Oral Answers to Questions

Peter Gibson Excerpts

Monday 18th March 2024 Commons Chamber

[Mel Stride]

The most important thing is that this Government recognise that the best way out of poverty, and the best way to address the circumstances that the hon. Lady describes, is through work. That is why the Chancellor reduced taxation, making work pay ever more, and why the national living wage is to be increased by close to 10% this April, following a similar increase around this time last year. Benefits are going up by 6.7% and increased by 10.1% this time last year. I have already mentioned local housing allowance, and of course we have now had eight consecutive months of real wage growth as inflation has fallen.

[Peter Gibson (Darlington) (Con)]

8. What steps his Department is taking to increase the support offered by Jobcentres in Darlington.

[The Minister for Employment (Jo Churchill)]

The team are working tirelessly with Darlington Borough Council, Tees Valley Combined Authority and other partners to deliver through job fairs, SWAPs and skills bootcamps.

[Peter Gibson]

I thank my hon. Friend for her answer, and may I be the first in the Chamber to wish her a very happy birthday? In addition to the issues that she has highlighted, may I highlight the wonderful work that Darlington jobcentre has done in setting up its Facebook page? Does she agree that it is a template for others to follow, and will she come to Darlington and meet my fantastic work coaches?

[Jo Churchill]

I thank my hon. Friend—it is seemingly quite a large number on my birthday cards today.

My hon. Friend has been a fantastic champion of his local jobcentre, and has campaigned vigorously to ensure that Darlington is at the forefront of innovation. I will be meeting his team in April. I have been to seven jobcentres since the last DWP questions, and I will make sure that his work coaches are at the top of my list.

State Pension Changes: Women

Peter Gibson Excerpts

Tuesday 12th March 2024 Westminster Hall

[Paul Maynard]

As I think I have already said, the timing of the report is a matter for the ombudsman to determine. I have received no indication from the ombudsman of the timescale to which he is working, much as we would all like to know the date when it is coming.

The Department for Work and Pensions has to be mindful of its independence, but we are co-operating fully with the investigation. We believe that it is important to let the independent process conclude, so that we can then carefully consider the findings and the recommendations that may arise from the final report.

[Peter Gibson (Darlington) (Con)]

For the record, can the Minister give us a cast-iron guarantee and reassurance that his Department is fully co-operating with the ombudsman?

[Paul Maynard]

I can indeed give that assurance. As I have just said, we are fully co-operating at every stage with the ombudsman’s investigations.

Oral Answers to Questions

Peter Gibson Excerpts

Monday 5th February 2024 Commons Chamber

[Mary Robinson (Cheadle) (Con)]

18. What steps his Department is taking to expand the support available through jobcentres in Cheadle constituency.

[Peter Gibson (Darlington) (Con)]

24. What steps he is taking to help fill job vacancies in Darlington constituency.

[The Minister for Employment (Jo Churchill)]

Across the country our fantastic work coaches are supporting people to secure and progress in work. In Kendal, Cheadle and Darlington, jobcentres are working with local and national employers to match jobseekers with vacancies through job fairs, sector-based work academy programmes and apprenticeships. As it is National Apprenticeship Week, this is a great time for employers to promote the opportunities available, and I urge all colleagues who have not yet done so to visit their jobcentre if it has an apprenticeship fair on. The hon. Gentleman’s was last week, wasn’t it?

--- Later in debate ---

[Jo Churchill]

I know that senior civil servants are engaged in piloting an initiative that will help to speed this up, because we need to place those candidates more quickly and ensure that we get them into work swiftly. I would love to visit Stockport and add its jobcentre to the growing list that I have visited.

[Peter Gibson]

I put on record my thanks to my hon. Friend the Member for Hexham (Guy Opperman) for his work to establish the Jobcentre Plus Facebook pages, of which Darlington’s was the first. Will my hon. Friend the Minister outline how successful that page has been and what further plans she has to develop accessible social media job advertising?

[Jo Churchill]

We know that social media helps, and that 40 to 50-year-olds in particular enjoy engaging with a digital platform when they are looking for work. We have had instances in the past of people thanking us when they have been given interviews online. It is important that posts are accessible and we are working to ensure that this is the case. I would point customers of any age to the JobHelp website, which has a host of useful information. I am keen to see if we can roll out such progress further.

Pensions (Extension of Automatic Enrolment) (No. 2) Bill

Peter Gibson Excerpts

3rd reading
Friday 24th March 2023 Commons Chamber

[Peter Gibson (Darlington) (Con)]

It is a real pleasure to see the Bill reach Third Reading. I am very grateful to you, Mr Deputy Speaker, and to Madam Deputy Speaker, for allowing me to speak for the fourth time today.

I pay tribute to my hon. Friend the Member for Stoke-on-Trent North (Jonathan Gullis) for guiding the Bill through its legislative journey, my hon. Friend the Member for Grantham and Stamford (Gareth Davies) for raising this issue in Westminster Hall last year, and my very good and hon. Friend the Member for North West Durham (Mr Holden) for laying the groundwork for the Bill before he was elevated to high office. It is great to see him in his place today.

When auto-enrolment was introduced, as an employer I was fearful of the impact it might have on my business and fearful of the costs it would burden me with, but auto-enrolment has proved to be hugely successful, reversing the decline in workplace pension saving and ensuring that millions more people are now saving for their future. I saw at first hand the benefits the scheme has had on the lives and futures of my employees. Employees who would never have considered being part of a pension scheme were put in a position where it became a simple and easy process. For the first time, they were ensuring that they did not fall into the trap of under-saving for retirement.

We have to recognise that for those under the age of 22 the number of people enrolled in a pension is woefully low. Among those in part-time employment, although some will earn more than the current £10,000 threshold, the number of those auto-enrolled is still significantly lower than among those who are in full-time employment. The 22-year-old minimum age simply does not work. Why should someone who chooses to start working before they are 22 not be paying into a pension from that age, the same way as someone who is 22? They would have much to gain from auto-enrolment being extended to them. Moreover, we must recognise that the current system also disproportionately impacts women and those on the lowest earnings in our society, who are more likely to be in part-time work and have multiple part-time jobs, like many of my constituents in Darlington.

