Oral Answers to Questions

Ronnie Cowan Excerpts

Monday 7th January 2019 Commons Chamber

[Patricia Gibson (North Ayrshire and Arran) (SNP)]

5. What progress her Department has made on the roll-out of universal credit.

[Ronnie Cowan (Inverclyde) (SNP)]

9. What progress her Department has made on the roll-out of universal credit.

[David Linden (Glasgow East) (SNP)]

17. What progress her Department has made on the roll-out of universal credit.

--- Later in debate ---

[Ronnie Cowan]

I would like to highlight one particular universal credit case that my office is dealing with. My constituent has incurable skin cancer which requires using a cream treatment. He has to use the cream at home and it needs to be applied for several hours every day. He has been told that as his treatment for cancer is not radiotherapy or chemotherapy he should be able to attend work. My constituent has daily and lengthy treatment for an incurable condition. Can the Secretary of State or the Minister tell me what my constituent should be applying for?

[Alok Sharma]

I am very sorry to hear about the distress the hon. Gentleman’s constituent is undergoing, and I thank the hon. Gentleman for his regular engagement with the jobcentre in his constituency. I would be very happy to discuss this case with him in detail and see what more we can do to support his constituent.

Oral Answers to Questions

Ronnie Cowan Excerpts

Monday 2nd July 2018 Commons Chamber

[Alok Sharma]

The hon. Lady knows that advance payments are available if they are required on the day. As for verification, there is a set of criteria that can be applied so that we do not have to go through the verification system. If the hon. Lady has specific cases, she should please bring them to me as I would be happy to look into them.

[Ronnie Cowan (Inverclyde) (SNP)]

8. How many universal credit applicants have died during the period that their application was being assessed and as a result have received a zero payment for the days during that period when they were alive.

[The Minister for Employment (Alok Sharma)]

For universal credit full service, around 1,200 cases have been closed with a deceased closure reason since roll-out began in 2016, with the vast majority receiving a payment.

[Ronnie Cowan]

I know of cases where no universal credit payment has been received when constituents have passed away towards the end of their assessment period. Essentially, the DWP classes someone who dies at the end of an assessment period as having died at the beginning. Will the Minister address this so that bereaved families are not financially punished?

[Alok Sharma]

I have corresponded with the hon. Gentleman about one specific case. There are circumstances in which payment is still made after the death of a claimant and where payments have continued for two subsequent assessment periods, such as when the individual was in a couple. However, I note the hon. Gentleman’s point and will look into the policy.

Personal Independence Payments

Ronnie Cowan Excerpts

Wednesday 31st January 2018 Westminster Hall

[Ronnie Cowan (Inverclyde) (SNP)]

It is a pleasure to serve under your chairmanship, Mr Hosie. I shall keep my remarks short, out of respect to the other Members who want to speak. I congratulate the hon. Member for North West Durham (Laura Pidcock) on securing the debate, which is of particular importance to my constituents. I have to say that I am slightly disappointed at the state of the two Scottish Conservative Members who turned up to the debate with a clear intention to disrupt the opening speaker. They have now left the Chamber and not stayed for the debate.

This is a timely debate, given the announcement that the UK Government are to review PIP claims, at a cost of £3.7 billion, by 2023. It is hardly a surprise that the High Court concluded that the Government’s changes to PIP were “blatantly discriminatory” to those with mental health conditions. That has been self-evident for some time. Of course, this disaster is of the Government’s own making: they tried to rip off the most vulnerable people in society and now we are all paying the price. The taxpayer will have to foot the bill for those mistakes. What is the human cost? Claimants pushed to the edge and living their lives on the brink. When will the Government get anything right first time?

This fiasco could have been avoided had the Government approached disability benefits with humanity and compassion, rather than—as usual—as a cost-saving exercise. By the time we get to 2023, the UK Government will have delivered the worst possible outcome: a more expensive system that delivers less for applicants. Other Members will be aware—we did not need a court case or reams of statistics to know—that the changes to PIP are having a negative impact; the many distressed constituents who have visited our constituency offices or surgeries in tears are testament to that. They have spoken of feeling humiliated and degraded. They have been made to justify their disability through an intrusive, pseudo-medical assessment conducted by officials working with ambiguous criteria.

