Asked by: Baroness Lister of Burtersett (Labour - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government what progress they have made on meeting the United Nations Sustainable Development Goal 1 in the UK.
Answered by Viscount Younger of Leckie - Parliamentary Under-Secretary (Department for Work and Pensions)
The Government is committed to reducing poverty and supporting low-income families. We will spend around £276bn through the welfare system in Great Britain in 2023/24 including around £124bn on people of working age and children, and around £152 billion on pensioners. Of this, around £79 billion will be spent on benefits to support disabled people and people with health conditions.
From April, we uprated benefit rates and State Pensions by 10.1%, and in order to increase the number of households who can benefit from these uprating decisions the benefit cap levels also increased by the same amount.
In 2021/22 there were 1.7 million fewer people in absolute poverty after housing costs than in 2009/10, including 400,000 fewer children, 1 million fewer working age adults and 200,000 fewer pensioners.
With almost one million job vacancies across the UK, our focus remains firmly on supporting individuals to move into and progress in work. This approach which is based on clear evidence about the importance of employment - particularly where it is full-time - in substantially reducing the risks of poverty. The latest statistics show that in 2021/22 working age adults living in workless families were 7 times more likely to be in absolute poverty after housing costs than working age adults in families where all adults work.
Through the ambitious package announced at the Spring budget we are delivering measures that are designed to support people to enter work, increase their working hours and extend their working lives.
To help people into work, our core Jobcentre offer provides a range of options, including face-to-face time with work coaches and interview assistance. In addition, there is specific support targeted towards young people, people aged 50 plus and job seekers with disabilities or health issues.
To support those who are in work, from 1 April 2023, the National Living Wage (NLW) increased by 9.7% to £10.42 an hour for workers aged 23 and over - the largest ever cash increase for the NLW. In addition, the voluntary in-work progression offer started to roll-out in April 2022. It is now available in all Jobcentres across Great Britain. We estimate that around 1.4m low-paid benefit claimants will be eligible for support to progress into higher-paid work.
This government understands the pressures people are facing with the cost of living which is why we are providing total support of over £94bn over 2022-23 and 2023-24 to help households and individuals with the rising bills.
Asked by: Baroness Altmann (Conservative - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government what assessment they have made, if any, of the change in value of the full basic state pension weekly payment in 2023–24 if it had been linked only to consumer price index inflation since 2010.
Answered by Viscount Younger of Leckie - Parliamentary Under-Secretary (Department for Work and Pensions)
The full weekly amount of basic State Pension would have been worth £139.10 in 2023-24 if it had been uprated by inflation (CPI) since 2010.
Asked by: Sammy Wilson (Democratic Unionist Party - East Antrim)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, what recent steps his Department has taken to support disabled people with the cost of living.
Answered by Tom Pursglove - Minister of State (Minister for Legal Migration and Delivery)
The Government understands the pressures people, including disabled people, are facing with the cost of living. Disabled people may be entitled to an extra costs benefit such as Personal Independence Payment (PIP), which is a contribution towards the extra costs associated with being disabled. PIP is paid tax free and can be worth up to £8,983 a year. Recipients are free to choose how they spend their PIP and there is no requirement for them to use it for any particular purpose. Entitlement to PIP depends on the effects that a disability or health condition has on a disabled person’s life and not on a particular disability or diagnosis.
PIP can passport to a range of additional support including:
PIP also exempts the eligible household from the Benefit Cap.
In April, we uprated benefit rates and State Pensions by 10.1%. In order to increase the number of households who can benefit from these uprating decisions, the benefit cap levels also increased by the same amount.
In addition, for 2023/24, households on eligible means-tested benefits will get up to £900 in Cost of Living Payments. This will be split into three payments across the 2023/24 financial year, with the first payment of £300 having already been made. A separate £150 payment was made to individuals in receipt of eligible disability benefits, including PIP, from 20 June. In addition, more than eight million pensioner households across the UK will receive a £300 Cost of Living Payment during winter 2023-24.
The Household Support Fund will continue until March 2024. This year long extension allows local authorities in England to continue to provide discretionary support to those most in need with the significantly rising cost of living. The devolved administrations will receive consequential funding as usual to spend at their discretion.
Asked by: Martyn Day (Scottish National Party - Linlithgow and East Falkirk)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, if he will make it his policy to increase statutory sick pay this autumn.
Answered by Tom Pursglove - Minister of State (Minister for Legal Migration and Delivery)
The Government has already increased Statutory Sick Pay this year as part of the annual uprating exercise in April 2023. This was in line with the Consumer Price Index (CPI) which has been the default inflation measure for the Government’s statutory annual review of benefits since 2011.