In 2019, I stood on a manifesto to level up communities across the United Kingdom, and the extension of auto-enrolment is a policy that has the potential to have a real positive impact on people’s futures. It would be a commitment to level up for the long-term. The Bill is levelling up in action.

Extending auto-enrolment could potentially add trillions of pounds to the nation’s pension pot. It is a chance to ensure that people are saving for their future from a young age. It allows us to ensure that the poorest in society have a more secure future and takes steps towards closing the gap between men and women’s pension savings.

[Mr Louie French (Old Bexley and Sidcup) (Con)]

Alongside this positive Bill, which builds on the success of auto-enrolment, which the Conservative Government adopted, does my hon. Friend agree that it is important we also support the Government’s initiatives to roll out pensions advice more widely, so that people have a better understanding of their own financial situation and pensions saving, particularly for men, women and younger people?

[Peter Gibson]

My hon. Friend makes a really important point. I know only too well, from conversations I had with family members encouraging me to take up a pension when I was in my early 20s, it seemed an awfully long way off. I can tell the House, some 30 years later, that it comes around very, very quickly. The earlier we all start saving, the better.

In conclusion, the extension of auto-enrolment would have huge benefits for many people in Darlington and right across the country. I am delighted to support the Bill and look forward to it completing its legislative journey.

[Mr Deputy Speaker (Sir Roger Gale)]

I call the shadow Minister.

Social Mobility

Peter Gibson Excerpts

Tuesday 21st March 2023 Westminster Hall

[Peter Gibson (Darlington) (Con)]

It is a pleasure to serve under your chairmanship, Mr Robertson. I congratulate my right hon. Friend the Member for Bexleyheath and Crayford (Sir David Evennett) on securing this important debate, and I am delighted to see the Minister for Social Mobility, Youth and Progression responding to it.

Levelling up is not just about dishing out money to parts of the north that have been ignored by Governments of all colours. Righting that wrong is part of my motivation for being here, and it is about delivering on the core missions of the levelling-up agenda. Social mobility goes to the heart of those missions, particularly education and skills. We all know that there are only two real- terms solutions to solving poverty—work and education. Providing opportunity, aspiration and inspiration to the next generation is critical to delivering social mobility. We all have a part to play in that.

For the record, Darlington is ranked 120 out of 533 English constituencies on the social mobility index, so Conservative Members are representing every type of constituency out there. There is already a vast swathe of new opportunities for local people in Darlington, which will enable them to fully reach their potential and find good, well-paid and secure employment into the future. Just this weekend, the brand new engineering block, the Ingenium Centre, opened at Darlington College. The centre has been delivered with £2.96 million from the towns fund, and it will house the college’s T-level students.

I commend the Government for introducing T-levels, and for providing an innovative educational route for people to gain the skills they need to prosper and fully meet their potential. I simply do not recognise the picture painted by the hon. Member for Hemsworth (Jon Trickett).

Literacy and reading is a great ladder for opportunity, and we know that wider reading broadens aspirations. I take this opportunity to highlight and pay tribute to Skerne Park Academy and its reading lobster scheme, which was introduced after the children said they did not have someone to read aloud to at home. They now each have their own reading lobster, a buddy for life to listen to their stories. The scheme is proving hugely successful and is promoting a lifelong love of reading in these children. Indeed, Seb, my own lobster, has met Mr Speaker, the Prime Minister and the Chancellor. The scheme is going down very well in Skerne Park in Darlington. We know that children who read for pleasure go further in life, and I ask the Minister what the Government are doing to ensure that we encourage wider reading.

This debate seemed a perfect opportunity to highlight the work of the Purpose Coalition and the Social Mobility Pledge, but my right hon. Friend the Member for Bexleyheath and Crayford has already done that, so I want to put on record my thanks to Justine Greening and David Harrison for their incredible work on the Social Mobility Pledge. Through the Harrison Foundation, which David heads up, the Social Mobility Pledge has contributed over £50,000 to First Stop Darlington, which is helping people get on in life.

In conclusion, the investment that Darlington has received from the Government has helped to galvanise organisations that work with local people to ensure their true potential is not wasted. But we can go further, and I urge the Minister to do so. Many of us in this place can be examples to our communities of what can be achieved. I am thinking in particular about those of us who went to state schools and were the first in our families to go to university, or indeed did not go at all.

--- Later in debate ---

[The Parliamentary Under-Secretary of State for Work and Pensions (Mims Davies)]

I start by congratulating my right hon. Friend the Member for Bexleyheath and Crayford (Sir David Evennett) on securing this important debate and on his excellent, thoughtful and wide-ranging speech on social mobility. It has also been a pleasure to serve under your chairmanship, Mr Robertson, and I thank all Members who have contributed to this excellent debate.

I reassure Members of all parties that as the Minister for Social Mobility, Youth and Progression in the Department for Work and Pensions, this is a topic that I am particularly passionate about. In response to my hon. Friend the Member for Central Suffolk and North Ipswich (Dr Poulter), I am absolutely committed to working across Government and keeping a focus on this issue. I absolutely agree with the point about role models: you simply can’t be it if you can’t see it.

On Single Parents’ Day, and as a single mum, it is an honour and still a surprise to serve in this House. I was the first uni student in my family, with many of my relatives still thriving in trades as manual workers with a farming background. My father left school at 14 with no qualifications and a substantial dyslexia challenge, so our family is absolutely a product of social mobility. I understand the strong views expressed by the hon. Member for Hemsworth (Jon Trickett). I take a different view, but I am very proud and pleased that we all share our own experiences in this House, and how we learn from our experiences helps with the role model piece.

I agree with my right hon. Friend the Member for Bexleyheath and Crayford and many colleagues about the commitments that we make in this House by continuing through, and this is a great opportunity to move the levelling-up conversation into the social mobility conversation. Social mobility is absolutely about every single person having the chance and opportunity to succeed, no matter their background or postcode.

[Peter Gibson]

The Minister may not be aware that Darlington is home to one of the largest settled Gypsy, Roma and Traveller communities in the country. I am particularly keen to hear her views—if not today, by following up in writing—on what the Government are doing specifically in respect of them.

[Mims Davies]

The support for all groups, no matter their background or where they are, is exemplified by hon. Friend pointing out that particular group. I am happy to come forward with further information on that, including cross-Government work.

