Income Equality and Sustainability

Lord Shipley Excerpts

Wednesday 6th May 2020 Lords Chamber

[Lord Shipley (LD)]

My Lords, I congratulate the right reverend Prelate the Bishop of Derby on her excellent maiden speech, and thank the most reverend Primate for all his work in support of this House, but particularly for his tireless campaigning on issues of financial inequality, debt, poverty and homelessness over many years.

Recent data from the Office for National Statistics has shown that people living in more deprived areas have experienced Covid-19 mortality rates of more than double those for people living in less deprived areas. A postcode lottery of morbidity is unacceptable, and the Government simply must tackle the fundamental inequalities that have put some people at greater risk.

A briefing I received from Citizens Advice in Newcastle earlier this week made several proposals that I hope the Government will adopt to assist households as temporary financial interventions are reduced. It suggests that there should be no sudden cut off to the job retention scheme or the income support scheme, and that there should be long-term increases in the safety net provided by universal credit because many people will find it hard to get back to work when lockdown ends. There should also be a recognition that further extensions may be needed for existing mortgage and debt holidays, and it proposes a coronavirus financial hardship fund, which would be different from universal credit in that it would help people facing sudden essential costs, through a grant or a loan. These proposals seem wise. We should remember that furloughed workers on low pay have had a 20% cut to their incomes.

I was a signatory to the recent call to prevent disadvantaged children falling behind in their learning by means of extra tuition through a catch-up premium for their schools. I hope the Government will understand the vital importance of this, to reduce educational inequalities.