Ultimately, we in Scotland can be relieved that PIP is one of 11 benefits being transferred to the Scottish Government. I have no doubt that that will mean a noticeable improvement in the way people are treated, as the Scottish Government seek to create a Scottish social security system that gives claimants dignity and respect. For example, they have announced that claimants in Scotland are to be given the right to have a supporter with them in meetings and assessments. That small but noteworthy change is proof that Scotland will do things differently. Perhaps this Tory Government could yet again learn from the Scottish Government’s example.

Given that the DWP will continue to manage Scottish PIP cases until 2020, will the Minister outline whether this crisis will affect the smooth transition of PIP to the Scottish Government?

Financial Guidance and Claims Bill [Lords]

Ronnie Cowan Excerpts

2nd reading: House of Commons
Monday 22nd January 2018 Commons Chamber

[Neil Gray (Airdrie and Shotts) (SNP)]

May I say on behalf of those on the Scottish National party Benches what a pleasure it is to see you back in the Chair where you belong, Mr Deputy Speaker? Welcome back.

I am pleased to have the opportunity to speak for the SNP in this debate, and I should say at the outset that we broadly welcome the Bill’s aims and will not oppose its Second Reading.

By way of background and context, I should say that the Bill sets out in part 1 the proposal to merge three Government-sponsored guidance services—the Money Advice Service, the Pensions Advisory Service and Pension Wise—to create a new single financial guidance body. The UK Government hope that this will help to

“ensure that members of the public can access good-quality, free-to-client, impartial financial guidance and debt advice.”

The SFGB is expected to be set up and operational from late 2018, as predicted during the passage of the Bill through the House of Lords.

Part 2 will make changes to the regulation of claims management companies. CMCs provide advice and services to assist people in making compensation claims in various sectors, such as personal injury and financial products such as payment protection insurance.

The Government have expressed concern that

“there is evidence of malpractice”

in the industry. In March 2016, following an independent review, the Government said that they would change the regulatory system for CMCs. Under the Bill, the regulatory responsibility will pass from the Ministry of Justice to the Financial Conduct Authority.

Also under part 2, complaints handling will be transferred from the legal ombudsman to the Financial Ombudsman Service, and the FCA will be given the power to impose a cap on the fees that CMCs can charge for their services. Ahead of that, an interim cap on fees will apply to payment protection insurance claims.

The Bill also makes provision for the devolution of levy funding associated with debt advice provision. Powers over debt advice are, of course, already devolved to Scotland. I shall elaborate on all those elements during my speech.

On advice services, we welcome any measures that make the pensions or financial markets more accessible for people. There are aspects that we wish to query, and we hope to get some reassurances from the Minister in his response. First, I would like some detailed reassurances from the Minister that the amalgamation of three expert services into one will not dilute the overall service in any way, in terms of either output or quality. The Minister is shaking his head, but I hope he can provide some detailed reassurance as to how the Government will make sure of that. Whenever there is a merger of this sort, it normally results in a reduction of either specialism or capacity. I hope that he can assure us all that neither will happen. I also hope he will commit to significant investment in the new body to ensure that it is properly promoted and that awareness is therefore increased. Government and Opposition Members have already stressed the importance of that.

We need reassurances on funding. It appears that all funding discretion currently rests with the Treasury, so who will take the decision on the budget of the new single body? Who will be able to challenge the Treasury on any additional funding? It is clear that for the new body to work, it needs to be properly resourced by both the financial sector and the Government. I ask because we all—not least the Government, I am sure—hope that the Bill will do some of the work necessary to catch up on some of the problems with pension freedoms that we all warned about and that are now starting to happen.