The Government remain committed to all aspects of life, from education to work and later life, and to having a comprehensive suite of measures in place to achieve social mobility. The challenges laid down today are very welcome, because we have heard about different experiences in the different corners of Britain. Yesterday I visited Sandwell, West Bromwich, Wolverhampton and central Birmingham to discuss how our DWP support, youth offer and work with the third sector and local partnerships is making a difference in our communities.

I do not agree with the hon. Member for Wirral South (Alison McGovern) on the ABC—any job, better job, career—approach. Throughout the engagement that I had yesterday, it was consistently said to me that the skills, confidence and network that that gives people are transformative. As we have all spoken about today, you have to start somewhere.

Budget Resolutions and Economic Situation

Peter Gibson Excerpts

Thursday 16th March 2023 Commons Chamber

[Peter Gibson (Darlington) (Con)]

Let me begin by congratulating the hon. Member for West Lancashire (Ashley Dalton) on her maiden speech, and on her warm tribute to her predecessor.

I welcome this Conservative Budget, and commend the Chancellor for the measures that he has announced. He is delivering on the Government’s priorities: to halve inflation, grow the economy and reduce debt, so that we can create better-paid jobs and opportunities across the United Kingdom. I know that this Budget for growth will guarantee a better future for the people of Darlington, and for people up and down the country.

The focus of today’s debate is employment. At the outset, I want to highlight the fantastic new data which shows that the claimant count in Darlington has decreased by 11.3% in the past year, and is now below the point where it was before the pandemic. This is good news for Darlington, because it means that the Government are helping to get more of my constituents back to work and my plan to deliver more jobs as the MP for Darlington is delivering also. This Conservative Government, working with our Conservative council—led by the fantastic Jonathan Dulston—and the Conservative Tees Valley Mayor, the amazing Ben Houchen, have ensured that Darlington and the wider region are blessed with new opportunities for local people to build their careers in the town where they grew up, championing our ambition to allow people to stay local but go far. Nothing can demonstrate that better than the delivery of the Darlington Northern Economic Campus, thanks to my honourable friend the Prime Minister. With civil service jobs from eight different Government Departments, there are fantastic job opportunities—more and better opportunities than we have ever had before—enabling people to play a real part in shaping the future of our country. Indeed, I regularly look to see which civil service jobs are being advertised. As of yesterday, there were 314 jobs advertised that are potentially based in Darlington. In addition, with 80% of those jobs at the northern economic campus in Darlington going to local people from our region, we are truly empowering our community.

We know that employment is the best route out of poverty and this Budget is delivering on removing barriers to employment that have prevented many of my constituents from continuing their working lives. I warmly welcome the announcement to extend childcare, enabling parents to return to work, and also the further support that we see for disabled people. Abolishing the work capability assessment will ensure that we make the system better for disabled people and that they find the job that is right for them. I know from my own constituency casework that many disabled people want to work and to contribute to society, and these steps will help with that.

I have welcomed the unprecedented investments that this Government have made in the Tees Valley on many occasions in this House, such as the £14.6 million awarded to Darlington-based engine maker Cummins to develop a hydrogen combustion engine. Cummins is a fantastic local employer, and these investments will allow it and other such businesses to continue to deliver high-skilled jobs for local people in cutting-edge green technologies well into the future. With that in mind, the £20 billion investment to develop one of the first carbon capture and storage clusters in the north-east is also hugely welcome, putting us well on the way to making net zero Teesside a reality.

Investment zones are another hugely welcome step. The Tees Valley Combined Authority has been one of the areas identified for this policy, which would see the Tees Valley potentially getting a further £80 million over the next five years. This will be a great boost to our economic growth, bringing in more jobs and more investment. I welcome the measures in this Budget to encourage further investment in the Tees Valley and the continued transformative impact that that will have on the region.

As we are discussing employment, it is important to remember that there are limited levers the state has to control the ability of people to get into work. In my own constituency of Darlington, we have a number of organisations that work with local people to ensure that their potential is not wasted. Let me take the opportunity to praise the work of the Morrison Trust and the Conservative-led Darlington Borough Council’s youth employment initiative, which has done such an amazing job. By recognising individual needs and targeting support, both have been hugely successful in supporting people in Darlington into work—people who had been finding it hard to get a job for a variety of reasons.

I also pay tribute to First Stop, which, through work that I have done with it, has secured £50,000 of funding from the Harrison Centre for Social Mobility. First Stop provides information, advice, guidance and support to people who are experiencing difficulties in their lives that may make them vulnerable to a range of outcomes. In addition to providing one-to-one sessions, it also provides workshops, training and activities, including job clubs each week.

There are a couple of things that I would have liked to have seen in the Budget. First, I would have liked the enhancements that we have seen in the west midlands and Manchester devolved areas to be applied to the Tees Valley—I hope that they will come in due course. I draw the House’s attention to my entry in the Register of Members’ Financial Interests and to my role as co-chair of the all-party parliamentary group on hospice and end of life care, and I would have liked to have seen further specific support for this sector, but I will maintain the pressure on my local integrated care boards to deliver what is needed for our local hospices.

In conclusion this is a Budget for growth. This Conservative Government have set out a plan to meet the real challenges faced by our country, boost economic growth and continue our commitment to our ambitious levelling-up agenda. This Budget is good for the country, good for the Tees Valley and good for the people of Darlington.

Child Support (Enforcement) Bill

Peter Gibson Excerpts

2nd reading
Friday 9th December 2022 Commons Chamber

[Peter Gibson (Darlington) (Con)]

It is a pleasure to follow my hon. Friend the Member for Broadland (Jerome Mayhew), and to speak for the second time today, this time in support of the Second Reading of the important Bill introduced by my hon. Friend the Member for Stroud (Siobhan Baillie). It is important to highlight that the Bill closely complements another private Member’s Bill, as has already been alluded to, currently progressing its legislative journey: the Child Support Collection (Domestic Abuse) Bill, introduced by my hon. Friend the Member for Hastings and Rye (Sally-Ann Hart). Both Bills will significantly improve the child support system. I was delighted to support the Child Support Collection (Domestic Abuse) Bill, and I am equally delighted to be here to see today’s Bill pass its Second Reading, as I am sure it will.

