Work and Pensions
The Secretary of State was asked—
Disability Living Allowance: Appeals Process
I thank my right hon. Friend for the opportunity to meet him recently and reassure him that I am committed to looking into this area. I want to do and want my Department to do more to make sure we gather more information earlier so there is less need to go to tribunals and, where there is a need to go tribunals, the amount of time people have to wait is reduced.
I have a constituent, Susan Hatton, with an eight-year-old daughter, Jessica. Jessica suffers from achondroplasia; she cannot wash herself, dress herself or brush her own hair; she frequently falls over, is regularly on concussion watch and wakes up several times every night. Her mother needs help. In August, Jessica’s DLA was withdrawn despite her condition worsening. While an appeal was ongoing, the Department recommended she put in a second claim to hope for a better outcome. Eight months after that, they went to court and the judge said that because the second proposal was in play, he could not answer on the first one. So not only did my constituent have to wait an unduly long time for her appeal to be heard, but she now finds herself facing the entire process over again. Every month’s delay in fixing this problem is another month of deprivation, distress and uncertainty in very young lives. I know the Secretary of State is committed to correcting this problem, but I urge her to spend whatever it takes to do this as quickly as possible.
I thank my right hon. Friend for raising such an important case, and I am very sorry to hear of the circumstances he has set out today. I have set up a new process for listening to MPs about particular cases; I now have a surgery open to all MPs about a week after having oral questions, and if he wants to come along and discuss that case, or of course have a separate meeting about it, I will certainly do that.
The Secretary of State will have heard of Stephen Smith, because I wrote to her about him a couple of weeks ago. Stephen Smith was found fit for work, and by the time he went through the appeals system, he was obviously dying. He died shortly after the Secretary of State’s Department’s decision was overturned. What lessons does she draw from the tragic circumstances of this Merseysider, and when is she going to reply to my letter asking for an inquiry?
That is another very sad case. I have got the right hon. Gentleman’s letter and will be replying to it, and we will be looking very carefully at what can be learned from that example
I have a constituent who has now waited a year for a DLA appeal, having previously waited a year for a successful appeal. She is a chronically disabled teenage girl and faces endless errors in the Department and constant demands for more information and more signatures, and she has come to the conclusion that the Department has engaged in deliberate foot-dragging, not merely incompetence. What assurance will she have that thousands of cases like this, including the ones we have just heard, will be dealt with more expeditiously in the future?
I can reassure the right hon. Gentleman that we are spending more money and investing more effort to make sure we get the decision right first time. I am working very closely with the Ministry of Justice, which is recruiting additional people to make sure there is less of a wait for the tribunal. I know how distressing that wait can be, and I am determined to reduce that time.
There is clear evidence that work offers people the best opportunity to get out of poverty, and we now see record numbers of people in work. But it is not enough just to have a job; we want people to have good jobs and to progress in their work. And last month, this Conservative Government increased the national living wage, work allowances on universal credit and the personal tax allowance, providing the biggest pay rise to the lowest earners in 20 years.
I did listen to the Secretary of State’s answer, but she will know that around two thirds of children growing up in poverty have at least one parent in paid work. Work is simply not a straightforward route out of poverty for far too many families. Will she look again at the current levels of the work allowance and the taper rate for universal credit as an important first step in addressing this rising tide of in-work poverty?
There are many different levers that we can assist with to ensure that we reduce poverty overall and child poverty in particular. I have been focusing particularly on ensuring that more childcare is available and accessible to parents who want to get back into work, sometimes full time, so that the whole family income can be increased. That is a really positive way to try to assist people such as the hon. Lady’s constituents.
Some people working in Truro and Falmouth tell me that the faster technology changes, the more frightened they feel of being left behind. I therefore very much welcome the Secretary of State’s recent announcement enabling work coaches to support people in work to upskill and transition to better-paid employment, including in the new tech sectors. When will my constituents be able to benefit from this new service?
My hon. Friend is absolutely right to say that some people are very concerned about this; they see the changing face of the workplace, and they are concerned about their own job security and skills. I am determined to ensure that we give people the skills they need and that we work with work coaches on projects to ensure that people get the right support. I would be delighted to work with my hon. Friend, particularly as she did such fantastic work in my Department, to ensure that her constituents are early beneficiaries.
We know that, from April, 15% of claimants are not receiving their first payment within five weeks. Will the Secretary of State tell us what action the Department is taking to ensure that claimants are paid in a timeous fashion?
I can reassure the hon. Gentleman that we are seeing constant improvements in the rate at which pay is received by claimants as early as possible. We have ensured that advance payments are available, and I am vigilant about ensuring that the figure of 85% for those receiving the actual application on time is constantly improving.
Will my right hon. Friend tell the House what safeguards are in place to help universal credit claimants with regard to the repayments of any debts they might have accrued?
My hon. Friend asks a very good question. Many universal credit applicants have already accrued debts, and sometimes they wish to take out an advance on their claim, which they would then need to repay over a period. We have been able to reduce the amount that they need to repay, from 40% to 30%, to ensure that they can keep more of their funds. I am constantly alert to the fact that people may have debts, and we need to be careful about the rate at which they need to repay, to protect vulnerable clients.