According the FCA, more than a million defined-contribution pension pots have been accessed since George Osborne’s reforms were introduced. The FCA also says that it has become the new norm to access pension pots early. That is where our concern starts. Between October 2015 and September 2016, the number of non-advised drawdown sales was on the rise, and it is currently at 30% of drawdown sales, compared with 5% before the reforms. Some 63%—almost two thirds—of all annuity sales are now to consumers who have not received advice. Indeed, the FCA estimates that only around 20% of consumers who accessed a DC pension in the third quarter of 2016 had a Pension Wise appointment either by telephone or face to face. That is a huge concern that I am sure the Government share. Indeed, I know that it now concerns them, because they are trying to play catch-up on the issues with pension freedoms that we warned about when they were being introduced. I am not sure that the Bill adequately addresses those issues yet.

I am not sure that the Bill addresses those customers who do not make a decision upon retirement. We are seeing more people choosing just to draw down the pot and put it in the bank. With interest and inflation rates as they are, those decisions are clearly losing people money. But people are doing it because that is what they know and are comfortable with. Even to seek pensions advice or guidance is a daunting, complex and alien prospect to most people. I am keen to hear from the Minister about not only his expectation for increased usage of the new service, but how the Government plan to ensure that the service engages people who are put off talking about pensions at all. That will probably need to start with what they plan to call the organisation, because the “single financial guidance body” probably is not the most intriguing, approachable or marketable name.

I want a firm commitment from the UK Government that they will not in any way attempt in Committee to water down the amendment to clause 5, secured by the Opposition in the Lords, that requires scheme managers or trustees to check whether members have received any guidance. In fact, I wonder whether the Government wish to go a little further towards what some stakeholders feel might be more appropriate, which is automatic guidance with an opt-out system.

When most people are near retirement, they will encounter the pensions world and its lexicology and products for the first time. It is intimidating, which is why we see some people using pension freedoms to bung their pots in the bank. For them to get the most out of their investments, we need to make sure that people are properly guided to make not only a decision, but an informed decision that is of benefit to them. It is a high-stakes game: once an annuity is purchased, that is it—it cannot be reversed. We need to ensure that people have the confidence to take a decision, and that comes from being informed that taking no decision and hoarding cash may not be the best decision and that there is specialist help out there and it does not have to cost.

The Government also tabled a useful amendment to clause 2 in the Lords, which seeks to ensure that cognisance is taken of the needs of people in vulnerable circumstances. Perhaps that could be strengthened and clarified by including it in the clause 3 functions.

I would also appreciate it if we had a word from the Minister as to whether the UK Government plan to provide greater clarification on what guidance and paid-for advice will be in terms of the Bill. Providers and other stakeholders will appreciate that clarification.

Part 1 also covers action on cold calling. Clearly, we are delighted that the campaigning efforts on cold calling by the Scottish National party, the Scottish Government and my hon. Friend the Member for North Ayrshire and Arran (Patricia Gibson) have started to pay off. I congratulate her on this partial win, which should hopefully make a difference to people, particularly pensioners, getting bombarded by nuisance calls. Recent research from the Money Advice Service suggests that there could be as many as eight scam calls every second—the equivalent of 250 million calls a year. Citizens Advice has calculated that 10.9 million consumers have received unsolicited contact about pensions alone since April 2015. Perhaps the UK Government may wish to use the opportunity in clause 4 to go a bit further on cold calling and hold company bosses accountable, as suggested by my hon. Friend in her Bill 18 months ago.

Clause 9 appears to afford a lot of power to the Secretary of State to direct the exercise of the functions of the new body, stating that it must

“comply with directions given to it by the Secretary of State”.

I hope that the Minister will explain why the UK Government feel that that is a necessary provision and how it will not be abused.

On debt, I want to query something that the Secretary of State said at the Dispatch Box in her opening speech. If I picked her up correctly, I think she said that household debt was falling. If that is the case, I am sure that she would want to correct the record because, clearly, household debt is not falling. Standard & Poor’s came out with very important research at the back end of last year about its concern regarding UK rates of household debt. Perhaps that could be clarified in time either by the Minister or the Secretary of State.