It is absolutely right that all parents have a legal responsibility to support their children financially, quite apart from any moral responsibility that they have too. Child maintenance is key to reducing the number of children in low-incomes households through family- based arrangements and Child Maintenance Service arrangements. Parents in separated families receive approximately £2.4 billion a year in child maintenance payments, which are essential to those families’ wellbeing and financial security. There are an estimated 2.3 million separated families in Great Britain, with 3.6 million children in those families, and 60% of separated families have child maintenance arrangements.

The Child Maintenance Service manages cases either through direct pay or, as we have heard, collect and pay. In both cases, the Child Maintenance Service calculates how much maintenance should be paid. For a direct payer, the money passes directly from one parent to the other. For collect and pay, the CMS collects the money from the paying parent and pays it to the receiving parent, but there are collection charges for the use of collect and pay—20% on top of the liability for the paying parent, and 4% of the maintenance received by the receiving parent.

Under current legislation, direct pay is the default option unless both parents request collect and pay, or the receiving parent requests collect and pay and the paying parent is deemed unlikely to pay by demonstrating an unwillingness to pay their liability. That is so that paying parents have the option not to incur additional charges should they pay in full and on time. Some 846,300 children are covered by CMS arrangements, of whom 526,500 are covered through direct pay and 298,400 children are covered by collect and pay. Given the growing number of children covered by CMS arrangements, the Bill is welcome.

The Bill deals largely with the way in which child support payments are recovered in cases in which arrears have accumulated. Currently, if arrears have accumulated under the collect and pay system, the non-resident parent is usually sent an arrears notice. Caseworkers may negotiate and put in place a repayment plan. The Child Maintenance Service aims to recover arrears within two years and expects the non-resident parent to pay up to 40% of their net income to clear it.

In March 2022, the National Audit Office published a report on child maintenance that said that parents now rely less on the state to help them to make maintenance arrangements—an aim of the Government’s 2012 reforms. Although the number of people who make a family-based arrangement has increased as intended, there has also been an increase in the number of people with no maintenance arrangement. The report said that, as a result, there has been no clear change in the number of families with effective child maintenance arrangements since the Government reformed the system in 2012.

It is estimated that only one in three separated families in Great Britain has a child maintenance arrangement for which the agreed maintenance is paid in full. Indeed, at the end of June 2022, cumulative arrears stood at £493.5 million and the National Audit Office projection is that at current rates the amount will reach £1 billion by March 2031. That figure is far too high. It is absolutely right that we have in place a system that ensures that we can and do enforce payments effectively. The House will be aware of the National Audit Office report that highlights ongoing issues with Child Maintenance Service collection and enforcement activities. I doubt that any Member has no constituency cases on the issue; indeed, I have had more than two dozen in my case load.

If the paying parent refuses to comply, it can take years before payments are made to the receiving parent. Enforcement in respect of arrears does not always ensure future compliance. It can take years before payments are made to receiving parents if the paying parent refuses to comply. In addition, enforcement has not been properly built into the universal credit system. Currently, the Child Maintenance Service can deduct only a flat rate of £8.40 of maintenance from a person’s universal credit award and cannot deduct partial deductions. Before 2019, the maximum that the Child Maintenance Service could deduct from benefits towards arrears was a mere £1.20 a week.

There are currently four ways for the CMS to collect arrears without a court order: a deduction from earnings order; a deduction from earnings request for those in the armed forces; a deduction order from bank accounts; and the collection of assets from a deceased non-resident parent’s estate. A court order gives much stronger powers of collection, with the use of bailiffs in England and Wales and of sheriffs in Scotland.

Following the removal of a parent’s right to enforce themselves in 2005, the state now has sole responsibility for enforcing obligations and has discretion over whether to pursue enforcement. It is clear that the state must do more to ensure the enforcement of child maintenance collection. The Bill introduced by my hon. Friend the Member for Stroud would do just that. Her Bill would alter the current regulations to ensure that if the DWP agrees that a person has failed to pay an amount of child support maintenance and a deduction from earnings has not been possible or is not appropriate, the DWP would be able to make a liability order in respect of that amount against the person. This will replace the existing system whereby the DWP must apply to the courts for a liability order, thereby streamlining the system and removing the unnecessary delay to the recovery of child maintenance arears that the process of applying for liability through the courts can create. The Bill would give the CMS the ability to ramp up the enforcement of collection much quicker than it has previously been able to.

I see how this Bill complements the Child Support Collection (Domestic Abuse) Bill introduced by my hon. Friend the Member for Hastings and Rye. It would allow child maintenance cases to be placed on the collect and pay service if there is evidence of domestic abuse, providing another layer of protection to some of the most vulnerable in society by preventing survivors of abuse from having to engage directly with their abuser through the CMS. However, on the collect and pay system an abuser may seek to continue to torture their victim by not paying the child support they owe. The Bill from my hon. Friend the Member for Stroud will ensure that swift action can be taken in such cases, so that an abuser cannot evade paying child maintenance.

I am delighted to be able to support this Bill, which will streamline the child maintenance system and enable us to ensure that more people can pay child maintenance on time and in full. I am sure it will command cross-party support, and I offer my sincere thanks to my hon. Friend for bringing it forward today. I wish her all the best as she continues to guide it through the legislative process, and I hope to see it pass all its stages very soon. I have got into the habit of offering Members my services on their Bill Committees, having offered once already this morning, so I offer the same to her.

Oral Answers to Questions

Peter Gibson Excerpts

Monday 31st October 2022 Commons Chamber

[Mims Davies]

The benefit cap is important because it restores fairness to the balance between those on working-age benefits and taxpayers in employment. Along with changes in the taper rate, this means that moving people into work wherever possible is the best way out of poverty.

[Peter Gibson (Darlington) (Con)]

Last year an estimated 1 million people of working age were receiving carer’s allowance. A constituent of mine, after three and a half years of caring for his father full time—his father passed away recently—is now unable to access jobseeker’s allowance because he is not considered to have been employed. What is my right hon. Friend the Secretary of State doing to rectify the position?

[Guy Opperman]

If my hon. Friend writes to me giving the specific details, I will ensure that the ministerial team and the civil servants involved look into it as a matter of urgency.