People with Disabilities: Employment
We support disabled people to enter employment through initiatives such as the Work and Health programme, which is expected to support 220,000 disabled people over five years, the personal support package, and the new intensive personal employment support programme. Access to Work approved support for nearly 34,000 disabled workers last year, and we engage with employers through Disability Confident.
Employment prospects for young people with hidden disabilities or who are on an education, health and care plan are much lower than the mainstream average. Supported internships offer a way through, but the take-up from employers is painfully low. Given that the Department for Work and Pensions is responsible for overall targets, may I ask the Minister to work across the Government to ensure that we can use the apprenticeship levy to fund employers to enable them to take up more of these excellent opportunities?
My hon. Friend has been a real champion in pushing forward the opportunities created through supported internships and traineeships, and through our efforts to open up apprenticeships to those with learning disabilities. I will continue to work with the Department for Education and the Department for Business, Energy and Industrial Strategy to increase awareness among employers, and I very much welcome the fact that last year Access to Work saw a 28% increase in take-up for those aged between 16 and 24, in part because of the expansion of the supported internships.
Specsavers in Cheltenham has teamed up with the GEM project to recruit people with disabilities into the world of work, and the impact has been transformational, resulting in improvements in staff morale and in productivity. What more can the Government do to ensure that the message gets out that recruiting people with disabilities is good for the individuals themselves and good for society?
My hon. Friend has worked really hard to promote opportunities for employers in his constituency to employ people with disabilities. I welcome the fact that, over the past five years, this Government have seen an extra 930,000 more disabled people in work and that, for the first time ever, there are now more disabled people in work than not in work. The key is to give businesses the confidence to realise that they can benefit, and that this is a win-win for the disabled person and for the business.
My concern relates to the number of people who are dying after being found fit for work. Further to my letter to the Secretary of State, will she commit to publish the Department’s internal reviews of the cases of those who have died? Will she also commit to an independent inquiry? Will she ensure that if any evidence of wrongdoing by someone in public office is found, that information will be forwarded to the police?
This Government are committed to working with stakeholders and those with frontline experience to continue to make improvements. There have been two independent reviews of the work capability assessment, and we have accepted and implemented over 100 improvements. We will continue to do all that we can to improve the process for claimants.
All claimants should be advised at the beginning of the process that there are alternative methods of communication. I welcome the introduction of the Citizens Advice provision across the jobcentre network, which is an additional layer of independent support, particularly for vulnerable claimants who may find it difficult to access services.
May I welcome the Minister to his post? As the National Audit Office recently pointed out, the number of disabled people out of work has stagnated at 3.7 million during the past five years, because increases in the number of disabled people employed have not been matched by a decrease in the number of disabled people who are out of work. Under the Government’s flagship Disability Confident scheme, it is possible to be a Disability Confident employer without actually employing a single disabled person. Will the Minister now commit to independent evaluation of the effectiveness of that flagship scheme?
The Government have actually delivered an additional 930,000 job opportunities for disabled people over the past five years, and for the first time more disabled people are in work than out of work. The NAO also welcomed our joint work with the Department of Health and Social Care, particularly in the area of mental health. As for the Disability Confident scheme, I welcome the fact that 49% of the businesses that have signed up have said that it helped them to recruit at least one additional member of staff with either a disability or a long-term health condition.
Young Vulnerable Adults: Universal Credit
As announced in August last year, housing costs for all claimants in supported housing, including universal credit claimants, will continue to be met through housing benefit. Maintaining housing benefit for all supported housing reflects the particular needs of these vulnerable groups.
I welcome the Minister to his new role. However, is he aware of an issue with the Universal Credit Regulations 2013, which refer only to English county councils as relevant bodies? Supported accommodation provided by Scottish local authorities is not covered, even though those living in identical circumstances in accommodation in England will be covered and so will still be subject to housing benefit. Will he meet me to discuss the matter?
I thank my hon. Friend for his question. He is a passionate campaigner, and I recognise that that is a specific constituency issue. There is no difference in how English lower-tier local authorities and Scottish local authorities are treated within the regulations. Amendments to the regulations were introduced in 2014 to extend the protection to other supported housing, which was not previously included and was most likely to be affected by the welfare reforms. However, I would be happy to meet my hon. Friend to discuss this complex issue further.
Contrary to what the Minister just said, I have had a small group of constituency cases in which the Department for Work and Pensions does not seem able to decide whether people in supported accommodation should continue on housing benefit or whether their housing costs should be paid through universal credit. Will he repeat his clarification to make the situation absolutely certain, because the DWP does not seem able to decide in its own cases?
I thank the hon. Gentleman for his question. I am happy to look at those individual cases. He can write to me, or I would be happy to meet him.
Mr Speaker, I could probably ask this question on the back of any question on the Order Paper. Broadband connectivity is very poor in parts of my constituency, which surely flies in the face of the Government’s best efforts to ensure that people who deserve benefits get them and that people who want to get back to work have that opportunity. What do the Government intend to do about the problem to help my constituents?
The question is a good one, and we will always look at alternative forms of communication.
Too many young people who are sofa-surfing or, worse, sleeping rough are doing so because of problems due to universal credit delays and sanctions. When will the Government do an assessment of the impact of these delays and sanctions on vulnerable young people?
That is why, in recent Budgets, we have put an additional £1.7 billion into the universal credit system.
