Asked by: Lord Bird (Crossbench - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government whether the Child Poverty Taskforce will include statutory child poverty reduction targets in their forthcoming strategy.
Answered by Baroness Sherlock - Minister of State (Department for Work and Pensions)
The Child Poverty Taskforce continues its urgent work to publish the Child Poverty Strategy and is exploring all available levers across government to deliver an enduring reduction in child poverty in this parliament, as part of a 10-year Strategy for lasting change.
As set out in the publication of 23 October ‘Tackling Child Poverty: Developing our Strategy’, the Taskforce is exploring a range of metrics and will make decisions alongside the publication of the strategy. This work will be guided by the leading, and internationally recognised, measure of poverty - Relative Poverty After Housing Costs (the proportion of families with below 60% of the median income after housing costs are deducted).
Our metrics must also reflect the experience of poverty in households across the UK and the urgent need to focus on those children experiencing the most severe and acute forms of poverty. The Taskforce will consider how best to measure this as the strategy develops, including through our work on the material deprivation measure following the recent review of the material deprivation survey questions carried out by the Centre for Analysis of Social Exclusion at the London School of Economics and Political Science.
Asked by: Lord Bird (Crossbench - Life peer)
Question to the Department for Work and Pensions:
To ask Her Majesty's Government what assessment they have made of (1) the impact of the COVID-19 pandemic on (a) single parent families, (b) low-income workers, and (c) young people, and (2) the adequacy of the support provided to those groups through the welfare system to address COVID-19 issues.
Answered by Baroness Stedman-Scott - Opposition Whip (Lords)
This Government has taken unprecedented action to support people financially and protect jobs, with over 9.5 million people being supported through the furlough scheme alone since the start of the pandemic. We have injected £9.3 billion of additional support to the welfare system including increases to the Universal Credit and Working Tax Credit standard allowances that will benefit four million of the most vulnerable households by up to £1040 this financial year, as well as permanent uplifts to the Local Housing Allowance rates to cover the lowest 30 per cent of market rents.
A direct assessment of the impact of COVID-19 on specific groups has not been undertaken. However, HM Treasury’s distributional analysis of COVID-19’s impact on working households published in July, showed that the actions this Government has taken to date have supported poorest working households the most, with those in the bottom ten per cent seeing no income reduction.
Our long-term ambition remains to build an economy that will support work, and ensure everyone has the opportunity to enter and progress in work where possible. Our £30 billion Plan for Jobs is the first step on the ladder to achieving this, as well as new schemes such as Kickstart, Job Entry Targeted Support and Job Finding Support.
Asked by: Lord Bird (Crossbench - Life peer)
Question to the Department for Work and Pensions:
To ask Her Majesty's Government what plans they have to ensure that the Universal Credit housing allocation adequately supports recipients to pay their rent.
Answered by Baroness Stedman-Scott - Opposition Whip (Lords)
In April we increased Local Housing Allowance (LHA) rates so that they cover 30 per cent of local rents in the Private Rented Sector. This significant investment of almost £1 billion will mean over one million households will see an increase, on average, of £600 this year. A decision on LHA rates from April 2021 will be taken prior to the start of the financial year.
For those living in the Social Rented Sector, maximum housing costs support is based on actual rent and eligible service charges less any deductions for under-occupation.
For those who require additional support Discretionary Housing Payments (DHPs) are available.? We have already provided £180 million in DHP funding to Local Authorities to support vulnerable claimants with housing costs in the private and social rented sector in England and Wales for 2020/21. This includes an extra £40 million as announced at last year’s fiscal event
Asked by: Lord Bird (Crossbench - Life peer)
Question to the Department for Work and Pensions:
To ask Her Majesty's Government what plans they have to prevent any increase in childhood deprivation.
Answered by Baroness Stedman-Scott - Opposition Whip (Lords)
The Government is committed to delivering a sustainable, long-term solution to poverty in all its forms. This requires an approach that goes beyond a focus on income and tackles the root causes of poverty and disadvantage, to improve long-term outcomes for families and children.
The evidence is clear about the importance of work, in particular full time work, in tackling child poverty and improving children’s educational outcomes. The absolute poverty rate (BHC) of a child, where both parents work full-time is only 4%, compared to 44% where one or more parents are in part-time work. Universal Credit helps by incentivising entry into work, offering smooth incentives to increase hours. We will therefore continue with our reforms to the welfare system so that it works with the tax system and the labour market to support employment and higher pay.
Asked by: Lord Bird (Crossbench - Life peer)
Question to the Department for Work and Pensions:
To ask Her Majesty's Government, following the report by the Social Metrics Commission Measuring Poverty 2019, published in July, and the appointment of the new Prime Minister on 24 July, what plans they have to revise their strategy for tackling poverty.
Answered by Baroness Stedman-Scott - Opposition Whip (Lords)
The Government is committed to delivering a sustainable, long-term solution to poverty through reforming the welfare system so that it works with the tax system and the Labour market to support employment and higher pay. Promoting full-time work through work incentives are a key feature of this approach, reinforced by the National Living Wage and the rising Personal Tax Allowance, which work together to promote independence from benefits.
Universal Credit, which is now reaching over 2 million households, has already shown that it is more effective in getting people into work than the legacy benefits it replaces. Nine months into a UC claim, 40% of claimants are working for an employer in a paid role, compared with only 23% at the start of their claim.
The number of people in employment has increased by over 3.7 million since 2010. Three-quarters of the growth in employment has been in full-time work which substantially reduces the chances of being in poverty.
The Government is working with the Social Metrics Commission, and other experts in the field, to develop new experimental statistics which will help us to find new and better ways to analyse poverty in this country. These will be published in 2020 and, in the long-run, could help us target support more effectively.
Asked by: Lord Bird (Crossbench - Life peer)
Question to the Department for Work and Pensions:
To ask Her Majesty's Government, what assessment they have made of the report by Barnardo’s Overcoming Poverty of Hope, published on 8 July; and what steps they intend to take to improve how they (1) listen to, and (2) act upon, the concerns of younger generations.
Answered by Baroness Buscombe
We welcome the Overcoming Poverty of Hope report which provides valuable insight into young people’s views and concerns about their own future.
We are committed to providing support for young people so that everyone, no matter what their start is in life, is given the best chance of getting into work. The department has a variety of support for young people such as the Youth Obligation Support Programme which provides support tailored to the needs and ambitions of individual 18 to 21 year olds. We have been working with Barnardo’s to develop a pilot specifically for care leavers. The pilot offers enhanced work experience and a personal mentor to support the care leaver throughout the placement, building the skills and confidence needed to start a career.