice bureau has phoned the Benefits Agency 100 times and has had no response apart from saying that everyone is busy.

These issues are not considered of sufficiently high importance, but when a person is ill or has a disability one of their major concerns is having an adequate income to enable a decent quality of life. The early advice available under this funding can save money. Some 80% of social welfare legal aid cases have positive outcomes for clients. In the agency where I worked, 70% of our reassessment appeals were successful, and that negated the need for a costly tribunal.

I would like to debunk the myth that these cases are not complex. My own CAB in Wigan dealt with a case for three years where the Department for Work and Pensions asserted that a couple were living together as man and wife, despite evidence from a neighbouring local authority that Mr M was resident there and receiving benefits, and that he merely visited to look after his disabled daughter, assisting with her care on occasion. Mrs M was summonsed for benefit fraud, convicted, and ordered to repay £27,000. The CAB continued with the case, appealed three times, and went to the Secretary of State. At the final appeal, Mrs M was found to owe £236—a reduction of more than £26,500. Was that a complex case? Would it be suitable for a telephone helpline? I do not think so. That client needed the face-to-face help given by a skilled CAB adviser and was funded by legal aid.

[Lilian Greenwood (Nottingham South) (Lab)]

I congratulate my hon. Friend on securing this debate. Does she agree that the suggestion that legal advice could be provided over the phone fails to understand the level of support that is provided by many legal representatives, particularly when they are dealing with vulnerable groups such as asylum seekers and refugees—often people who face persecution, are separated from their family, and perhaps do not have English as a first language?

[Yvonne Fovargue]

I agree with my hon. Friend. In times of stress, people often need the support of a friendly face.

For every £1 of legal aid expenditure on welfare benefits in the Wigan borough, £20.50 per year of additional benefit is obtained for clients. Nationally, for every £1 of legal aid expenditure on welfare benefits, the state potentially saves £8.80.