Social Security (Additional Payments) Bill

Debate between Rosie Winterton and Jonathan Ashworth

2nd reading
Wednesday 22nd June 2022 Commons Chamber

[Jonathan Ashworth]

My hon. Friend is absolutely right. I can assure her that she speaks with an eloquence on these matters that I rarely muster, and I thought she put her points powerfully.

Even though many disabled people have been given an additional £150, for many of them that will not cover the additional cost of inflation when applied to disability-related benefits. For example, for those on universal credit, the supplement for someone unable to work or engage in work-related activity rose by about £240 a year less than if it had been uprated in line with the consumer prices index. In addition, someone receiving the daily living component of PIP is worse off by £185 on the standard rate and by £274 on the enhanced rate as a result of the sub-inflation upratings later this year.

That is one of the reasons why many people out there are particularly concerned that the Secretary of State—I understand that, in legislation, she has to review these matters—and the Government may well resile from their commitment to inflation-increase benefits and pensions this September.

Equally, the hon. Gentleman who sits for a Welsh constituency that I cannot remember, and I am not sure I can pronounce it either—[Interruption.] The hon. Member for Carmarthen East and Dinefwr (Jonathan Edwards) raised carer’s allowance, and people claiming carer’s allowance will not get any extra support. Carers often have higher energy bills because of their caring responsibilities, yet people in receipt of carer’s allowance—remember that they provide care for at least 35 hours a week and earn less than £132 a week—are likely to be hit hard without additional support. Why were carers left out of this package?

Thirdly, I want to talk about pensioners. We have 2 million pensioners in poverty, and the number is rising. The Prime Minister promised that pensions would keep pace with wages and prices, but, without any thought as to how hard pensioners are finding it to make ends meet, Ministers broke that promise by removing the so-called triple lock. That meant a real-terms cut of about £500 in the basic state pension—the biggest real-terms cut, I believe, for about 50 years. I was pleased to see Ministers commit to honouring the triple lock for next year, but we can see the pressure Ministers are coming under and we hope the Secretary of State does not break that promise for the next financial year.

We also need clarity from Ministers on whether the standard minimum guarantee of pension credit will be uprated in line with the consumer prices index in September. Pensioners on pension credit will receive the £650, as the Secretary of State knows, but pension credit uptake is not what it should be. If we could drive up the uptake of pension credit, Loughborough University estimates than an extra 440,000 retirees could be lifted out of poverty. With approximately 850,000 pensioners not claiming pension credit, a huge number are set to miss out. Failing to do more to increase pension credit uptake could mean that two thirds of the poorest pensioners will not get the extra £650.

I recognise that the Minister for Pensions and Financial Inclusion—the hon. Member for Hexham (Guy Opperman), who is not in his place—has been leading a campaign to drive up the uptake and has even been ballroom dancing with Len Goodman. However, the Bill’s impact assessment, which the Government have published today, shows that 1.4 million pensioners are benefiting, but in the second round it is estimated that 26,000 fewer payments will be made to pension credit recipients. Can the Secretary of State or the Minister responding to the debate—the Under-Secretary of State, the hon. Member for Macclesfield (David Rutley)—explain why that is and what it says about the success, or otherwise, of the Government’s pension credit take-up campaign?

Families with children are poorly served by flat rate payments. Families in the bottom half of the income distribution with two or more children spend twice as much on food, essential household goods and services, clothing, footwear and transport. Families with three or more children are likely to spend an additional £500 on energy, but the support on offer is not adjusted for size of family.

We recognise that the cost of living payment, combined with the £150 council tax rate, will provide £1,200 for working-age households in receipt of means-tested benefits. However, that will not cover the whole increase in energy bills, especially as further large increases in the price cap, perhaps of £1,000, are expected in October. Nor will it provide much mitigation of the wider price food rises.

Let me spell it out. We know that there will be another rise in gas and electricity prices, possibly of £800 to £1,000, for a family who have already faced an increase of £850. That family will therefore need to find at least £1,650. They will get the council tax deduction of £150; they will get the energy bill loan, turned into a grant, of £400; and they will get £650, paid in two instalments, supposedly to cover the year ahead. That is £1,200 in total, which will still leave them £450 worse off because of the energy price rises this year. As that comes on top of last October’s £20-a-week cut in universal credit, that family’s standard of living will be down by £1,450 on last year—£28 a week. That is even before we take into account the food shopping bill, which Kantar has today predicted will go up by at least £380. The Governor of the Bank of England has warned of “apocalyptic” increases in food prices.

