Budget Statement Debate

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Department: Cabinet Office

Budget Statement

Baroness Janke Excerpts
Friday 12th March 2021

(3 years, 1 month ago)

Lords Chamber
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Baroness Janke Portrait Baroness Janke (LD) [V]
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My Lords, I add to others’ my congratulations to the three noble Lords on their very excellent maiden speeches.

Being disabled is expensive and the failure of the Chancellor to extend the £20 uplift to legacy benefits is a curt dismissal of this basic fact. Legacy benefits, which are vital to disabled people and their carers, have been excluded from the £20 uplift to universal credit for the second consecutive year. The financial situation of disabled people and carers has been worsened by the pandemic. Scope calculates that, on average, disabled people already face extra costs of £583 per month related to their impairment or condition, even factoring in benefits designed to meet these costs. Many have had the burden of additional costs of risks to health, such as taking taxis to appointments to avoid public transport, purchasing more PPE for those who with respiratory conditions, or using more heating to reduce the risk of complications from Covid-19. This means that less money is available for essentials.

In September 2020, 25% of disabled people reported that they have less money available for food. Some have had to pay around £30 an hour for privately sourced care, to make up for shortfalls, causing them to fall into debt or use up already low levels of savings. For some unpaid carers, caring responsibilities have expanded so much that they have had to give up paid employment, a major loss of income. The uplift must be extended to legacy benefits if there is not to be a two-tier social security system that unfairly discriminates against people with disabilities and their carers.

The £20 uplift to universal credit was widely welcomed as a recognition by the Government that universal credit did not provide a realistic income for people to live on. We call for this payment to be made permanent, so that 200,000 children will be safe from poverty, and hard-pressed families on universal credit will not suffer a crippling cut of £1,040 as they face next winter.