BBC
Debate between Andrew Bridgen and Helen Jones(4 years, 9 months ago)
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Helen Jones
I am afraid that I do not agree with the hon. Gentleman—the BBC produces very good news coverage. People sometimes see bias when they are being told things that they do not want to hear—we must remember that.
Many older people—half of over-75s, in fact—are disabled. Age UK estimates that three in 10 are living in poverty or just above the poverty line. For those people, TV is a lifeline. Many of them live alone. I have one elderly friend who leaves the TV on almost all the time because it is another voice in the house.
Helen Jones
Not yet. I need to make some progress, as many hon. Members are waiting to speak.
The TV is another voice in a house that was once full of people and very active but is now silent. To remove free TV licences from such people is the most mean-spirited of Government cuts. It will make lonely people lonelier—15% of our older people are lonely—and it will further isolate those who are already isolated.
It has been argued that restricting free TV licences to those in receipt of pension credit is somehow fairer because they are more deserving—the idea of the deserving and the undeserving is very 19th century—but there are several answers to that proposal. First, by the time someone is 75, they have paid their dues to society: they have worked, paid their taxes, and many have brought up children. Giving those people a free TV licence is a way to give something back as a small recognition of their past contribution.
Another argument is that we need a mix of targeted and universal benefits, but the latter—as the Government are discovering—are much harder to cut, because most of the time they are a guarantee of continuance. That argument is based on the myth that there are lots of wealthy pensioners. Recently, a lot of publicity was given to research claiming to show that older people were on average £20 a week better off than those in work, but much of the coverage did not mention that those were the figures after housing costs. If we look at the figures before housing costs, we see that people in work are better off.
Yes, many people in the older age groups own their own homes outright—the figure is about 40% of those born between 1945 and 1965—but that leaves a lot of people paying rent. Some 30% are still paying mortgages, while those who own their homes outright have forgone other spending to pay for them. What do we have now—a Tory Government punishing thrift?
Those who attended the public consultation pointed out very forcibly that in many areas older people have more expenses than younger people. Their heating bills are bigger because they are often at home all day and feel the cold more. Many pay for social care; one lady, whose husband is in a nursing home, is seeing her savings disappear before her eyes because of that expense.
Those figures are for those on median incomes, which means that half of all pensioners are below that level. Age UK states that three in 10 over-75s are in poverty or just above the poverty line—that means 1.9 million people—and 20% cannot afford to go out and socialise even once a month, while 37% cannot afford a holiday away from home.
One reason not to tie TV licences to pension credit is that pension credit uptake has been stuck at 63% for years. As my hon. Friend the Member for Leeds North West (Alex Sobel) said, that means that a lot of money goes unclaimed, including more than £4 million in my constituency and £3.5 billion nationally. The Government could have done something about that—an uptake campaign, for instance, or a simplification of the application process—but they have not done so because the lack of uptake means that they save not only on pension credit, but on the benefits that come with it.
Another reason not to tie free TV licences to pension credit is that those who will be hit hardest are just above the level for claiming pension credit and will lose far more of their income than wealthier people. Age UK estimates that 40% of over-75s would either not be able to afford a TV licence or could afford it only by cutting back on food or heating, for example. Those to whom we spoke made it clear that their generation were brought up to pay their bills and that they will pay them even if they have to cut back on something else. Letters from the licensing authority are already dropping through people’s letterboxes a year in advance, telling them that they will have to pay and causing real worry to many people. I wonder how long it will be until the scammers appear, ringing people and sending emails to say, “We are just checking your television licence. Give us your bank details.” That will happen—in fact, I am told that it is already happening in some areas.
Do we really want to live in the kind of country where pensioners go without food to pay for a TV licence, or go to jail for not having one? We recently celebrated our D-day veterans and quite rightly reflected on the debt that the country owes that generation. We cannot repay that debt by taking away free television licences. What will happen to those in care? At the moment, people in care homes get a discounted licence, but the regulations refer specifically to those under-75 because the over-75s were already deemed to receive free licences.