Surely more Government action is needed. Ministers will retort that they are helping families to find employment; employment should indeed be the best defence against the rising cost of living, but under this Government, 8 million people in work are in poverty and are picking up food parcels for their families because of low pay and family circumstances. Some 2 million working families are on universal credit and have suffered similar losses to those who are out of work: they have lost the £20 uplift, they faced a real-terms cut in universal credit in April, and their wages are being outpaced by inflation, even after the national living wage increase.

I recognise that the Minister will respond that the Chancellor has reduced the UC taper rate and increased the work allowance, and that those with the highest earnings who qualify for universal credit gain the most from the reduced taper. However, for those with very low earnings, the gains are much less than the losses elsewhere. A lone parent with two children would lose £1,200 if they were not working, but would lose £1,300 if they were working 10 hours, nearly £700 if they were working 20 hours and £400 if they were working 30 hours. These families have already lost substantial amounts, and the package that the Chancellor has announced does not make up for it. Those examples are not exceptional. They will have a familiarity to every Member who speaks to their local food bank or citizens advice bureau. The problem is that the flat payment system takes no account of family size or special needs.

I hope the Minister addresses those points this afternoon, because we need more than quick fixes to protect the living standards of our constituents and tackle the chronic injustices of poverty. We entered the living standards crisis not just on the back of years of underwhelming economic growth, but after years of cutting, freezing and restricting access to social security, which left us with a threadbare system and an explosion in food bank, baby bank, bedding bank and fuel bank usage. The real-terms value of out-of-work benefits is the lowest for years. We have seen the pernicious two-child policy, caps on support, inadequate help with housing and council tax, and real-terms cuts to universal credit—real-terms deductions to the amount that people on universal credit are forced to grapple with.

That is why child poverty is rising on its way to 5 million, with half a million more children destitute and 500,000 children going without a decent bed at night. The outcry from our communities forced the Government to take short-term action, but we need a long-term plan to rebuild social security, grow the economy, raise living standards, and defeat child and pensioner poverty, so that the victims of poverty can participate fully in society. That is what I am determined to build.

[Madam Deputy Speaker (Dame Rosie Winterton)]

I have now to announce the result of today’s deferred Division on the Abortion (Northern Ireland) Regulations 2022. The Ayes were 215 and the Noes were 70.

[The Division list is published at the end of today’s debates.]

Points of Order

Debate between Rosie Winterton and Jonathan Ashworth

Tuesday 14th September 2021 Commons Chamber

[Madam Deputy Speaker]

The hon. Gentleman could have tabled an amendment to the business of the House motion and given the House different choices as to how long it wished to spend discussing the Bill. As it is, it is in the hands of the House to decide whether it accepts or otherwise the business of the House motion. I hope that is clear.

[Jonathan Ashworth (Leicester South) (Lab/Co-op)]

Further to that point of order, Madam Deputy Speaker. May I reinforce the point that the hon. Member for Basildon and Billericay (Mr Baron) just made? If Ministers are going to impose on our constituents a punishing, unfair tax rise, surely a Health Minister must come to the House and explain what that money is actually going to be spent on.

[Madam Deputy Speaker]

That is obviously a point of a view—it has been expressed previously by Members in different parts of the House—but it is not really a matter for the Chair. I am sure that it may come up in debate. Having said that, I think we should now move on to the ten-minute rule motion.

Coronavirus

Debate between Rosie Winterton and Jonathan Ashworth

Thursday 25th March 2021 Commons Chamber

[Jonathan Ashworth]

My hon. Friend is absolutely right: we need a public inquiry. Mistakes have been made. There have been examples of poor decision making. When we went into the crisis, our health and social care capacity was less than it should have been, and our public health capacity, after cutbacks over many years, was lacking. We were late going into lockdown a year ago; maybe that was not unreasonable, but we were also late going into lockdown the second and third time. Of course we need a public inquiry to get to the bottom of all these matters.

The Secretary of State is embarking on a reorganisation of the national health service. Yesterday, he made an interesting speech about the future of public health, which he opened by saying that one lesson of this crisis is that we need to set up a national institute of health security. I agree with him on health security, as it happens, but the Government cannot, on the one hand, say that they have learned lessons from this crisis and they need to do X, Y and Z while, on the other hand, the Prime Minister says it is too early to learn lessons and we cannot have an inquiry. My hon. Friend the Member for Blackley and Broughton (Graham Stringer) is absolutely right and I totally agree with him.

We have concerns about schedule 21 of the 2020 Act, but we are where we are, and the procedures of the House leave us little room for manoeuvre, so we will support the Government in the Division Lobby, should it come to that, albeit that we would rather not be in this situation.