Care Leavers: Employment
This Government have introduced a £1,000 bursary for those starting an apprenticeship, the care leaver covenant and extended paid internship opportunities across the Government. I will build on the good work of my predecessor and meet employers to see how we can further improve job opportunities for care leavers.
Of what does the Minister’s work with Barnardo’s consist?
I thank my right hon. Friend for that question. He is a passionate campaigner and supporter of Barnardo’s. The Department and Barnardo’s are developing a small work experience pilot for care leavers in a number of Barnardo’s high street shops. More broadly, the Government aim to use the care leaver covenant to secure 1,000 employment opportunities by September 2021.
Why is the youth obligation failing our young people so badly? More people on the youth obligation are falling out of benefits altogether. They are unable to maintain stability and are unable to go on to seek work.
I thank the hon. Lady for her question, but I gently point out that youth unemployment has halved under this Government.
Vulnerable Claimants: UC and the Legacy System
Universal credit makes sure that payments reach those who need them most. Around 1 million disabled households will receive, on average, £100 more per month on universal credit than on the system it replaces. As a single system that integrates six legacy benefits, universal credit will enable 700,000 households to access approximately £2.4 billion of welfare that was previously unclaimed.
I recently wrote to the Secretary of State about one of my constituents in Clacton and the severe disability premium. I set out in the letter that my constituent was moved on to universal credit in October but now says that she is £185 a month worse off. I know the draft Universal Credit (Managed Migration Pilot and Miscellaneous Amendments) Regulations 2019 will rectify her situation and provide a lump sum to cover the missed payments since she moved. This is welcome, but when does the Secretary of State expect the regulations to be voted on so they can become law, especially given the real need of some claimants now?
I thank my hon. Friend for raising this important matter on behalf of his constituent. As he will be aware, there has recently been a court judgment on the Universal Credit (Transitional Provisions) (SDP Gateway) Amendment Regulations 2019, and we will have to wait to consider it before I will be able to give him an update. I will come back to him on the earliest possible occasion, because I understand the concern his constituent must have on this matter.
Without a roof over one’s head, it is very difficult to get a job or to claim benefits. Without a job, it is almost impossible to afford rent, so what is my right hon. Friend going to do to ensure that universal credit claimants are helped and assisted not only to get a roof over their heads but to get back into work?
My hon. Friend asks a question about which he has done so much, and I start by paying tribute to his incredible work to help homeless people in the previous Parliament.
We recognise the concerns about homelessness, and I am determined to make sure we help homeless people to rebuild their lives. I recognise the link he so eloquently describes between jobs and homes. As part of the rough sleeping strategy, we will establish a single point of contact for homelessness at every jobcentre. I recently announced that we are increasing awareness of direct payments to private landlords under universal credit to protect vulnerable claimants’ rent. Many private landlords have told us that that will help to ensure that vulnerable people are able to stay in their homes.
I would ask the hon. Lady to work with us on UC and with her local jobcentre. The National Audit Office recently commented that the right thing is to continue with UC. I understand that it is often difficult for individuals who are concerned about moving from the six legacy benefits to one benefit, but my experience from talking to people is that even though they were concerned, once they are on UC they almost exclusively say that it is a better system than the previous one.
Shelter Cymru, a Welsh housing association, has growing concerns that tenants threatened with eviction who are dependent on UC payments are not able to meet the deadlines to settle arrears claims. Will the Minister consider allowing fast-track payments, especially for those facing eviction?
I would hope that the possibility of evictions will be reduced by our new plans to allow many more people to have their rent paid directly to housing associations and, increasingly, to private landlords. The hon. Lady raises an interesting point, and she needs to give me an opportunity to look at it; perhaps she would like to come to my surgery in the House of Commons next week or write to me about it.
Under UC, claimants will be treated as terminally ill only if they are not expected to live for any longer than six months. Owing to medical advances and the nature of some diseases, some people may live much longer than that, so what steps is the Department taking to ensure that those who are terminally ill but with a life expectancy of more than six months will be able to receive support through UC?
I thank my hon. Friend for raising such an important issue. It is so important that when people receive such a devastating diagnosis they are treated with care. So where a claimant has been diagnosed with a terminal illness but has a life expectancy of longer than six months, and they have satisfied the conditions of being treated as having either limited capability for work and work-related activity or limited capability for work, they will be submitted for an immediate work capability assessment referral. I hope that that answer satisfies my hon. Friend.
One of the clear vulnerabilities for people accessing UC is indebtedness; the Department’s figures show that 60% of all new UC applicants receive an advance payment. We know that people are in such desperate need at that application stage, so will the Government consider making the advance payment assessment the first assessment and any advance payment the first payment of that person’s UC claim?
I understand where the hon. Gentleman is coming from and his desire to ensure that these people, who are often on very low incomes and in difficult circumstances, are looked after when they first make their application. We believe we have made the right changes to be able to address that, not only with the advance payment, but with the housing benefit run-on that comes after two weeks, which should give them additional funds in order to be able to support themselves. Of course we will also be introducing further run-ons of other benefits from next year. We are improving the ability of people to access money all the time.
The Government’s plans for payments to severe disability premium recipients who lost about £180 a month when they were forced to transfer to UC were found to be discriminatory by the High Court on 3 May. Severely ill and disabled people should not have to fight through the courts for the support they should be entitled to, so will the Government now ensure that people receive payments, as soon as possible, that fully reflect the loss they have suffered?