The Secretary of State is required by law to undertake a review of benefits and pensions annually. This review will commence shortly and the outcome will be announced in the Autumn in the usual way.
Asked by: Baroness Bennett of Manor Castle (Green Party - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government, further to the Department for Work and Pension's Estimated costs of uprating State Pension in frozen rate countries: 2024 to 2028, published on 19 July, whether there is any precedent where, when pensions were once frozen but started being uprated as a result of an international agreement, the pensions concerned were raised to the level they would have been had they never been frozen.
Answered by Viscount Younger of Leckie - Parliamentary Under-Secretary (Department for Work and Pensions)
There is no standard model for international agreements on social security, which are agreed on a case-by-case basis between countries or groups of countries. The UK's international agreements on social security which include State Pension provisions are included here:
Asked by: Baroness Bennett of Manor Castle (Green Party - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government, further to the Department for Work and Pension's Estimated costs of uprating State Pension in frozen rate countries: 2024 to 2028, published on 19 July, whether they can publish the background workings to the estimated costs of uprating the State Pension in frozen rate countries.
Answered by Viscount Younger of Leckie - Parliamentary Under-Secretary (Department for Work and Pensions)
The methodology is relatively straight forward and is contained within the publication but quoted below for ease:
Estimates of projected costs1. The estimate is based on the latest available data (March 2022) from the 5% extract of DWP’s State Pension administrative data, the Quarterly Statistical Enquiry (QSE).
2. The QSE is used to estimate the volume of individuals in frozen rate countries and their State Pension amounts.
3. The State Pension amount, for all current and future recipients, is uprated (using the relevant indices) to the level they would have been if they had never been frozen.
4. To estimate the costs for subsequent financial years we make adjustments to the underlying caseload and associated costs by:
5. The total cost for a given financial year is the difference between the uprated State Pension amounts and the frozen State Pension amounts.
As with all estimates of projected costs, there is a degree of uncertainty, however where possible we have taken steps to try to minimise any significant measurement error.
Links for the relevant data sources publicly available are:
- OBR economic assumption for the relevant uprating indices here
- Mortality projections here
- Benefit expenditure and caseload tables (table State_Pension) here
- Stat-Xplore SP outturn data from Nov 20 here
Asked by: Angela Crawley (Scottish National Party - Lanark and Hamilton East)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, what assessment his Department made of the impact of the rise in the cost of living on working families who (a) qualify and (b) do not qualify for universal credit.
Answered by Mims Davies - Minister of State (Department for Work and Pensions)
No such assessments have been made.
The Government understands the pressures people, including parents, are facing with the cost of living and is taking action to help. Overall, we are providing total support of over £94bn over 2022-23 and 2023- 24 to help households and individuals with the rising cost of bills.
From April 2023, everyone who receives a state benefit or pension will have seen their benefit rates increase by 10.1%. In order to increase the number of households who can benefit from these uprating decisions, the benefit cap levels have also increased by the same amount.
To support parents who are in work, from 1 April, the National Living Wage (NLW) increased by 9.7% to £10.42 an hour for workers aged 23 and over - the largest ever cash increase for the NLW.
We recognise that high childcare costs can affect parents’ decisions to take up paid work or increase their working hours. That is why, as announced at the Spring Budget, we are investing billions in additional childcare support for parents of toddlers, investing in wraparound childcare in schools, and increasing financial support for, and expectations of, parents claiming Universal Credit.
Households on eligible means-tested benefits will get up to £900 in Cost of Living Payments. The first £301 payments have been issued to 8.3 million households, and two further payments will follow this autumn and in spring 2024. In addition, 6.4 million individuals on eligible ‘extra-costs’ disability benefits have also recently received a further £150 Disability Cost of Living Payment meaning households with more than one disabled person will receive multiple Disability Cost of Living Payments.
For people who require additional support, in England, the Household Support Fund will continue until March 2024. This year long extension allows Local Authorities in England to continue to provide discretionary support to those most in need with the significantly rising cost of living. The guidance for Local Authorities can be found here. Local Authorities have the discretion to design their own local schemes within the parameters of this guidance and grant determination that DWP have set out for the fund. Local Authorities are expected to support households in the most need, and in particular those who may not be eligible for the other support Government has recently made available, however, are nevertheless in need. The Devolved Administrations will receive consequential funding as usual to spend at their discretion.
Asked by: Angela Crawley (Scottish National Party - Lanark and Hamilton East)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, what recent assessment his Department has made of the impact of the rise in the cost of living on working families with children.
Answered by Mims Davies - Minister of State (Department for Work and Pensions)
No such assessments have been made.