Schedule 22 is another schedule that is open to abuse, and I hope the Government will review it and come forward with alternatives; given recent events, the power it contains on gatherings has caused understandable concern. However, some progress is offered by the public health regulations, which expressly include—I think for the first time, and in relation to each step of lockdown relaxation—the right to gather for purposes of protest. That is welcome but, to be frank, it should have been there all along. I have some concerns that, to comply, organisers must take into account, in the words of the regulations,

“any guidance issued by the government relevant to the gathering”,

which means that the Government, through guidance, which could be general or specific to a particular protest, can determine what is allowed by way of protest. I hope the Minister, who is a decent man and a fellow Leicestershire MP, can offer us some guidance on that in his response.

Notwithstanding our concerns, we understand why the 2020 Act must stay on the statute book and why the public health regulations must receive the support of the House today. The pandemic is not over. The virus is surging again. Deaths are increasing across the world after going down for some weeks. Mutations could emerge, which could bounce back at us and set us back considerably. Although they would probably not put us back to square one, they could evade the success of our vaccination programme. A year ago, I concluded my remarks by observing:

“The crisis has exposed the vulnerability of a society in which insecure work is rife, deregulation is king and public services are underfunded. When we come out on the other side, as we will, we have to build a society that puts people first.”—[Official Report, 23 March 2020; Vol. 674, c. 61.]

Rebuilding that society becomes ever more urgent every day.

[Madam Deputy Speaker (Dame Rosie Winterton)]

The four-minute limit will now be on for Back-Bench speeches.

Public Health

Debate between Rosie Winterton and Jonathan Ashworth

Wednesday 6th January 2021 Commons Chamber

[Jonathan Ashworth]

I think that as a rule in politics it is always better to under-promise and over-deliver. Maybe the Whip on the Treasury Bench could send that advice to the Prime Minister, because the Prime Minister tends to have the opposite approach to some of these matters, I would say.

Our big target should be to vaccinate more, particularly among NHS staff. Many NHS staff on the frontline, in the face of danger, are scared. They are exhausted. Many have said to me that they feel they were sent out in the initial weeks of the first wave without the protection of personal protective equipment, and now they are exposed again without the protection of inoculation. Will Ministers move heaven and earth to get all frontline NHS staff vaccinated urgently, and can we have a clear date by which NHS staff on the frontline will receive the vaccine? If manufacturers can increase supply, what more can be done to improve distribution? In addition to GPs, our community pharmacists have tremendous links with hard-to-reach communities. We need to make full use of them.

Vaccination not only saves lives, and is not only the route out of restrictions; it is also urgent, because we are now in a race against time. The B117 strain is fast becoming dominant, and it has done so in just a matter of weeks. The more virus there is circulating, the more opportunities there are for further mutations that could give the virus greater advantage—possibly a variant on which vaccines no longer work, risking another devastating covid wave in winter 2021. Vaccination, both at home and across the globe, is now fiercely urgent, and the race to vaccinate is therefore literally a race against evolution.

We will also support this lockdown tonight because we know we have to reduce transmission. That is why we are asking people to stay at home. But not everyone can work from home on their laptops. There are 10 million key workers in the United Kingdom, of whom only 14% can work from home—key workers, many of whom are low paid and often use public transport to travel to work in jobs that, by necessity, involve greater social mixing, who are more exposed to risk. Often, because of their home circumstances, they end up exposing others to risk as well. We witnessed that in Leicester, where it is suspected that a spike back in the summer was the result of a spillover of infections into the community from those sweatshops that did not adhere to proper health and safety rules.

We need to make sure that our workplaces are covid-secure; otherwise, we will not get on top of transmission. What support are the Government offering to install ventilation systems in workplaces? Will the Government introduce a safety threshold for ventilation of indoor workplaces without outside air? Given that the B117 strain is so much more transmissible, are the Government considering reintroducing the 2-metre rule? Given that fewer than 20% of those who should isolate do so fully, will the Government finally accept that sick workers need proper sick pay and support? Otherwise, those workers will be forced to work, spreading this illness.

The British public have done so much over the last year and have made great sacrifices. We are a great country, and our people can and will rise to the occasion. All anyone asks is that the Government do the right thing at the right time: make all workplaces covid-secure; vaccinate health workers as soon as possible; introduce decent sick pay and support to isolate, and roll out a mass vaccination plan like we have never seen before. This is a race against time—a race against evolution—and we will support this lockdown tonight.

[Madam Deputy Speaker (Dame Rosie Winterton)]

I will now introduce the three-minute limit. I remind hon. and right hon. Members that when a speaking limit is in effect for Back Benchers, a countdown clock will be visible on the screens of hon. and right hon. Members participating virtually and on the screens in the Chamber. For hon. and right hon. Members participating physically in the Chamber, the usual clock in the Chamber will operate.