Oral Answers to Questions

Debate between Iain Duncan Smith and Alison Seabeck

Monday 31st March 2014 Commons Chamber

[Mr Duncan Smith]

Interestingly, the Opposition voted against the imposition of the benefit cap, which they subsequently claimed to support. Last week they did a U-turn and voted for the welfare cap, which is the overall setting of the level of welfare. They plan to get rid of the spare room subsidy, but they have not told us where they will find the money. So here we go again: it will mean more money in taxes, more money in spending, more money in borrowing, and a bust economy once more.

[Alison Seabeck (Plymouth, Moor View) (Lab)]

9. What progress he has made on the mesothelioma compensation fund scheme; and if he will make a statement.

Universal Credit and Welfare Reform

Debate between Iain Duncan Smith and Alison Seabeck

Tuesday 11th September 2012 Commons Chamber

[Mr Duncan Smith]

The whole idea behind the universal credit is that it allows us not to cherry-pick child care. That is, we will support child care up the various hours, because at the moment the system is set so that people get it only at certain points. Universal credit allows us to do that, and we are putting another £300 million behind that. That is a major positive. Universal credit is also a major positive for lone parents seeking work, because of the increased ability of the first earner back into work to receive that money. That should benefit them enormously.

Let me try to address one other point that was made and then conclude. The Opposition have expressed some concerns about the universal credit and HMRC’s real-time information project, but the scheme will deliver a net reduction of £300 million in administrative burdens on employers. That is important, because the project will help enormously with the way we flow information, together with HMRC—and I stress “together”. The right hon. Member for Birmingham, Hodge Hill has made the point about that, both today and to me in the past, but I say to him simply: I am not letting this one go, as with some other Departments. We are locked into this. In fact, we have now placed one of the DWP people in the team working on real time information, which will report at the same time as the others. We believe that we are making good progress on getting RTI moving in the right direction.

The right hon. Gentleman asked what was to be done with the 20,000 housing benefit staff. We are dealing with this matter sensitively. We recognise that staff across the country will have concerns about the impact of the new benefit, which is why we are consulting local government right now. Although housing benefit will be absorbed into universal credit, we must not forget that that will not happen overnight. I am sure that any impact on job roles will be counterbalanced by, for example, changes to localised council tax benefit, which will require a number of staff. The administration of the social fund is also being moved down to local authorities, and there will be other work, too. This is a matter for us to discuss with the councils, but it can be dealt with sensitively. I do not think that we should get too concerned about it, but we need to deal with it. I think that there is scope for all of them.

I was asked earlier about the business case. We are constantly reshaping and remodelling it, and I do not think that we need to publish it. As I said to the right hon. Members for Birmingham, Hodge Hill and for East Ham, I am happy to discuss any issues surrounding it at any time. They are always invited in; it is always good to have a drink with them and discuss these matters.

[Alison Seabeck]

In Plymouth, we have more than 80% broadband coverage, but we do not have that level of broadband connection. A lot of my constituents are very poor and do not have internet access. They use their mobile phones to access the internet, but they cannot use them for downloading documents. There is therefore likely to be a surge of people going into jobcentres and elsewhere seeking support. My constituency also has quite a high level of illiteracy. Does the Secretary of State intend to bolster the number of staff in jobcentres to deal with that potential early surge, perhaps using some of the staff in housing benefit departments who could lose their jobs?

[Mr Duncan Smith]

The hon. Lady obviously would not expect me to make a commitment on that now. I can tell her what we are doing, however. I have visited a large number of jobcentres and talked to the managers and staff about what will happen when we move over to the new process. A number of jobcentres are already trialling ways of speeding up the online process of moving people to the new system. We are going to install computers and have staff ready to advise people. When they come in to make their claim, they will be shown to a computer, with a telephone or an adviser, and helped through the process. So, if they cannot do it at home, they should at least be able to do it at a jobcentre, with guidance and help.