[Ronnie Cowan (Inverclyde) (SNP)]

Very briefly, on the subject of clarification, does my hon. Friend agree that, under devolution legislation, financial and economic matters—fiscal, economic and monetary matters, including financial services—are specific reservations held here at Westminster?

[Neil Gray]

That clears up an earlier point of issue in a previous speech regarding where responsibility lies for the regulation in these areas. I thank my hon. Friend for his intervention. We are pleased that the Scottish Government have secured an improved allocation in terms of the proposed funding formula for devolved levy funding for debt advice provision. That improved allocation will ensure that Scotland’s share takes account of our adult population share and the levels of indebtedness in Scotland. As a result of those discussions, Scottish Government levy funding will increase from around £2.2 million to more than £4.7 million, according to estimates from the Scottish Government.

The Scottish Government have also obtained agreement on certain wider principles that shall apply in respect of the new body, in that it must take greater account of differences in the money and debt advice landscape in Scotland to ensure that available resources are pooled effectively, delivering a more holistic and joined-up advice landscape. It must also establish a committee with membership drawn from representatives from each of the devolved Administrations, thereby embedding the Scottish Government in its governance arrangements, providing the Scottish Government with influence and ensuring that collaborative working is achieved in practice across money and pensions guidance. It must also be capable of channelling funding in a way that best ensures effective oversight and co-ordination or delivery of debt advice, in the light of the devolution of levy funding.

Keith Brown MSP, the Cabinet Secretary for the Economy, Jobs and Fair Work, has met the chief executive and Scotland manager of the Money Advice Service as part of a series of Scottish Government stakeholder engagements, which are intended to help to ensure that there is a seamless transfer of debt advice responsibilities to the Scottish Government, and that the new body engages effectively and delivers for Scottish consumers from the outset.

I am grateful to StepChange for its briefing and for its questions to the Minister: will the Government agree on the importance of a certain implementation timeframe to ensure that organisations can plan and develop the relevant systems to deliver the breathing space scheme; will they consider amending the Bill to commit to a clearer target implementation date, for instance to have regulations in place by the end of 2019 so that the scheme can be launched by 2020; will they confirm their manifesto promise and commit to introducing statutory repayment plans as part of the proposed breathing space scheme; do they agree that the initial period of breathing space protection needs to be long enough for people to gain acceptance for a long-term solution to their debts; and will they consider allowing a regulated debt adviser to extend the initial protection where necessary?

Does the Minister agree that the breathing space scheme should cover all a person’s debts, including—this point has already been made—debts owed to the public sector? Does he agree that it would be unhelpful to the scheme’s success to have creditors outside the scheme undermining people’s ability to stabilise their finances? Could he also please clarify what powers will be conveyed under clause 21(7), which allows the Secretary of State to amend any provision made by an Act of Parliament, an Act of the Scottish Parliament, a Measure or Act of the National Assembly for Wales, or legislation of the Northern Ireland Assembly? That seems rather far reaching to me, so I would appreciate some guidance on the reasoning behind that provision.

With regard to part 2 of the Bill, which relates to claims management companies, I hope that the Minister can answer some queries and reassure us. Lloyds Banking Group has highlighted that, although a cap on the fees that CMCs can charge consumers on PPI claims is welcome, CMCs are bringing other types of claims on behalf of consumers that potentially require strengthened regulation—packaged bank accounts, for example, which are current accounts that come with a package of extra features, from mobile phone and travel insurance to better rates on overdrafts and loans. Have the Government looked widely at the claims being brought by CMCs, and can they provide an assurance that customers are not potentially being exploited through exorbitant fees for other types of claims?

I am also concerned that the Financial Conduct Authority should take ownership of this from the Ministry of Justice as quickly as possible, to ensure that people are not exploited in between times. We must bear in mind that, with a deadline for PPI claims set in the next 18 months, CMCs will be rather busy trying to muster business in that period. We want to ensure that we can protect vulnerable people as much as possible.