Child Support Collection (Domestic Abuse) Bill

Peter Gibson Excerpts

Friday 28th October 2022 Commons Chamber

[Peter Gibson (Darlington) (Con)]

It is a privilege to be called to speak for the third time today and to be able to support my hon. Friend the Member for Hastings and Rye (Sally-Ann Hart), who is also my very good friend, on the Second Reading of her hugely important Bill. As I said earlier, I know only too well the privilege of doing well in the ballot for private Members’ Bills, but I also know the difficulties of guiding a piece of legislation through the House. As my Bill progressed through the House I was honoured to have the support of colleagues across the House, and I am delighted to support my hon. Friend and her Bill.

Violence against women and girls is rightly a key focus for the Government and for everyone in the House. That was detailed in the recently published “Tackling violence against women and girls” strategy, which builds on a long heritage of legislation introduced by Conservative Governments, including the Children Act 1989, the Protection from Harassment Act 1997, the Protection of Freedoms Act 2012, the Modern Slavery Act 2015 and the Domestic Abuse Act 2021, all of which contained steps and measures to protect people.

[Dr Luke Evans]

It is all very well having legislation in place, but it is really important that we have the financial backing to enforce it. Does my hon. Friend welcome the £230 million from the Conservative Government to do exactly that?

[Peter Gibson]

I am grateful to my hon. Friend for making that important point. He has made it clearly and it is on the record, and I welcome that investment.

As I have served on the Women and Equalities Committee and the Domestic Abuse Bill Committee, and I engage regularly with my local police, domestic abuse refuge and the night-time economy—including my shift last week at the newly established Number Forty night-time hub in Darlington—I am only too aware of the need for society to do more to protect people. I am therefore grateful to all hon. Members who are taking part in today’s debate.

Domestic abuse is a crime. It is perpetrated in the privacy of a place where everyone should feel safe by those who exploit and abuse their position. It is right that we do all that we can to restore a position of trust and safety for victims, and protect and support children who are witnesses to domestic abuse and punish and rehabilitate the perpetrators. Domestic violence as a crime has both an instant impact and a long tail of consequences, putting pressure on our charities, local authorities, schools and prisons. At the root of this crime is the perpetrator, wreaking havoc on a partner and often children too, creating huge costs to our society both in money and in impact.

[Antony Higginbotham (Burnley) (Con)]

An incredibly sad part of the covid-19 pandemic was the increase in domestic abuse. I still meet my local police force, but during the pandemic when I met it and discussed the issues that it was dealing with, domestic abuse was always high up the list. Will my hon. Friend join me in thanking the local organisations that we all have in our constituencies, such as Safenet and Lancashire Women in my constituency? We could all probably name-check organisations that do a great deal of work in this area.

[Peter Gibson]

My hon. Friend makes an incredibly important point about the work that was done in the covid lockdowns. I, too, regularly met my local police force to discuss that issue, and it is right that we do all that we can in Parliament to highlight that.

I want to pay tribute to all those charities and community groups that work to support victims of domestic abuse—for example, Family Help, an independent refuge charity in my Darlington constituency that has done incredible work over the past 45 years. I wish it well for its fund-raising event in Darlington tomorrow evening. I firmly welcome the fact that the Domestic Abuse Act 2021, for the first time, established a cross-Government statutory definition of domestic abuse, to ensure that domestic abuse is properly understood, considered unacceptable and actively challenged across statutory agencies and in public attitudes. Domestic abuse is abhorrent, but regrettably I doubt that there is anyone across the House who has not heard a constituent’s story about the abuse that they have suffered. Indeed, since being elected, I have met numerous victims of domestic abuse, each with a moving personal story of their ordeal. All too often, the abuse continues after a relationship ends—something that this Bill seeks to tackle.

The Bill is hugely important, as it will take further steps to protect people who use the Child Maintenance Service and will complement the work that we have already done. I welcome the changes that it would make to the system of payments. At this juncture, I would like to ask the Minister to address in his summing up a point not specifically covered in the Bill—namely, how the banking system is abused by perpetrators as a form of abusing victims. It will be interesting to hear what discussions the Government are having with the banking sector to tackle that particular issue.

I welcome the fact that the Child Maintenance Service has substantially strengthened its procedures and processes to support customers who are experiencing domestic abuse. In particular, it has introduced a programme of domestic abuse training that has been designed for and delivered to all CMS caseworkers. This training takes the form of recognising that domestic abuse takes different forms, including physical, psychological, emotional and financial abuse.

[Anna Firth]

Does my hon. Friend agree that lack of money and fear of living in poverty due to lack of support prevents a lot of women from leaving a domestic abuse setting in the first place, and that the measure is, therefore, absolutely essential to giving women the freedom to be able to make that first step?

[Peter Gibson]

I am grateful to my hon. Friend for that intervention. It is clear to all of us with any knowledge of domestic abuse that perpetrators use the tool of coercion and financial control in all sorts of forms against victims.

In autumn 2021, the Government commissioned an independent review of ways in which the child maintenance system supports survivors of domestic abuse. The review was completed in April 2022 and its findings are now being considered. Could the Minister provide a timeframe for when we might be able to expect the Government’s response?

Child maintenance payments are key to reducing the net number of children living in low-income households, through both family based arrangements and Child Maintenance Service arrangements. It is estimated, as we have heard, that there are 2.3 million separated families in Great Britain, comprising 3.6 million children. Some 60% of those separated families have a child maintenance arrangement; two thirds are non-statutory and one third statutory. Some 846,300 children are covered by Child Maintenance Service arrangements, with 526,000 of them covered through direct pay arrangements, and 298,000 through the collect and pay service. The number of children covered by Child Maintenance Service arrangements also increased by 26,300 between March and June 2022.

The Child Maintenance Service manages cases through two service types: direct pay and collect and pay. In direct pay cases, the Child Maintenance Service calculates how much maintenance should be paid, and the paying parent pays the maintenance to the receiving parent directly. For collect and pay, the Child Maintenance Service calculates how much maintenance should be paid, collects the money from the paying parent and pays it to the receiving parent. There are collection charges for the use of the collect and pay service—20% on top of the liability for the paying parent, and 4% of the maintenance received for the receiving parent. Under current legislation, direct pay is the default option unless both parents request collect and pay or the receiving parent requests collect and pay and the paying parent is deemed unlikely to pay by demonstrating an unwillingness to pay their liability. This is so that paying parents have the option to not incur additional charges should they pay in full and on time. This applies to all cases irrespective of any other personal circumstances between parents, including domestic abuse. By requiring receiving parents who are the victims of domestic abuse to use the direct pay service, the current system in place for child maintenance forces them to have continued contact with their abuser, increasing the harm and risk posed to victims of domestic abuse.

