Oral Answers to Questions

John Milne Excerpts

Monday 23rd June 2025 Commons Chamber

[Madam Deputy Speaker]

I call the Liberal Democrat spokesperson.

[John Milne (Horsham) (LD)]

Recently I met Kathryn from my constituency who had to give up a £90,000-a-year job in order to care for her husband. With 150,000 carers set to lose their allowance due to PIP eligibility reforms, some of our country’s most hard-pressed households face losing £8,000 a year. Will the Minister confirm that even if the welfare reforms work out to the most optimistic expectations, there will be far more net losers that net gainers among PIP claimants?

[Sir Stephen Timms]

Among households as a whole, there will be more net gainers than net losers from the package. The reason for that is the increase to the standard allowance of universal credit, which according to the Institute for Fiscal Studies is the biggest increase to the headline rate of benefit since at least 1980. We are consulting on support for those who will lose carer’s allowance because of the changes and considering what additional help they may need, including for health and care needs. The hon. Member will have seen in the Bill we have published that we have committed to a 13-week run-on of benefit after an assessment decision so that people have time to adjust to the new situation.

--- Later in debate ---

[The Minister for Social Security and Disability (Sir Stephen Timms)]

We are reviewing universal credit to ensure that it makes work pay and tackles poverty, and we are looking at exactly the kind of problem that my hon. Friend highlights. I would be delighted to meet him to discuss it, because Nicola, Steven and all 7,000 households claiming universal credit in his constituency will benefit from the standard allowance increase proposed in the Universal Credit and Personal Independence Payment Bill, which we will be debating next week; it is the biggest increase in the headline rate of benefits since at least 1980.

[John Milne (Horsham) (LD)]

In her March Green Paper, the Secretary of State promised to provide an additional £1 billion in funding to help benefit claimants back into work, but only £400 million has actually been allocated, and even that will not come until 2028-29. We have heard some talk of efficiency savings, which is practically the definition of a magic money tree if ever there was one, so will the Minister confirm that the promised £1 billion for employment support will be all new money, and not cannibalised from other vital DWP services?

[Liz Kendall]

Yes. Already this year, we are rolling out £300 million of support through our Get Britain Working plan and Connect to Work. That will rise to £600 million next year and build to an additional £1 billion. This is the biggest ever investment into employment support for sick and disabled people, because we believe work is the route out of poverty. We want to build dignity and a better life for those who can work, while protecting those who cannot.