I am also talking to my colleagues at the Department for Culture, Media and Sport, because we really need to get broadband to all areas, and we need to do it pretty fast. I accept that that is a matter for the Government. We are not just telling people that they have to do this, and then forgetting about them. We are going to ensure that those who have no internet access have another way to complete the process. We are also looking at different ways of using mobile telephones for making certain types of claim. There is a whole process taking place, and nothing is being left to chance. If the hon. Lady has any ideas, we would be pleased to hear them. I am sure that they will be brilliant.

Oral Answers to Questions

Debate between Iain Duncan Smith and Alison Seabeck

Monday 25th June 2012 Commons Chamber

[Alison Seabeck (Plymouth, Moor View) (Lab)]

The food bank in Plymouth has seen the number of people using it increase by 700 since April. It has clear evidence that the reason for this is the problem in the transition from contribution-based to income-based benefits, which in some cases lasts between four and eight weeks. Families are being left without money and are having to resort to the food bank, or in some cases, the skips behind supermarkets. What is the Secretary of State doing in his Department to ensure that that gap is reduced significantly?

[Mr Duncan Smith]

I accept the hon. Lady’s point and will look at the situation carefully to ensure that that does not happen. I will say that when we came into office food banks were not allowed to put their literature in jobcentres; the previous Government did not allow that and did not want them anywhere near jobcentres. We have since allowed them to put their literature in jobcentres. Jobcentre advisers are also telling people about that, so some of that expansion is due to the fact that people did not even know about this before we told them about it, which I think is fairly reasonable.

Welfare Reform Bill

Debate between Iain Duncan Smith and Alison Seabeck

Wednesday 9th March 2011 Commons Chamber

[Mr Duncan Smith]

I think that I have dealt with that.

There are other changes, including the consumer prices index uprating, in the Bill. We must get to grips with the housing benefit system, which ran out of control under the previous Government. I have a deep suspicion that they knew that before they called the election, and I sense that there were big differences about whether they would do something about this. Over the past 10 years, overall spending on housing benefit has almost doubled from £11 billion to £21 billion, which is a huge increase. I accept some of the arguments about the reasons for that—the fact, for example, that house building fell to a record low, and more and more people had to be moved into the social rented sector—but the reality under the local housing allowance regime was that we lost control of spending. We have therefore introduced a number of changes to the local housing allowance, including a move to annual uprating in line with CPI. Restricting uprating should enable us to keep downward pressure on rents. Only if an increase in local market rents exceeds the annual rate of CPI will the restriction apply. That will also be an important step towards the integration of housing support with the universal credit.

We accept that those changes will not be easy for some people, which is why we want to provide a great deal of transitional protection. Essentially, we have put up a total of about £190 million to smooth the transition to those measures for those who are most likely to be deeply affected. That includes £130 million in discretionary housing payments, £50 million to assist people with housing advice and removal costs and £10 million for homelessness prevention, particularly in London. That, coupled with the other changes that we have already made through regulations, where we are looking at making direct payments to those who are able to lower their rents and at delaying the point at which the measure comes in by some nine months, was a product of listening to people’s main concerns and trying to ensure that what we bring in is doable and manageable by councils.

[Alison Seabeck (Plymouth, Moor View) (Lab)]

On the right hon. Gentleman’s point about housing benefits, what discussions has his Department had with housing associations and their lenders about the disaggregation of housing benefit under the universal credit and the direct payment to housing associations? They are deeply worried that, without that direct payment capacity across the piece, arrears will rise and lenders will become more nervous.

[Mr Duncan Smith]

We have had, and continue to have, those discussions, and I understand the concern. There is a debate, on both sides of the argument, about whether we basically continue with the principle that we should pay people and deal with certain elements of what they receive because they are not capable of doing so themselves, or whether we try to get people to the point where they are capable of managing their own money more and more. I recognise from the hon. Lady’s intervention that, on this matter, there is no absolute, but there is at least a debate on both sides, and that is simply where we are at the moment—trying to discuss the issue with those who feel that they would be most affected.