Domestic abuse services have reported examples where Child Maintenance Service staff have asked a victim or survivor of domestic abuse to try to put direct pay arrangements in place first, before asking for intervention by the CMS. Refuge has also reported that CMS staff have asked victims or survivors of domestic abuse to try to find out details of their abuser’s earnings and workplace themselves, which carries a significant risk by forcing the victim to have contact with their abuser.

It is absolutely wrong that under current legislation a paying parent who has been abusive towards the other parent can refuse the collect and pay option, meaning direct pay must be used. Direct pay gives the abusive parent access to the abusee’s bank account details, allowing abusers the opportunity to use the banking system to continue their abuse through harassment using payment.

[Chris Clarkson (Heywood and Middleton) (Con)]

My hon. Friend is making an extremely powerful speech.

[Chris Clarkson]

Mr Deputy Speaker, you just can’t have too much of a good thing.

My hon. Friend is making a powerful and relevant speech. On the payment arrangements for collect and pay, the payer has to pay 20% but the recipient has to pay 4%. Does my hon. Friend agree that the arrangement should perhaps be looked at more thoroughly, so if somebody is forced to use this arrangement because of the bad behaviour of the other party, they should not be liable for that extra 4%?

[Peter Gibson]

My hon. Friend makes an important point, and I am sure the Minister will, having heard him, address it in summing up.

To return to the use of the banking system as a means of perpetrating abuse, I have worked with a number of banks on this and know that many are working on ways to stamp it out. Abusers can also use non-payment and deliberate payment on irregular days to interfere with means-tested benefit entitlements. No victim or survivor of domestic abuse should ever be told or forced to contact their abuser; it is unquestionably a moral wrong.

I understand that these issues have been a source of controversy since the inception of the current CMS and the introduction of the direct pay service and charging, and the Bill will bring a long overdue and welcome change to the system. I am also glad that the Bill will extend not only to England but to Scotland and Wales, providing consistent protections to victims of domestic abuse across Britain. It is regrettable, however, that the current suspension of the Northern Ireland Assembly means it has not been possible to extend the protections to the entirety of the United Kingdom.

[Dr Luke Evans]

I want to stress the importance of cross-border unity across the United Kingdom on this issue, so perpetrators cannot hide in one jurisdiction from another.

[Peter Gibson]

I agree wholeheartedly with my hon. Friend.

My hon. Friend the Member for Hastings and Rye has introduced a highly commendable Bill, putting further steps in place to right a wrong that has existed in CMS payments since inception, and providing a further level of protection to some of the most vulnerable in our society by preventing abusers from further torturing those who have escaped from a cycle of abuse through the CMS.

This Bill clearly commands cross-party support and I offer my sincere thanks to my hon. Friend for bringing it forward. I wish her well as she continues to guide it through its legislative process and hope to see it pass all its parliamentary stages and make its way on to the statute book.

[Mr Deputy Speaker]

I call the shadow Minister.

--- Later in debate ---

[Tom Pursglove]

My hon. Friend asks a very good question, and I am keen to obtain an answer for him on that point. He will appreciate that I am only a few hours into the role and this is quite an involved question but, of course, he raises an important point. I will make sure he receives a full response following this debate.

The CMS also ensures that there is no unwanted contact between parents, and it provides information on how parents can set up a bank account with a centralised sort code so they cannot be traced. The application fee is also waived for victims of domestic abuse, and CMS caseworkers can provide information to our customers on a number of specialist domestic abuse organisations.

In recent years, the CMS has strengthened its domestic abuse training to ensure that caseworkers are well equipped to support parents in vulnerable situations. However, the domestic abuse landscape is always evolving and we are, of course, ready to listen to feedback from customers, customer representatives and stakeholders on this sensitive area. We already engage regularly at ministerial and official level with MPs, interested parties and the domestic abuse commissioner, and we will continue to do so.

In the autumn of 2021, the Department commissioned an independent review of the way in which the CMS supports survivors of domestic abuse. The review was conducted by Dr Samantha Callan, who is a leading expert on domestic abuse. The review has now completed and is with the Government for consideration. We welcome the opportunity to learn lessons and take whatever practical steps we can to help separated parents who have experienced abuse to set up safe maintenance arrangements.

My hon. Friends have spoken about the importance of this Bill, but I would like to explain why the Government support it and see the need for it to be enacted now. The CMS manages cases through one of two service types: direct pay or collect and pay. For direct pay, the CMS provides the calculation and a payment schedule. The payments are arranged privately between the two parents. Just to be clear, if necessary this can be done without the parents having any direct communication. For collect and pay, the CMS calculates how much maintenance should be paid, collects the money from the paying parent and pays it to the receiving parent. Under the current legislation, as my hon. Friend the Member for Hastings and Rye said, direct pay is the default option unless the paying parent agrees to use collect and pay or demonstrates an unwillingness to pay their liability. With collect and pay, paying parents pay an extra 20% on top of their liability, so cases are generally moved to collect and pay only when the paying parent is non-compliant.

There are some limited circumstances in which requiring a receiving parent to continue to manage relations directly with the other customer in their case seems inappropriate. I know that the CMS has experience of such circumstances and is keen to give customers the best service it can, but is bound by the current rules. The Bill will directly address the situation. It will allow a CMS case to be placed with the collect and pay service when either parent applies for it on the grounds of domestic abuse and when there is evidence that that is the right thing to do in their case.

Normally, it is only the receiving parent who can request a move of their case to collect and pay, on the basis that they are not receiving their payments. However, we recognise the importance of supporting any parent who is a victim of domestic abuse. Whatever their role in the case, either a receiving or a paying parent will therefore be able to request collect and pay.

To enable that, the Bill will provide the Secretary of State with the power to make secondary legislation setting out the details of circumstances in which the power can be used. That legislation will deal with the types of domestic abuse evidence that the CMS will accept in determining whether those circumstances apply in a particular case. The House will have the opportunity, which I think is welcome, to scrutinise that secondary legislation. The details need to be in secondary legislation because the evidence requirements may be complex and are likely to change over time as the Government do further work—not only in relation to child maintenance, but right across Government—to ensure we do all we can to minimise the incidence of domestic abuse. The affirmative procedure will be followed so that hon. Members have the opportunity to scrutinise the legislation in this place.