As the hon. Lady will be aware, my hon. Friend the Minister for Disabled People, Health and Work took an urgent question on this last week and fully answered the questions that many people in the House had about it. The issue is the access that we put in place through a gateway and whether it is the right amount—the amount that was paid previously or the amount that is paid subsequently. We have decided that we will consider this before replying in full to the Court.
New research from the Children’s Commissioner found that the introduction of UC, the two-child limit and the benefit cap combined will mean that the number of children in families struggling to make ends meet will almost double in some areas. The Trussell Trust distributed nearly 600,000 emergency food parcels to children last year. When will the Government wake up and make tackling child poverty the priority it should be once again?
Tackling child poverty and poverty in general is absolutely a priority of this Government, which is why we are so focused on ensuring that UC supports people into work as well as providing the necessary safety net. Last week, I made a speech about ensuring that there is additional support for people when they are on low income and finding new ways of getting better access to different skilled work.
Pensioners on Fixed Incomes
We spend more than £120 billion on benefits for pensioners, including the state pension, which is now worth £1,600 more than in 2010. Means-tested benefits are adjusted according to changes in circumstances, and it is not possible to say how many pensioners have had an increase or reduction, but it is the case that this Government spend more on pensioners than any Government have ever done before.
More than 750,000 pensioners are in receipt of disability living allowance, and those who turned 65 after April 2013 are being kicked off DLA and are forced to apply for personal independence payments. Many of them are not applying, and of those who do, some are not receiving PIP. Why are we not transferring these pensioners across automatically?
It is right to say that 75% of all reassessed claimants receive a PIP award, and nearly 67,000 more people aged 65 or over are on either DLA or PIP than when PIP was first introduced in 2013. I take my hon. Friend’s point, though, and the Minister for Disabled People will be happy to meet my hon. Friend. I am sure he would make the point that the Government spend more than £20 billion on DLA and PIP, which is up from £15 billion in 2012.
The inquest for my constituent Joy Worrall took place last Thursday. Joy was 82 years old. It was confirmed that she had committed suicide after the DWP wrongly stopped her benefits and her winter fuel allowance for a period of 15 months before her death. At the time of her death, Joy had £5 in her account. Will the Minister and his right hon. Friend the Secretary of State undertake, for the family, who have asked me to do this for them, an urgent inquiry into why Joy was not paid her pension or her winter fuel allowance for that period? Will he ensure that nobody will ever again commit suicide due to poverty?
The right hon. Gentleman rightly raises his constituent’s case; I have already spoken to him on two occasions. Our thoughts are with Mrs Worrall’s family and friends. The Government apologise unreservedly for the clerical error—it was a clerical error—that led to Mrs Worrall’s pensions payment being stopped. We have urgently reviewed our processes and acted so that benefits are no longer linked on our systems, to try to ensure that this does not happen again. There is an internal process review; I undertake to write to the right hon. Gentleman in the short term with what we know and with more detail when the urgent process review has taken place. I am including Mr Worrall in that process.
It would be helpful if every member of DWP staff were able to get to a Minister if something absurd was happening, rather than getting stuck in bureaucracy.
May I take the Minister back to his £1,600 extra? Will he review House of Commons briefing paper 01457, on the history of frozen overseas pensions for half our overseas pensioners? It is absurd that an agreement with New Zealand in 1948 and a written parliamentary answer in July 1955 should determine that people who leave this country to retire abroad do not get pension increases in half the countries around the world but do so in the other half. It is time that we had a proper debate and a proper decision, and got past the legalistic approach taken by this Government and previous ones.
My hon. Friend raises several points, but unquestionably the situation in relation to overseas pensions has been consistently enforced by every Government of every persuasion since the second world war, and there is no anticipation of changing that. Of course, we will ensure that individual members of DWP staff up and down the country are able to go to their line managers and then to Members of Parliament or individual members of the Government on an ongoing basis.
Pensioner poverty halved under the most recent Labour Government; it has increased by 400,000 under this Government, with one in six pensioners living in poverty. Having broken one manifesto pledge on TV licences, Ministers are now breaking a second one, as mixed-aged couples are no longer being paid pension credit if one of them is under retirement age. How can the Government begin to justify the breaking of a solemn promise, particularly in circumstances where it will cost the couple concerned a staggering £7,320 a year?
The hon. Gentleman will be aware that the overall trend in the percentage of pensioners in poverty is a dramatic fall over several decades. The rates of material deprivation for pensioners are at a record low at this stage.
On the hon. Gentleman’s second point, couples who currently receive pension credit or housing benefit will not be affected by the change, as long as they remain entitled to either benefit. Claimants who would be eligible for pension credit or housing benefit for pensioners under the current rules but have not claimed before 15 May have until 13 August to make a backdated claim.
From Carillion to BHS, workers’ pensions are being put at risk by bad bosses, sloppy practices and poor enforcement. We have campaigned against that injustice. The defined benefit White Paper has proposed stronger powers and penalties. Ministers have promised to introduce such legislation, which we would support. Will the Government keep at least this promise so that we can send out a joint message that says, “Never again a Philip Green”?
We are agreed across the House that there must be action on defined benefits so that we stop what took place with Philip Green, and to address that the Secretary of State has brought forward proposals in the defined benefit White Paper. We propose to bring forward a Bill, when parliamentary time allows, to address the DB White Paper, collective defined contributions, Dashboard and a number of other matters, and I look forward to working with the hon. Gentleman on a cross-party basis to make that happen.