The BBC probably did not know that, which brings me to the important question of who should decide social policy. I cannot think of any way to frame that question such that the BBC is the answer. The BBC is not equipped to do it, does not have enough information to do it, and should not have to do it. It is a matter for Government and for Parliament.
Andrew Bridgen
I thank the hon. Lady for giving way. She makes some very valid points, but she is letting the BBC off the hook and acting as an apologist for it. Does she recall that at the 2015 charter renewal, the BBC said that it was delighted with the terms of the charter; delighted about getting an inflation-linked increase to the licence fee; and delighted about being let off having to fund the roll-out of superfast broadband? It is now reneging on its commitment to the over-75s.
Helen Jones
It is not the BBC but the Government who are reneging on their promises to the electorate, which were made as recently as 2017—it is as simple as that.
The Government should consider taking back responsibility for funding free licences. That would cost £740 million by 2020-21, which sounds like a lot, but is a drop in the ocean compared with most Government expenditure and with the spending proposals made by the Conservative leadership candidates. The right hon. Member for South West Surrey (Mr Hunt) says that he will cut corporation tax to 12.5%, which would be one of the lowest rates in the developed world and would cost £13 billion. The right hon. Member for Uxbridge and South Ruislip (Boris Johnson)—I was going to say “for Henley,” but he does move about a lot. [Interruption.] I apologise to the hon. Member for Henley (John Howell). The right hon. Member for Uxbridge and South Ruislip says that he will raise the threshold for the 40% rate of tax. That would cost £9 billion, and the Institute for Fiscal Studies says most of the benefit will go to the top 10% of earners. I have heard those on the Government Benches say that change would protect those on middle incomes. They need to get real. The median income in this country is not £50,000. It is not even £40,000. Last year it was £28,400, and that is hugely inflated because incomes at the top end include large bonuses. There is a choice. Does anyone in this Chamber need a tax cut? We might like one—
Finance Bill
Debate between Andrew Bridgen and Helen Jones(13 years, 9 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Helen Jones
My hon. Friend is right. If families have to be split up, put into emergency accommodation or are trapped in the cycle of worklessness and poverty, because not having a home makes it much harder to get a job, that not only inflicts appalling circumstances on them, but costs the taxpayer far more money in the long run.
Andrew Bridgen (North West Leicestershire) (Con)
I hate to bring the hon. Lady back to reality, but the previous Government halved the amount of manufacturing in our economy, from 22% to 11%. Under them, we built the least number of houses since 1922 in order to support the construction industry, and history will view many of their so-called investments rather harshly and, perhaps, as the biggest Ponzi scheme ever, because they did not stand up for long once the economic winds shifted against them. Will she please remember that? She will be pleased that one thing that we are not cutting is the health budget. As for those suffering from mental health problems, especially selective amnesia, I can see plenty in this Chamber.
Helen Jones
The hon. Gentleman ought to be wary of making jokes about mental health. I entered this House from a constituency where children growing up in 1997 had never known what it was to see someone in their household go to work. A Labour Government changed that and invested in decent homes, but Liberal and Tory councils constantly sold the pass on affordable homes by allowing developers to buy themselves out of their obligations, so we will take no lectures from him on employment or housing.
The National Housing Federation states that the Government’s planned housing benefit cuts alone will put 200,000 more people at risk of homelessness and concentrate social and economic problems in the more deprived areas. It is the ultimate Tory nimbyism to want to move people out of city centres. They used to say, “Get on your bike and look for work.” They now say, “Get on your bike and get out of my sight, because we don’t want to know anymore.”
Someone in London with rent of £350 a week would lose £35 in housing benefit if they were unemployed for 12 months. I ask Government Members what is the jobseeker’s allowance for a single person? Anyone? No, I thought not. It is £65.45 a week. If those people meet the shortfall in their rent, they will be left with £30.45 to live on, to buy food and clothes and to pay for utilities and the increased VAT rate that this Government will impose on them. Not only is that not the mark of a civilised society, but it leaves those people with less money to live on in a week than many Government Members would spend on a meal—a lot less in some cases.