Question to the HM Treasury:

To ask His Majesty's Government, further to the Written Answer by Baroness Vere of Norbiton on 8 April (HL3589), whether they will now answer the question put; namely, what is their assessment of the implications for calculating entitlement to contributory working age benefits and pensions of abolishing, rather than cutting, national insurance contributions.

Answered by Baroness Vere of Norbiton - Parliamentary Secretary (HM Treasury)

The Government already cut employee NICs by 4p, self-employed NICs by 3p and abolished the requirement to pay Class 2 for self-employed people across Autumn and Spring without increasing borrowing or cutting spending. That is the model the Government wants to follow when it is prudent to go further.

The ambition to abolish NICs is about reducing tax and rewarding work, not about reforming the contributory benefits system. It is a long-term ambition, and the Government has been clear, this cannot be done overnight and this can only be done in a fiscally responsible way.

Cutting NICs rates does not affect anyone’s entitlement to the State Pension or contributory benefits.

Question to the Department for Work and Pensions:

To ask His Majesty's Government what proportion and number of universal credit claimants will be subject to the benefit cap following April's benefit uprating and increase in the local housing allowance; and what proportion and number will receive less than the full uprating and increase in Local Housing Allowance because of the cap.

Answered by Viscount Younger of Leckie - Parliamentary Under-Secretary (Department for Work and Pensions)

No estimate has been made. The latest figures show that 77,000 households were capped at November 2023. Benefit cap statistics released in September 2024 will show the number of households capped at May 2024.

There are various factors that determine whether a household is exempt or brought into scope of the benefit cap.

Question to the Department for Education:

To ask His Majesty's Government what assessment they have made of findings from a recent IDP Connect survey which found that nearly half of prospective students surveyed were reconsidering or unsure of their plans to study in the UK following changes in policy and rules regarding international students.

Answered by Baroness Barran - Parliamentary Under-Secretary (Department for Education)

The government seeks to ensure that there is a fair and robust migration policy while maintaining the UK’s place as a top destination for the best and brightest students from around the world. The department remains committed to the ambitions set out in the government’s International Education Strategy to host 600,000 international students per year and to increase the value of our education exports to £35 billion per year, both by 2030.

The department expects the UK to remain a highly attractive study destination. The UK has four universities in the top 10, and 17 in the top 100. The UK has a highly sought after higher education (HE) experience, which is respected by students across the globe. The department is hugely proud to have met its international student recruitment ambition two years running, with 679,970 international students studying at a UK university in 2021/22.

However, the level of legal migration remains too high. As a result, on 4 December 2023, the government announced a new package of measures to reduce net migration and curb the abuse and exploitation of the country’s immigration system. The department continues to work closely with the Home Office, the Department for Business and Trade, and other governmental departments to assess the impact of these changes on HE providers.

HE providers are autonomous bodies, independent of government. As such, they are responsible for their own admission decisions. The government takes a close interest in ensuring that the HE admissions system is fair and works closely with HE providers and sector bodies to make sure the system works well for students.

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