Under universal credit, our work coaches provide vital one-to-one support to all claimants. Work coaches receive appropriate training to ensure that they can offer support to claimant groups with a variety of characteristics.
As I understand it, the test and learn approach has been crucial to improving the system and getting it right for individual claimants. What key lessons have been learned and what steps have been taken to address them?
My hon. Friend is absolutely right: the test and learn approach has allowed us to adapt the delivery of universal credit to support claimants more fully. Examples include: abolishing the seven-day waiting period; the introduction of 100% advances; the landlord portal; and the flexible support fund being used to cover initial childcare costs.
Of course there is a range of reasons why people make use of food banks, but what is important is that the DWP makes sure that we get funds to claimants in a timely manner. The Secretary of State has already talked about the 100% advances and the two-week housing benefit run-on, and, of course, there will be additional run-ons coming on in 2020.
I have constituents in Stirling who would like to take up work or to extend their hours of work but cannot afford to pay the upfront costs of childcare. Can the Minister tell the House what is being done to help parents with upfront costs of childcare?
My hon. Friend raises a very important point. Under universal credit, up to 85% of childcare costs can be covered and, as the Secretary of State announced earlier this year, we are making the flexible support fund available so that funding can be provided up front to take care of childcare costs, which will help people get into work.
It is welcome that the Secretary of State has finally responded to pressure and abolished three-year sanctions, but failure to scrap this punishing regime entirely means, as we have heard across the House today, that many people including children will still suffer. Six months is a long time to go without money, so will she go the extra mile and abolish punitive sanctions altogether?
I welcome the fact that the hon. Gentleman has, in turn, welcomed what the Secretary of State has announced—it has absolutely been the right thing to do. Sanctions are not put forward indiscriminately; a very clear procedure takes place, and right now less than 3% of those who are on universal credit and under conditionality are getting a sanction. The average sanction rate is 31 days.
People with Disabilities: Employment
We support disabled people in employment through initiatives such as Access to Work, which last year approved support for nearly 34,000 disabled people; Disability Confident, to which almost 12,000 employers are now signed up; and the £55 billion we will spend on benefits this year to support disabled people, including those who are in employment.
Sarah Jeffers in Tooting requires a specialist wheelchair owing to her cerebral palsy. The Department for Work and Pensions has told her that she is required to pay £17,000 to fund the replacement of her broken wheelchair. Sarah’s job each day is to get disabled people back into work. However, without her wheelchair, she herself cannot work. The DWP has also stated that it cannot provide further funds for her wheelchair because she already receives support for her car from the Motability scheme. Will the Minister meet Sarah and I to discuss this complicated case?
The hon. Lady has been working brilliantly to support her constituent, who we all want to remain in employment. From the details given to me already, it sounds as if Access to Work would have the potential to help with the funding towards her constituent’s wheelchair. I am happy to look into the details of the case as quickly as possible.
Will he meet us?
And I would be very happy to meet the hon. Lady and her constituent.
Women in Employment
The UK female employment rate has never been higher. The latest figures show that there are over 12 million women in employment in England, which is almost 1.4 million more than in 2010. My hon. Friend asks about his constituency. I can give him the figures for the east midlands, where there are 109,000 more women in work since 2010. The number of women claiming unemployment-related benefits in Northampton- shire has dropped by 28% in the last five years.
Against the background of records levels of employment in the Kettering constituency, will the Secretary of State confirm that, whether someone is male or female, young or old, able or disabled, employment prospects in Kettering have never been brighter?
I can confirm that employment prospects have never been brighter in Kettering, particularly with the strong advocacy of such an excellent Member of Parliament.
The hon. Gentleman can luxuriate in the lather of the praise conferred on him by the Secretary of State. Make sure it is bottled and keep it for a long time, man.
The question of women’s employment is very important to me. Is the Secretary of State’s Department doing long-term planning? Has she seen the recent research from Sheffield University and King’s College London that says that the very areas that voted leave will be the hardest hit post-Brexit, with a 17% to 20% decrease in GDP? Is her Department getting ready for this terrible situation?
I would like to reassure the hon. Gentleman that we are ensuring that we are prepared for any situation, whether that is leaving the European Union or changes to the workplace in general. We are working closely with the Department for Business, Energy and Industrial Strategy to ensure that we are prepared for changes to employment structures, and I have been making some comments on that issue recently to ensure that the necessary training is provided in the workplace in the private sector as well as the assistance that we can give.
The Government remain committed to tackling poverty so that we can make a lasting difference to long-term outcomes. This Government have lifted 400,000 people out of absolute poverty since 2010, and income inequality has fallen.
Very few people in Glasgow North moving on to universal credit feel as if they are moving out of hardship and poverty. As my hon. Friend the Member for Airdrie and Shotts (Neil Gray) said, 60% of claimants across the country automatically apply for the advance payment, which means that they automatically start receiving less universal credit as the repayments kick in, regardless of their means. How on earth is that helping to tackle hardship or people’s ability to manage their money? Will the Department urgently review the advance payment system?
