Asked by: Martin Wrigley (Liberal Democrat - Newton Abbot)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, if she will make an assessment of the potential implications for her policies of OBR forecasts on the percentage of GDP spent on social security benefits in the next four years.
Answered by Stephen Timms - Minister of State (Department for Work and Pensions)
The OBR forecast for welfare spending as a percentage of GDP is expected to be 10.8% in 2029-30 once Spring Statement 2025 policy measures have been factored in. This compares to 10.9% without the incorporation of policy measures.
These figures exclude spending consequences for the Scottish Block Grant adjustment arising from Spring Statement 2025 policy measures.
| 2024/25 | 2025/26 | 2026/27 | 2027/28 | 2028/29 | 2029/30 |
Spring 25 policy package (excluding impacts on Scottish Block Grant Adjustment) | 0.0 | 0.1 | 0.1 | 1.7 | 3.3 | 4.4 |
Welfare spending as a % of GDP (Excluding expenditure on Scottish Block Grant Adjustment) | 2024/25 | 2025/26 | 2026/27 | 2027/28 | 2028/29 | 2029/30 |
Spending as a % of GDP (no measures) | 10.9% | 10.9% | 11.0% | 10.9% | 10.8% | 10.9% |
Spending as a % of GDP (with SS25 policy package) | 10.9% | 10.9% | 11.0% | 10.8% | 10.7% | 10.8% |
Difference | 0.0% | 0.0% | 0.0% | -0.1% | -0.1% | -0.1% |
Asked by: John Milne (Liberal Democrat - Horsham)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, whether she has made an assessment of the potential merits of creating an independent process to set benefit levels according to the cost of essentials.
Answered by Stephen Timms - Minister of State (Department for Work and Pensions)
No assessment has been made. The Social Security Administration Act 1992 requires the Secretary of State for Work and Pensions to review benefit and State Pension rates each year to see if they have retained their value in relation to the general level of prices or earnings. Where the relevant benefit or State Pension rates have not retained their value, legislation provides that the Secretary of State is required to, or in some instances may, up-rate their value.
Following this review, benefit and State Pension rates are increased in line with statutory minimum amounts and others are increased subject to Secretary of State’s discretion.
Following the Secretary of States’ up-rating decisions for 2025/26, DWP expenditure on state pensions and benefits will increase by £6.9 billion.
Nov. 13 2024
Source Page: Letter dated 23/10/2024 from Baroness Anderson of Stoke-on-Trent to Lord Bruce of Bennachie and Lord Cameron of Lochiel regarding questions raised during the debate on the Social Security (Scotland) Act 2018 (Disability Assistance) (Consequential Modifications) Order 2024: Scottish Government underspend on social security benefits, block grant, divergence. 2p.Found: Bruce of Bennachie and Lord Cameron of Lochiel regarding questions raised during the debate on the Social
Asked by: Gregory Campbell (Democratic Unionist Party - East Londonderry)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, whether recipients who have not been suspected of benefit fraudulent activity will be subject to having their personal bank account details scrutinised.
Answered by Andrew Western - Parliamentary Under-Secretary (Department for Work and Pensions)
Fraud and error in the social security system currently costs the taxpayer almost £10 billion a year and, since the pandemic, a total of £35 billion of taxpayers’ money has been incorrectly paid to those not entitled. The DWP is determined to reduce those levels.
The Eligibility Verification Measure (EVM) in the proposed Fraud, Error and Debt Bill will not give DWP access to any bank accounts, nor any information on how claimants spend their money. The proposed new power instead helps verify benefit eligibility, using very limited information from banks and financial institutions. As set out by the National Audit Office, access to data is key to prevention and detection of incorrect payments.
EVM will require banks and financial institutions to look within their own data to highlight where someone may not be eligible for the benefits they are receiving. The data will only be sent to DWP if there is a possible conflict with the benefit eligibility rules, such as the £16,000 capital limit in Universal Credit or individuals living abroad without notifying the Department.
The information gathered will help DWP identify incorrect payments, prevent debts from accruing for the claimant and help identify where there may be fraudulent activity. No benefit entitlement decision will be made solely because of the data obtained under EVM and a final decision on benefit entitlement will always involve a human agent.
Further details will be set out when the Bill is introduced to Parliament.
Asked by: Rupert Lowe (Independent - Great Yarmouth)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, pursuant to the Answer of 14 October to Question 6949 on Social Security Benefits: Foreign Nationals, if she will make it her policy to collect data on the nationality of those claiming benefits.
Answered by Andrew Western - Parliamentary Under-Secretary (Department for Work and Pensions)
There are no plans to start consistently collecting nationality data across all DWP benefit lines. This is because DWP policy responsibility lies in establishing a customer’s eligibility to claim benefits. An individual’s specific nationality does not play a role in this.
The Department checks immigration status when assessing eligibility for benefits, but this information is not collated centrally across all benefit lines and hence is not readily available. We are, however, exploring the feasibility of developing suitable statistics related to the immigration status of non-UK / Irish customers.
Asked by: Alex Easton (Independent - North Down)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, whether she is taking steps to reform the disability benefits system for people living with multiple sclerosis.
Answered by Stephen Timms - Minister of State (Department for Work and Pensions)
This government is committed to breaking down the barriers to opportunity for disabled people and people with health conditions, including people with multiple sclerosis, improving our employment and health support offer and tackling rising levels of economic inactivity.
We will be considering our own approach to social security in due course and welcome the opportunity to work in partnership with disabled people and the people that represent them to address some of the most challenging issues under this new government.
More disabled people and people with health conditions will be supported to enter and stay in work, by devolving more power to local areas so they can shape a joined-up work, health, and skills offer that suits the needs of the people they serve.
These plans to reform the system are central to our missions of kickstarting economic growth and breaking down barriers to opportunity.
Written Evidence Mar. 25 2025
Inquiry: The UK-EU resetFound: Coordination of social security under the TCA Coordination of social security for people moving between
Report Mar. 12 2025
Committee: Social Justice and Social Security CommitteeFound: This report sets out the Social Justice and Social Security Committee's consideration of the Social Security
Asked by: James McMurdock (Reform UK - South Basildon and East Thurrock)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, what assessment her Department has made of the potential merits of alternative methods to reduce fraud and error in the benefits system that would not involve granting her Department's investigators access to claimants’ bank accounts.
Answered by Andrew Western - Parliamentary Under-Secretary (Department for Work and Pensions)
Fraud and error in the social security system currently costs the taxpayer almost £10 billion a year and, since the pandemic, a total of £35 billion of taxpayers’ money has been incorrectly paid to those not entitled to the money. This Government will reduce these levels to stop those looking to defraud the system and reduce the risk of individuals building up large overpayments.
The Eligibility Verification Measure, which will allow banks and financial institutions to share limited information with the DWP to help verify benefit eligibility, has been proposed after extensive consideration and policy development as the most effective way to prevent incorrect payments and crucially, help prevent debts accruing for claimants. As the National Audit Office pointed out, access to data is key to prevention and detection of incorrect payments.
The Eligibility Verification Measure will not give DWP powers to access anyone’s bank accounts, nor any information on how claimants spend their money. Claimants fulfilling their responsibilities by promptly and accurately reporting any changes in their circumstances will not be impacted by these changes.
We will ensure that these powers are proportionate by setting out key safeguards, reporting mechanisms and independent oversight, to give greater confidence to claimants that the powers are being used fairly and effectively.
We will rely on Codes of Practice where they already exist and, where they do not, we will consult on and produce new Codes of Practice to provide further reassurance on the safe use of the powers.
Further details will be set out when the Bill is introduced to Parliament.