In conclusion, the Bill has the right intentions and moves us in the right direction. I have posed a number of questions, and if the Minister is unable to answer them directly this evening, I hope that he will follow them up in writing in plenty of time before the Bill goes into Committee. I am grateful to Just, the People’s Pension, Lloyds Banking Group, StepChange and others for their briefings for today’s debate. I look forward to maintaining close and constructive engagement with the Bill as it progresses to ensure that it guarantees consumer rights, offers proper support for those needing advice and protects people from those seeking to exploit them.

--- Later in debate ---

[Ronnie Cowan (Inverclyde) (SNP)]

I welcome the chance to speak in this debate. I will make a short speech on a topic that has been touched on by Members on both sides of the House. We seem to agree that the introduction of a duty of care for financial service providers would be a good thing. That is not currently in the Bill, but the Bill gives us a vital opportunity to take steps towards introducing such a duty of care and, in doing so, transforming the support that customers receive from their financial service providers.

As is recognised in the Bill, ensuring that people have access to the right help and advice as soon as possible is essential to stopping financial problems escalating. For people who are ill, or who are considered vulnerable in other ways, it becomes even more important. It is well known that being diagnosed with a health condition such as cancer can come with a huge and sudden financial impact. Research by Macmillan Cancer Support found that four out of five people with cancer are impacted financially by their diagnosis, which makes them, on average, £570 a month worse off. That impact, as one would expect, leaves many people struggling to keep up with their financial commitments.

Banks, building societies and other financial services providers are in a unique position to step in. They could offer short-term measures, such as flexibility on mortgage payments or interest freezes on credit cards and loans, as well as ensuring that customers are signposted early to financial help, which can help them to avoid problem debt. Some banks have made progress on that. For example, Lloyds and Nationwide have worked in partnership with Macmillan to deliver specialist support to customers who are affected by cancer. However, the overall picture is still mixed. Only one in nine people with cancer tell their bank about their diagnosis. Many people do not think that their bank can help them, or, worse, they worry that disclosing their diagnosis will have negative consequences. Of those who did tell their bank, nearly a quarter were dissatisfied with the support they received. That, to me, seems like a huge missed opportunity.

When someone is living with a long-term health condition such as cancer, the last thing they should be worrying about is money. But if people do not feel comfortable accessing support, or the support is not there when they try, their financial worries can quickly escalate. If financial service providers had a legal duty of care towards their customers, people would be given the confidence to disclose their diagnosis, knowing that they could trust their bank to act in their best interests.

For banks and other providers, that would mean being ready to respond to their customers’ needs, and designing the vital products and services that would help people focus on their health. Of course, the duty would not just help people with cancer. It would have wide-ranging benefits because it would ensure that the banking sector played its part in helping customers, particularly those who might be vulnerable, when they needed it most.

As Members may be aware, the Financial Conduct Authority has committed to publishing a discussion paper on the duty of care. Although that is welcome, I and many other Members have significant concerns about the timescale. The discussion paper will form part of the FCA’s handbook review, which will not take place until after the UK’s withdrawal from the EU is clear. What that timeframe means in reality is not yet clear. What we know is that a discussion paper would be only the start of a long process of consultation and legislation, so it could be many years before a duty of care came into effect. Meanwhile, during that time, nearly 1,000 people every day in the UK will receive the devastating news that they have cancer.

This is key. Often when we discuss such issues to do with financial regulation, the debates are technical and can feel removed from the general public. The duty of care is different. The public are starting to take a real interest in the issue, and those who see the terrible impact on people of conditions such as cancer are demanding that we take action. Take Miranda, a Macmillan nurse. In her role helping patients, she sees the financial impact of cancer at first hand. I want to share a couple of quotes from Miranda with the House:

“It’s enough to cope with the effects of the treatment and the psychological effects of the diagnosis, without having to worry about money as well”.

She continues:

“To relieve the pressure of not having to pay your mortgage for six months or so…will be a tremendous help to people.”