We will, of course, consult widely when formulating our proposals. We will aim to produce requirements that are sensitive to the needs of domestic abuse victims and that have been carefully evaluated and tested before being brought forward.

Given the importance of domestic abuse issues to hon. Members throughout the United Kingdom, I should say a few words about our work with colleagues in the devolved Administrations. I will not mention Northern Ireland, where child maintenance is a devolved issue, except to say that we will be working with Northern Ireland colleagues to ensure that domestic abuse victims are protected throughout the whole United Kingdom. However, I will say a few words about how we will implement the Bill in Scotland, as I know that colleagues who represent Scottish constituencies are keen to be reassured that the Government are considering child maintenance customers across Great Britain in the context of the Bill.

The Bill uses the definition of domestic abuse set out in the Domestic Abuse Act 2021. That Act does not extend to Scotland, where the definition generally used is set out in separate, devolved Scottish legislation. However, for ease of implementation in an area as complex as child maintenance, in which cases frequently fall within more than one jurisdiction in the United Kingdom, the Bill allows for the Act’s definition to apply throughout Great Britain for the purposes of the Bill.

The collection of child maintenance is governed by the same statutory provisions in England and Wales and in Scotland. We are keen to avoid the administrative complexity that could result from different definitions applying in each jurisdiction, but I acknowledge that the legislation will need to sit comfortably alongside devolved legislation dealing with similar issues. We will therefore work with legal colleagues and the Scottish Government to ensure that the policy aim is effectively delivered in Scotland.

Understandably, various colleagues—particularly my hon. Friends the Members for Southend West (Anna Firth), for Hastings and Rye, for Bosworth (Dr Evans) and for Heywood and Middleton (Chris Clarkson)—have raised the issue of charging. Collection charges are applied to all CMS collect and pay cases. The charges are 20% on top of the liability for the paying parent, and 4% of the maintenance received by the receiving parent. Running the collect and pay service incurs costs for the taxpayer. It is therefore reasonable for most parents to contribute towards running an expensive service. However, we recognise that many of the parents whom the Bill aims to support could be among the most vulnerable.

[Peter Gibson]

May I press on the Minister a point that I raised in my speech? I appreciate that I may be catching him off guard today, but I really think that the Government need to take a strong look at the use of the banking system by others as a means of perpetrating abuse; to work with payment reference services and with the industry as a whole; and to talk to banks to ensure that they do not become a means of facilitating such abuse. If the Minister does not have the knowledge at hand, I would be grateful if he wrote to me on that point.

[Tom Pursglove]

I am grateful to my hon. Friend for raising this point about the interaction with the banking system. What I do know is that the CMS ensures that there is no unwanted contact between parents and provides advice on how to set up a centralised sort code for the parent’s bank account so that their location cannot be traced. The service also signposts to charities and support lines that victims can contact for support.

To go back to this point about collection charges, it is important to say that they do not form part of the primary legislation and are set out in secondary legislation. Consideration is being given to exempting victims of domestic abuse in these cases from collection charges. I hope that that gives some reassurance to colleagues from across the House about the fact that that active policy consideration is taking place.

Finally, I wish to touch on the important point from my hon. Friend the Member for Bosworth about detecting abuse. I am happy to provide further information in writing, in the way that I suggested I would earlier. However, I am able to advise now that the CMS has substantially strengthened its procedures and processes to support customers who are experiencing domestic abuse. In particular, a programme of domestic abuse training has been designed and is delivered to all CMS caseworkers. The training takes the form of recognising that domestic abuse can take various forms, including physical, psychological, emotional and financial abuse. Appropriate signposting to domestic abuse support groups takes place and advice is given on contacting the police if necessary. If customers do not feel able to do that, this is about asking whether they are content for the CMS to call the police on their behalf.

The CMS also has a complex needs toolkit for its caseworkers, which includes clear steps to follow in order to support customers who are experiencing abuse. The toolkit is regularly reviewed and strengthened on the basis of customer insight, which is very welcome, because, for the very reasons that he identified, these are important and serious issues. Where domestic abuse happens, we want to see it dealt with swiftly and responsibly and we want to ensure that people are able to access the care and help they need.

In conclusion, this Bill is of great importance to victims of domestic abuse and to colleagues from across the House, as reflected in the debate. They have experience of using the CMS when following up on what has been in their postbag and what they have encountered in their constituency work. I am pleased that the Bill has been introduced and I wish it a speedy passage through this House.

Cost of Living Increases: Pensioners

Peter Gibson Excerpts

Monday 21st March 2022 Commons Chamber

[Dr Coffey]

I am not aware of any Minister trying to say to people that we did this because it was unaffordable. As a result of the pandemic, there was a statistical anomaly relating to earnings. We also understand the balance relating to intergenerational fairness, as has been outlined. At the time, however, we very much highlighted the statistical anomaly.

As a result of our actions, I believe that the state pension continues to be a strong foundation from which people can build additional savings for their retirement. We are seeing a thriving private and workplace pensions market, fuelled by the success of automatic enrolment, which transformed pension savings for more than 10.5 million workers. That is creating even firmer foundations for a robust pension system to ensure that not just today’s pensioners, but those of future generations are protected and supported. I know that, as a country, we will continue to build on the progress that we have made over the last 12 years under Conservative Governments, so that in the next 12 years, and in decades to come, pensioners will be able to enjoy a secure and dignified retirement.

We also know that a minority of pensioners choose to stay working beyond the standard retirement age. They do not pay the standard employees’ national insurance on their earnings, even though employers do if they earn above the threshold. As for the NHS and social care levy being introduced through national insurance, it is appropriate for anyone working at all, including pensioners, to contribute, bearing in mind that they will do so only if their earnings are at or above the regular threshold. I believe that will be about £190 a week, which is close to nearly £10,000 in earnings a year.

[Peter Gibson (Darlington) (Con)]

My right hon. Friend rightly points out that many pensioners are indeed working. What does she have to say about how the announced increase in the living wage to £9.50 will benefit pensioners?