The hon. Gentleman highlights the importance of ensuring that claimants do not go without any money, which is why we welcomed the improvements to make advance payments more accessible. Let us remember that, under the complicated six legacy benefits, more than £2.4 billion of benefits were left unclaimed every year, worth an average of £280 per month; that meant that 700,000 of some of the most vulnerable people were missing out on their entitlement.
A constituent of mine who is a single mother with three children was persuaded to apply for a loan to replace her cooker. The loan company took her details and made an application for universal credit on her behalf, unbeknown to her, and claimed a large advance payment that they told her was the loan. When she reported this to the police and to the DWP and asked them to look into her case, they insisted that it was a valid claim for universal credit. She has had her advance payment, and she is left—pregnant, with three young children—with no access to any money until the end of the month. Please will the Minister or the Secretary of State look into this and make sure that vulnerable people cannot be treated in this way?
The circumstances just described sound horrendous. We will absolutely look into that as a matter of urgency and report back as quickly as possible.
The unemployment rate is at its lowest since the 1970s. We have record employment with more people in work than ever before, and wages have been rising faster than inflation for 13 months in a row.
The latest figures do indeed show that Britain’s economy is booming, unlike those of the rest of the European Union. Do the Minister and his colleagues on the ministerial team agree that the prospect of Brexit, with or without a deal, is driving forward the British economy and confidence in it?
My hon. Friend is of course right to point out that, despite any uncertainty around Brexit, the British economy is in good shape. We do have one of the highest employment rates in the EU, Britain is the No. 1 destination in Europe for foreign direct investment, and the IMF projects that our economy will grow faster than Germany’s this year. Unlike the Opposition, Conservative Members believe in supporting businesses and employers.
The Government know that getting ex-offenders into work is a crucial part of rehabilitation. DWP prison work coaches and jobcentre work coaches provide tailored support to ex-offenders. The DWP works collaboratively with Ministry of Justice on its education and employment strategy, creating a system where prisoners are on a path to employment as soon as they enter prison.
People from all walks of life have to undergo work capability assessments, but ex-offenders have complex needs and often institutionalised experiences. What measures is my hon. Friend taking to ensure that the assessors themselves are taking the appropriate measures?
My hon. Friend raises a good point. Healthcare professionals are subject to a rigorous recruitment process, followed by a comprehensive training programme in disability assessment for physical and mental health conditions, and have to be approved by the Department. They are then required to complete a programme of continuing professional development.
Reoffending rates among those who have served a sentence of less than 12 months are a staggering 64%. The Ministry of Justice has signalled a clear intent to move away from this model of sentencing. What discussions have Ministers had with the Ministry of Justice about ensuring that community-based sentences have substantive support around employment to ensure that reoffending is curbed and sentences deliver meaningful rehabilitation and workplace opportunities?
I thank the hon. Lady for her question. Being relatively new in post, I have not had those conversations as yet, but I do work very closely with my counterpart at the Ministry of Justice and will be having such conversations.
We look forward to an update in due course and we are grateful to the hon. Gentleman.
Working People’s Income: Universal Credit
That is such a relevant question from my hon. Friend. The key difference between the legacy system and the universal credit system is that work coaches provide such a tailored, individual service, which will give his constituents the additional support they need to make sure they get the best financial reward from their work this year.
Cornwall has a higher than average number of self-employed people—about 60% higher than the English average. Being self-employed and claiming universal credit can present a number of challenges, particularly in the early years when starting out. What specific help are we giving to self-employed people who need to claim universal credit?
It is good to hear from my hon. Friend quite how enterprising his county is. I reassure him that work coaches provide additional support to allow those who want to become self-employed to do so via the new enterprise allowance, which provides mentoring support and additional financial support. We announced in the last Budget a one-year grace period from the minimum income floor for claimants joining universal credit with an existing business. All these efforts try to make sure that his constituents, and other people throughout the country, are able to set up their businesses and work self-employed and get access to universal credit.
I am sure that the Secretary of State has seen the comments made by the Children’s Commissioner based on research carried out by Policy in Practice, which found that the number of children in families running a monthly deficit is expected to double in some areas as a result of the introduction of universal credit. Does she accept that this is completely disgraceful, and what is she going to do about it?
I reassure the hon. Gentleman that we care enormously about ensuring that there are fewer children in poverty than before. There are fewer children in poverty and fewer families in poverty since 2010. As we know, the best way to help people out of poverty is to ensure that families have work. I am ambitious to ensure that people in low-paid work can get into higher-paid work, which is why I made the announcements last week, ensuring that work coaches can give additional support.
Employment is at a record high, with 32.72 million people in work. Overall, 3.6 million more people have entered work since 2010, which is on average 1,000 people each and every day, and the vast majority of them are in full-time, high-skilled jobs. I know that there are concerns about low-paid work, which I am determined to address. That is why I made announcements last week about new projects working with our excellent work coaches on job switching and with employers in the private sector, to see how we can help individuals across the country to access the better-paid jobs that will help them and their families.
If you were to look in the faces of the vast majority of people who have an acquired brain injury, you would not be able to spot anything wrong whatsoever, but inside is somebody who has a massive sense of fatigue. They might have major memory problems or have completely lost their executive function, unable to make proper decisions for themselves, but when the assessor from the DWP comes they will want to please them and will exaggerate the improvement in their condition. Will the Secretary of State guarantee that every single person who, on behalf of the DWP, goes to see somebody with a brain injury fully understands how brain injury can fluctuate?