Supported by Macmillan, Miranda has written an open letter in support of a duty of care. It has been signed by nearly 20,000 people—that is 20,000 people who want action. They do not want to wait years for change. What would the Minister say to those people? How would he justify any delay to them?

Of course, we all appreciate that Brexit will have significant implications for the financial services industry and that they will need careful thought, but that is not a valid reason for delaying the duty of care. Action is needed now, so that future changes are built on the foundation that financial services firms have a duty of care to their customers.

I urge the Minister to listen to what is being said today and to commit to working with the FCA to deliver faster action on the duty of care. He should listen to the cross-party concerns that have been set out here and in the other place. He should listen to the numerous organisations that have supported the call for a duty of care, to the Lords Select Committee on Financial Exclusion, which recommended its introduction, and to the 20,000 people who have called on the Government to take action. I thank Macmillan Cancer Support for its parliamentary briefing, which has contributed in a big way to my speech. Finally, will the Minister meet representatives of Macmillan Cancer Support to discuss the introduction of a duty of care?

Disability Confident Scheme

Ronnie Cowan Excerpts

Wednesday 10th January 2018 Westminster Hall

[Ronnie Cowan (Inverclyde) (SNP)]

I shall do my best to summarise what we have heard this afternoon, and many confident and concerted voices from different political parties have described where we have been getting things wrong, and where we get them right. I thank you, Mr Rosindell, for the opportunity to speak, and the hon. Member for Ochil and South Perthshire (Luke Graham) for securing this debate.

The hon. Gentleman identified progress that has been made since the 1970s. Attitudes have changed dramatically. He said that the Government must provide opportunities to get people back into work. He highlighted that 80% of adults without a disability are in work, but that only 49% of those with a disability who are able to work are in work. That figure drops dramatically to 36% in Northern Ireland and 42% in Scotland. He also talked about encouraging employers to sign up to the Disability Confident scheme. We would all echo that sentiment.

My hon. Friend the Member for East Kilbride, Strathaven and Lesmahagow (Dr Cameron) reiterated the need to have debates such as this in the main Chamber. Like her, I have hosted disability conferences and events in my constituency, and I urge all Members to follow suit. She highlighted the fact that to close the current employment gap would take 50 years at its current rate, which is simply not acceptable. She also raised the importance of apprenticeships and helping people with disabilities to start their own businesses, and mentioned the facility for disabled internships here in Westminster.

The hon. Member for Hornchurch and Upminster (Julia Lopez) zeroed in on the practicalities of employing people with disabilities, including autism, and said that the lack of personalisation in the process only compounds the difficulties and knocks the applicant’s confidence. The hon. Member for North Swindon (Justin Tomlinson) identified some big employers as being engaged, but believes that most small and medium-sized enterprises are not as capable, or perhaps less well informed, when it comes to taking up such opportunities. He highlighted how to run a reverse jobs fair—an event I have also organised in my constituency. Such events are precious because they allow employers and employees to network with each other over the course of one working day, which can prove invaluable.

The hon. Member for Redditch (Rachel Maclean) spoke about the benefit to the workplace of a diverse team and the value that that can bring. The hon. Member for Caithness, Sutherland and Easter Ross (Jamie Stone) emphasised that this issue is perhaps more about employers than employees, and the benefits and fundamental decency of the Disability Confident scheme. The hon. Member for Waveney (Peter Aldous) spoke about removing barriers, including employer uncertainty. That links back to my earlier point about networking events and introducing employers that have successfully employed people with a disability with those that are hesitant and need help to bridge the gap. That confidence gap can be bridged by such events.

The hon. Member for Ayr, Carrick and Cumnock (Bill Grant) spoke about how changing attitudes and cultures is crucial. The importance of the Access to Work scheme was re-emphasised, and that should be echoed by us all. The hon. Member for Copeland (Trudy Harrison) said that she has visited a number of local employers that have signed up to the scheme and are already reaping its benefits. She asked the Minister to work across Departments to improve all aspects of the recruitment and retention process.