[Dr Coffey]

Any uplift in the national living wage is welcome to anybody still working. Our normal practice on standard national insurance for employees is that once someone reaches pension age, their take-home pay will be automatically higher than somebody else under the age of retirement, if they are doing the same job on the same salary. However, this levy is important to make sure that we get the funding for the NHS backlogs and for the future stability of the social care system.

Let me turn to pension credit. We have heard about the success of the private pensions sector and some of the uplift for people who are still working. It is good for those still saving for their futures, but understandably, the House wants to know what we are doing for the poorest pensioners now. We had a bit of a history lesson about how pension credit was introduced under the Labour Government in 2003, as the right hon. Member for Leicester South said. Let us go back a bit earlier in history: it was only a few years beforehand that the Labour Administration raised pensions by 75p. I think the House will probably recognise that pension credit was introduced directly as a consequence of the impact of what happened with that very modest increase in pensions.

Various funds have been open to pensioners in the past year, including the household support fund, and I encourage people to approach their local council for support.

--- Later in debate ---

[Peter Gibson (Darlington) (Con)]

I hope that I can stick to the time limit, Mr Deputy Speaker. I know that you will ensure I do.

The global pandemic and the increase in wholesale energy costs have put an enormous strain on household budgets, and I believe that the Government have provided a strong package of measures to mitigate the effects, delicately balancing support for the economy and for our pensioners. However, I feel that this debate is a little premature bearing in mind that we are hearing from the Chancellor in two days’ time.

We have provided a package of £9.1 billion to help households across the UK with the cost of their energy bills, building on cold weather payments, winter fuel payments and the warm home discount. As the Secretary of State said, that builds on other support, including the £150 council tax rebate, the £200 smoothing payment, and the £150 million being given to local authorities to help those in properties outside bands A to D.

Alongside that, pension credit offers a real helping hand with living costs for people on low incomes, and we know that it is chronically underclaimed. In Darlington, almost £4 million is unclaimed, and I am doing all I can to support increasing take-up. I am delighted to hear that the Minister has written to all the local newspapers, and I hope that he sent letters to the Darlington & Stockton Times and The Northern Echo to ensure that take-up increases in my constituency. Let us not forget that pension credit is the doorway to other benefits, such as a free TV licence and cold weather payments.

Our levelling-up White Paper announced the creation of a new taskforce to look at ways to provide greater security, choice and quality for housing for older people, planning for the future to ensure that pensioners are comfortable in their homes during their retirement. More widely, we have a strong record of delivering for pensioners. Since 2010, the state pension has increased by 35% when, in the same period, inflation measured 22% and wages increased by 27%. This year alone we are spending £129 billion on pensioners—more than any other Government—allowing us to reduce absolute pensioner poverty by 200,000 people across the country. In-work pensioners will also benefit from the increase in the national living wage—a benefit of almost £1,000 a year for nearly 2 million people.

Under the last Labour Government, pensioners suffered. We had the fourth-highest level in Europe of pensioner poverty among the over-65s. The level of the state pension stagnated, and they had no long-term plan for pensioners. This Government are delivering for pensioners, and I know that they will continue to do so long into the future.

--- Later in debate ---

[Guy Opperman]

The right hon. Gentleman does himself credit with what he says. Much as he did as shadow Secretary of State for Health and Social Care, he seeks cross-party ground where it is right and proper, which I support and really appreciate. We need to get that message across.

I thank all colleagues who have contributed today. As the Secretary of State set out, we are experiencing a period of increasing consumer demand that, together with disruptions to global supply chains and the impact of the war in Ukraine, is definitely placing a strain on household and other finances. The Government recognise that inflation is rising; together with the Bank of England, we are closely monitoring the situation.

I applaud the many Members across the House who have put in detailed recommendations to the Chancellor for the spring statement. I am sure that those on the Treasury Bench have been listening most carefully. In the intervening period, we have taken significant steps to ease the financial pressures by providing a support package worth billions of pounds during this fiscal year and the next.

The state pension is clearly the foundation of support for older people. Over the last two years, the basic and new state pension will have increased by more than 5.6%, taking into account the 2.5% rise this year and the 3.1% rise from this April. There has been much discussion of pension credit, which continues to provide invaluable financial support to approximately 1.4 million vulnerable pensioners. We want all pensioners to claim it.

[Peter Gibson]

My hon. Friend has had the opportunity to raise the matter of pension credit at the Dispatch Box on several occasions today. What advice can he give Members across the House on engagement with our constituents to raise the profile of that valuable benefit, which opens up the gateway to other benefits and help for pensioners? What help is available from the Department to Members across the House?

[Guy Opperman]

My hon. Friend is right to raise the issue. A bit like with the jab, we are all responsible for making the case to our constituents that there is huge benefit in what is in reality a passport to several hundred pounds a month—potentially £3,000-plus a year. The stats are extraordinarily good. When we took office in 2010, the take-up was 70%; it is now up to 77%. Obviously we want it to go higher. The take-up figure for guarantee credit is up to 73%, and internal management information suggests that in the 12 months to December 2021, the number of new claims for pension credit was about 30% higher than the figure for the 12 months to December 2019.

My hon. Friend specifically asked what the Government could do. There are a number of things that we have been doing for some time. We set up the pension credit taskforce to work with key stakeholders such as charities—including Age UK, which many Members rightly mentioned and whose representatives we have met several times—the Local Government Association, Virgin Money, and several of the banks. The energy company Centrica is involved, and ITV and the BBC have a key role to play in raising awareness, ensuring that we have greater knowledge of pension credit and that our constituents are aware that the opportunity is out there.

As the Secretary of State said, 11 million letters about the state pension uprating were sent out—that has never been done before—along with copies of the pension credit information factsheet containing information for pensioners so that they could apply. That, too, seems to be making a difference. There was a pension credit awareness day last June, when we worked with the BBC throughout the country. We also worked with the other stakeholders, including Age UK, with which we formed a specific partnership. We have been making the case to local papers: we wrote to all of them on three occasions last year, we did it again this year, and we will continue to do it. Individual Members of Parliament can do a fantastic amount in making the case to their local communities, working with their citizens advice bureaux and Christians Against Poverty groups. Mention has been made today of the older persons fairs, which have been very successful in individual constituencies and have made a big difference to pension credit take-up.