Universal Credit and Personal Independence Payment Bill

Deirdre Costigan Excerpts

Committee of the whole House & 3rd reading
Wednesday 9th July 2025 Commons Chamber

This Bill affects everyone. One in three of us will become disabled at some point in our lifetime, and while some may not need the system, many will. I want it to be there for my family, friends and constituents to ensure that no one is left in poverty. Seventy-five per cent. of universal credit health claimants experience material deprivation and already live deep in poverty. I did not come here to make people worse off, and that is why I still cannot support this Bill today.

[Deirdre Costigan (Ealing Southall) (Lab)]

I will speak to the Government amendments and against some other amendments. Before I was elected, I worked for the trade union Unison where I was the national officer for disability equality. In that job, I saw every day how disabled people who love their jobs are often pushed out of the workplace by employers who refuse to make the small changes that would help them to thrive at work.

Through the Mayfield review, this Labour Government are seizing the opportunity to finally make the workplace more accessible for disabled people. The Employment Rights Bill will bring in flexible working, allowing disabled workers to perhaps start a little later in the morning when tablets have kicked in or to work from home to avoid the painful morning rush hour. Alongside that, I have also introduced my own Bill for a deadline for employer responses to reasonable adjustment requests from disabled workers. We are transforming the workplace for disabled people, and Labour is also making work pay. No longer will it be a choice between benefits and a bargain basement job. We have increased wages for 3 million low-paid workers, committed to introducing mandatory disability pay gap monitoring and delivered the biggest upgrade to workers’ rights in a generation.

Government new clause 1 and associated amendments will ensure that for those who cannot work, their universal credit health benefit will increase in line with inflation. The Bill ends the absolute indignity of constant reassessments for those with severe conditions. Almost 15,000 families in Ealing Southall will also see the basic rate of universal credit increase by a record amount, lifting thousands of children out of poverty across the country. New clause 12 would rob those 15,000 families of that money—it must be rejected.

It cannot be right that almost 3 million people are off work long-term sick, 1 million young people are not earning or learning, and a thousand people a day are applying for PIP. We are an outlier internationally. No other country in the world sees the same massive increase in people on sickness-related benefits. It is unique to this country, and we do no favours to people with long-term conditions by ignoring it. The Tories created this broken system where people are better off on sickness benefits than in work and there is no help for those who want a job. Everyone knows the system needs reform, but amendments 2(a), amendment 2(b) from the Chair of the Select Committee my hon. Friend the Member for Oldham East and Saddleworth (Debbie Abrahams), Conservative amendments 50 to 55, and new clause 12 would continue to put reform on the long finger and delay change.

Last August, after 14 years of the Tories, when I visited west Ealing jobcentre and asked who I could speak to if I was a disabled person who needed a job that would work around my needs, I was told there was no one—no one at all. That is why we need change now. Under Labour, west London is one of the 14 Get Britain Working trailblazers across the country. People on long-term sickness benefits with back pain and other musculoskeletal conditions, which are the second biggest reason why people claim health-related benefits, have been contacted and asked if they want help to get a job, and hundreds have replied that they do. They have been sat there waiting for us to contact them. Those people were ignored by the previous Government—people who wanted to work but were left on the scrapheap.

Some £8 million from the Government is helping west Londoners into work. The Bill is part of a much bigger £1 billion plan to extend that to every jobcentre and to every disabled person who wants a good job. The new right to try will build a more flexible benefits system that does not force people to put themselves in a box, locked out of work for ever, but allows them to try work without losing benefits.

I am glad that the Government have ensured that no one on PIP will lose it, and that they will co-produce the PIP review with disabled people—it has been over a decade since the PIP system was last reviewed, and since then we have learned more about the impact of mental health conditions and fluctuating conditions—but true co-production means letting the review go ahead without this House trying to control it, so we must reject the rigidness of new clauses 8 and 11 in favour of true co-production.

Disabled people were let down again and again by the previous Government. Labour is finally delivering equality for disabled workers while fixing the broken system that forces almost 3 million people to languish on long-term sickness benefits without help. If colleagues across the House genuinely want reform that builds a better, more flexible benefits system that makes work pay, takes 50,000 children out of poverty and properly supports disabled people who cannot work, they must do more than just talk about it; they must vote for the Bill and get on with the job of changing Britain for the better.

[Andy McDonald (Middlesbrough and Thornaby East) (Lab)]

I rise to speak in support of new clauses 8 and 11, amendment 38 and the Bill more broadly. This informed debate has been conducted respectfully. Throughout the entire process, it has been illuminating to hear from so many Members with such in-depth personal, familial and professional experience. I urge those on the Government Front Bench to look upon such Members from across the House as a resource, because they speak with great authority. I mention in particular the speeches by my hon. Friends the Members for Stourbridge (Cat Eccles), for South West Norfolk (Terry Jermy) and for Beckenham and Penge (Liam Conlon), which were so informative.

May I correct one earlier comment? We heard from one Opposition Member that “no recourse to public funds” means “recourse to public funds.” Well, the clue is in the descriptor. I know that Boris Johnson struggled with that, but “no recourse to public funds” means exactly what it says.

I wish to speak about the impact were the House to pass amendment 2. I recognise that the amendment adopts some of the previously announced concessions and somewhat limits the damage of clause 2. But let me be clear: even with the amendment, the clause is not acceptable. The Bill is not welfare reform; it is a cut—deliberate, far-reaching and deeply damaging. Even after amendments, clause 2 will remove £2 billion from disabled people in the years ahead. Three quarters of those affected are already in material deprivation. Around 750,000 individuals—people who are too ill to work—stand to lose an average of £3,000 a year. Members must consider today which constituents whose doors they knock on will find themselves £3,000 a year worse off. The weekly top-up for those too unwell to work, which is currently £97, will fall to £50 for new applicants—the same condition and need as current claimants, but half the support. That is not fairness; it is the creation of a two-tier welfare system. We are not talking about abstractions; we are talking about people who cannot walk 50 metres, or who need constant supervision, or who cannot operate a keypad unaided. They currently receive £423 per month. Soon, some could receive as little as £217 per month. That is not a budget decision; it is a moral one.