The Government understands the pressures people, including parents, are facing with the cost of living and is taking action to help. Overall, we are providing total support of over £94bn over 2022-23 and 2023- 24 to help households and individuals with the rising cost of bills.
From April 2023, everyone who receives a state benefit or pension will have seen their benefit rates increase by 10.1%. In order to increase the number of households who can benefit from these uprating decisions, the benefit cap levels have also increased by the same amount.
To support parents who are in work, from 1 April, the National Living Wage (NLW) increased by 9.7% to £10.42 an hour for workers aged 23 and over - the largest ever cash increase for the NLW.
We recognise that high childcare costs can affect parents’ decisions to take up paid work or increase their working hours. That is why, as announced at the Spring Budget, we are investing billions in additional childcare support for parents of toddlers, investing in wraparound childcare in schools, and increasing financial support for, and expectations of, parents claiming Universal Credit.
Households on eligible means-tested benefits will get up to £900 in Cost of Living Payments. The first £301 payments have been issued to 8.3 million households, and two further payments will follow this autumn and in spring 2024. In addition, 6.4 million individuals on eligible ‘extra-costs’ disability benefits have also recently received a further £150 Disability Cost of Living Payment meaning households with more than one disabled person will receive multiple Disability Cost of Living Payments.
For people who require additional support, in England, the Household Support Fund will continue until March 2024. This year long extension allows Local Authorities in England to continue to provide discretionary support to those most in need with the significantly rising cost of living. The guidance for Local Authorities can be found here. Local Authorities have the discretion to design their own local schemes within the parameters of this guidance and grant determination that DWP have set out for the fund. Local Authorities are expected to support households in the most need, and in particular those who may not be eligible for the other support Government has recently made available, however, are nevertheless in need. The Devolved Administrations will receive consequential funding as usual to spend at their discretion.
Asked by: Claudia Webbe (Independent - Leicester East)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, what steps his Department is taking to help support parents of (a) twins and (b) other multiples with increases in the cost of living.
Answered by Mims Davies - Minister of State (Department for Work and Pensions)
The Government understands the pressures people, including parents, are facing with the cost of living and is taking action to help. Overall, we are providing total support of over £94bn over 2022-23 and 2023- 24 to help households and individuals with the rising cost of bills.
From April 2023, everyone who receives a state benefit or pension will have seen their benefit rates increase by 10.1%. In order to increase the number of households who can benefit from these uprating decisions, the benefit cap levels have also increased by the same amount.
To support parents who are in work, from 1 April, the National Living Wage (NLW) increased by 9.7% to £10.42 an hour for workers aged 23 and over - the largest ever cash increase for the NLW.
We recognise that high childcare costs can affect parents’ decisions to take up paid work or increase their working hours. That is why, as announced at the Spring Budget, we are investing billions in additional childcare support for parents of toddlers, investing in wraparound childcare in schools, and increasing financial support for, and expectations of, parents claiming Universal Credit.
Households on eligible means-tested benefits will get up to £900 in Cost of Living Payments. The first £301 payments have been issued to 8.3 million households, and two further payments will follow this autumn and in spring 2024. In addition, 6.4 million individuals on eligible ‘extra-costs’ disability benefits have also recently received a further £150 Disability Cost of Living Payment meaning households with more than one disabled person will receive multiple Disability Cost of Living Payments.
For people who require additional support, in England, the Household Support Fund will continue until March 2024. This year long extension allows Local Authorities in England to continue to provide discretionary support to those most in need with the significantly rising cost of living. The guidance for Local Authorities can be found here. Local Authorities have the discretion to design their own local schemes within the parameters of this guidance and grant determination that DWP have set out for the fund. Local Authorities are expected to support households in the most need, and in particular those who may not be eligible for the other support Government has recently made available, however, are nevertheless in need. The Devolved Administrations will receive consequential funding as usual to spend at their discretion.
Asked by: Stewart Malcolm McDonald (Scottish National Party - Glasgow South)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, what steps he is taking to ensure people on transitional Severe Disability Premium are not adversely financially affected as a result of Universal Credit uprating.
Answered by Guy Opperman - Parliamentary Under-Secretary (Department for Transport)
The transitional Severe Disability Premium (SDP) element’s (SDP TE) serves as part of the wider transitional protection in place and is designed to support eligible claimants in their transition from legacy benefits to Universal Credit (UC).
The Social Security Up-rating Regulations 2023 amended the rates used to calculate SDP TE for eligible new claims from 10th April 2023. This uprating aligns awards of the transitional element with the rate of uprating for wider benefits within the annual uprating order.