I thank the hon. Gentleman for raising that, and I know how much he has done to support people with brain conditions. We are ensuring that we do that through the welfare system, so that those with acquired brain injury and associated neurological complications receive the right support, but I recognise the issue he raises. We are doing more to ensure that our health assessors have all the necessary training, so that they are able to recognise different challenges, such as acquired brain injury.
I can confirm that. We are ambitious to ensure that we continue to take children and families out of poverty, and we acknowledge that there is more to be done. I believe that the best way to do that is to focus on growing a strong economy, with better-paid jobs, and ensuring that those on lower incomes can access those jobs.
Last week, the Secretary of State kept her name in the Tory leadership fray by admitting that social security sanctions can “undermine” the aim to help people into work and reducing the longest sanctions from three years to six months, which we welcome, but will her review of sanctions include the possibility of scrapping them altogether? If not, can she really make a name for herself by explaining how anyone is expected to live on fresh air for six months?
I thank the hon. Gentleman for his cautious welcome of the announcement I made last week about ensuring that there will be no sanctions of more than six months, but, as my hon. Friend the Minister for Disabled People, Health and Work has pointed out, sanctions are usually no more than 30 days. I have had many conversations with work coaches, who have personal relationships with individuals, and they reassure me that they use sanctions only as a last resort. The work coaches who provide this tailored support also tell me—I would be interested if the hon. Gentleman has had a different experience—that sanctions are an important part of the tools they have.
I thank my hon. Friend for his question, and I absolutely agree with him. He may know that I campaigned with the hon. Member for Swansea East (Carolyn Harris) before taking up my post. I am personally committed to this, the Department is committed to this, the Prime Minister is committed to this and we will deliver it.
I thank the hon. Gentleman. I welcome the fact that record numbers benefited from Access to Work last year—an increase of 13%—but operational improvements still need to be delivered. I would welcome an opportunity to meet the hon. Gentleman to look at some areas of priority for us.
I thank my hon. Friend, who has been a real champion in this really important area of work. The Government are fully committed to protecting people with disabilities in the workplace and elsewhere. We welcome the fact that over 1 million employees are now protected by the voluntary employers charter, and this is a real step forward. There is more work to be done, and I welcome the fact that MPs are working together cross-party on this vital issue.
The hon. Lady knows that the policy pursued by this Government is the same policy that was pursued during the 13 years of the Labour Government and all other Governments since the second world war. It is a consistent approach that is absolutely endorsed by the present Government, and I am afraid there are no plans to change the policy at present.
It is indeed interesting to hear of this success: the rate of self-employed people in Cornwall is 5.5 percentage points greater than the UK average. In Cornwall, jobcentres are working in partnership with the local authority and with Big Lottery funding to provide self-employment workshops. In addition, across the UK work coaches are trained to provide additional support to self-employed people. This includes the new enterprise allowance, with which mentors can support claimants to develop their business further.
Every week in my surgery I hear from people who have been wrongly assessed as being fit for work when they are so clearly disabled. I welcome the Secretary of State’s offer to sit down with us individually in the Tea Room, but I fear for all those constituents who do not think of going to their MP and the countless numbers of people out there who do not know how to access help. Surely it is now time for the Secretary of State to admit that the whole process of work capability assessments is flawed and in need of an urgent review.
I am aware of this, and a number of Members of Parliament have raised issues with me. As a Member of Parliament myself, I know that we need to do better at making sure that people do not have to wait so long for a tribunal, so I am looking again at what we can do. I am focusing particularly on making sure that the first decision collects more information, and that the mandatory reassessment has more content put into it. We are already looking into this, and I am seeing some extraordinarily good progress being made in making sure that the mandatory reconsideration has more information.
I will come back to the hon. Lady and others with more information in due course. I recognise that we need to do more, and I am on it.
What progress is being made to support more people in East Renfrewshire into an occupational pension scheme through auto-enrolment?
It was a great pleasure to visit Barrhead with my hon. Friend and meet his outstanding credit union, which is one of 1,290 employers providing 5,000 employees across his East Renfrewshire constituency with automatically enrolled pensions. It is a cross-party success story, with 10.4 million people now automatically enrolled.
If it is true that work is the best route out of poverty, why did food banks in Barnsley give out more than 1.5 million food parcels last year, many to people in work? Why is it that in the Secretary of State’s own constituency low income has overtaken benefit delays as the biggest reason people are referred to Hastings food bank?
I am aware of the challenges faced by people on low incomes, which is why I am focusing on making sure that there is better access to higher-paid jobs. I am working on a number of projects with jobcentres across the country to see what we can do to get better training for people, setting up projects relating to job switching, and working particularly with employers in the local area so that they can get more involved and recognise that there are opportunities for them to promote people and give better training to those on lower incomes to get them into higher-paid jobs.
For clarity, can the Minister confirm that the Scottish Government have power under section 24 of the Scotland Act to top up reserve benefits, including for anyone affected by future changes to mixed-age couples’ benefits?
I thank my hon. Friend for giving me the chance to clarify that sections 24 and 26 of the Scotland Act enable the Scottish Government to make top-up or discretionary payments to any person in Scotland who is in receipt of any reserved UK Government benefit. Put simply, the ball is in the Scottish Government’s court.
A constituent of mine is being passed from pillar to post by the DWP and the Scottish student loans group, both of which say she is entitled to support. She wants to start studying full time in September but, as a single parent, cannot do so without appropriate financial support. Will the Secretary of State or one of her Ministers meet me to see whether we can find a way out of this Catch-22 situation and ensure that my constituent and other single mothers like her, who want to improve their families’ opportunities, have the support to do so?
Yes, I will of course meet the hon. Lady.
According to the Joseph Rowntree Foundation, 1.9 million pensioners now live in poverty, which is a complete disgrace. Given that 46,000 pensioners died prematurely last year, why has the winter fuel allowance not been increased for more than a decade?
It is not specifically the case that pensioners are in poverty compared with previous records, which show that pensioner poverty is coming down. I will write to the hon. Lady in respect of her specific point about the winter fuel allowance.
I listened carefully to the Minister’s earlier answer to my hon. Friend the Member for Birmingham, Erdington (Jack Dromey). It was simply not good enough because in just two days’ time changes by this Government to mixed-age couples’ benefits will make them ineligible for pension credit and force them both to apply for universal credit, which will result in many losing thousands of pounds. With one in six older people already living in poverty, is it not time that the Minister rethought the changes, or is he determined to increase those shameful levels of poverty?
Pension credit is intended to provide long-term support to economically inactive pensioner households. It is not intended to support working-age claimants. This change ensures that people cannot access pensioner benefits before they have reached state pension age, so taxpayer support is directed to where it is needed most.
Earlier this year I met representatives of those who carry out work capability assessments and representatives from the previous disability Minister’s office. I was assured that those carrying out capability assessments were well aware of unseen conditions such as ME, but since then I have been overwhelmed with correspondence saying that people with ME are being declared fit for work. What work is the Minister doing to ensure that the assessors are aware of conditions such as ME?
There is a real emphasis on ensuring that assessors are best placed to identify how fluctuating health conditions and hidden disabilities will impact on the assessment. I am disappointed to hear what the hon. Lady reports and I would be happy to meet her to discuss it further.
My caseworkers recently updated me on the thousands and thousands of pounds of public money that they have helped to recover for constituents who are entitled to it, often after many months of delays. I am not satisfied with that; I am angry that this Government Department is keeping so many of my constituents and, I presume, others across the country in poverty for so long when they are owed this money. What is the Government doing about reviewing DWP’s shameful record on paying people money to which they are entitled?
I would just point out to the hon. Lady that, under the legacy benefits system, there are £2.4 billion of unclaimed benefits. That is changing and being fixed under universal credit. If she has specific cases, she will know that this ministerial team is always happy to talk to Members of Parliament to try to resolve issues. If she wants to talk about specific cases, I would be happy to do so after this session.
Visits to one of the food banks in my constituency have increased by 20% since the roll-out of universal credit. Trussell Trust referrals have risen by 52% since the roll-out of universal credit. Everything suggests that universal credit is not lifting people out of poverty, but pushing them further into it. Was that the Government’s intention with the roll-out of universal credit, because that is what is happening?
Universal credit is a vast improvement on the legacy benefits. There were six different benefits and three different places; the system was incredibly difficult to navigate, and there were vast numbers of complaints and problems with it. This new system is easier for people to navigate. Overall, it will be more generous, when it is fully rolled out, than the last system. I believe it is absolutely the right approach in making sure that we support all our constituents.
The Verify identification function for those claiming universal credit online does not work properly. When the Secretary of State is looking at that, will she also look at the problem that requires couples making a joint claim to verify their identity in person at the same time, which causes those sharing childcare and working shift patterns difficulty in claiming?
I am happy to discuss any issues around Verify with the hon. Gentleman, but, as he will know, there is more than one way for someone to verify their identity. Of course, they can use gov.uk Verify, but they can also use documentary evidence or a biographical test. Those are known, recognised tests, and they are all available in the system.
The Secretary of State just said that universal credit is better than the legacy system, yet evidence published this weekend shows that twice as many children will be pushed into poverty by universal credit, the two-child limit and the benefit cap. On top of that, universal credit is actually increasing infant mortality—the first time we have seen an increase in 100—
I am sorry, but there is irrefutable evidence on this. Instead of the cursory responses that we have had from the Government, will the Secretary of State commit to review the up-to-date evidence and get back to this House with some detailed explanations of how she is going to stop these things?
I totally reject the hon. Lady’s approach to this. Universal credit is a welfare benefit system that, overall, is more generous and much more straightforward than the previous system. I wonder whether she has talked to any Members of Parliament who had the experience of having to navigate the six legacy benefits, of three different places to go to, and of annual tax credits. The complications were totally out of proportion compared with the challenges that people sometimes encounter now. Above all, there was the difficulty people had with the 16-hour threshold, where they could not take up new work if they were on a certain amount of benefits. We have reformed the system so that it works for people—it works for families, and it works for people trying to better themselves and get better access to work.
Centrepoint’s evidence to the DWP Committee showed that 96% of the young people it surveyed were not offered a traineeship or work placement if they were still on the youth obligation for six months. Does the Minister think it is worth having a closer look at what more could be done to improve the youth obligation?
I share the hon. Lady’s desire to make sure the youth obligation support programme works properly. We are looking at extracting information from the system, and I hope shortly to come and report on the findings from that.