Only about 49% of working-age disabled adults are in employment compared with 80% of those with no disability. Although many disabled adults make important contributions to the economy, others face barriers to employment. Breaking down those barriers and creating inclusive workplaces is good not only for individuals who are able to get into work, but for the whole country. Disabled people have the same ambitions, aspirations and work ethic as others, but they are under represented across a broad range of industries. We should maximise the skills and talent of everyone who can contribute to our economy.

Employers should be aware that support is available to them to help to remove the barriers that prevent disabled people from utilising their talents. I strongly encourage all employers to seek out such support. Hiring disabled people is not just a moral issue; it makes good business sense. Research highlighted by a previous Minister for Disabled People, the right hon. Member for Portsmouth North (Penny Mordaunt), showed that 92% of consumers think more favourably of businesses that hire people with disabilities, and that 87% of people would prefer to give their custom to companies that recruit disabled people.

In the past, we have seen how misconceptions have prevented disabled people from taking up employment opportunities. We must challenge those misconceptions. The Scottish Government have a number of programmes to help disabled people as they seek employment, including the targeted employment recruitment incentive, which is helping young people who are disabled or who have additional support needs. The Disability Confident campaign will complement that work, but we should be clear that, although much has already been done, there is still much more to do.

State Pension Age: Women

Ronnie Cowan Excerpts

Wednesday 29th November 2017 Commons Chamber

[Ronnie Cowan (Inverclyde) (SNP)]

We recently heard from the Chancellor about how he had buckled under the immense lobbying pressure of his 13 Scottish Tory colleagues. That pressure supposedly made all the difference to his scrapping VAT payments for Scotland’s police and fire services. Perhaps the half-baked baker’s dozen could have another word in his ear to prove that they understand this situation and that they care about the WASPI women and are seeking to achieve justice for them. If the UK Government make no changes, this will simply show that the Scottish Tories are not as influential as they are made out to be, or that they simply do not care about the plight of the WASPI women. The hon. Member for Aberdeen South (Ross Thomson) spoke as though he truly understood the problem, but will he follow us through the Lobby, or was it all just empty rhetoric?

Can you imagine, Madam Deputy Speaker, what would happen if MPs born in the 1950s were not made aware of major changes to their pensions that resulted in their not receiving them until years later? If we debated that—and we would—the House would be full to the gunnels. MPs would be filling every single seat, and the steps in between. How quickly would this House find a political solution to that problem? How quick are we to vote ourselves a pay rise? That is the benchmark that the Government should be judged by. On behalf of the 5,700 WASPI women of Inverclyde, I want to tell the UK Government that we will keep on bringing these debates to the House, that we will continue to raise the issue in the press and that we will not go away until there has been a resolution to the plight of those affected by these pension changes.

The momentum of the WASPI campaign has not weakened. Next week, my office will host a meeting of the Inverclyde WASPI group as it maintains its work on attracting new volunteers and making sure that the affected women have access to advice and support. The campaign has already raised more than £100,000 to fund an initial legal campaign, and the Minister must surely be aware it is now too well organised and well funded for him to continue dismissing its concerns. According to the campaign, 196 Members have committed themselves to assisting it. This should be seen as a signal that the UK Government need to begin a dialogue with the WASPI women and that they have to start that dialogue now. The women are being very reasonable in asking for this opportunity. There may be many small steps along the way to achieving a solution, but the UK Government should see sense and take this first step willingly, rather than being dragged along by the undeniable force of public pressure. It is not too late for this Government to do the decent thing and make amends for this ill-advised, poorly administered and damaging policy.

Universal Credit Roll-out

Ronnie Cowan Excerpts

Thursday 16th November 2017 Commons Chamber

[Ronnie Cowan (Inverclyde) (SNP)]

I was hoping to talk the House through a timeline that covered all aspects of requiring, claiming and receiving universal credit, but the time allotted will not allow me to do so. My constituency has had full roll-out for 12 months, so this is an abridged version based on what constituents have told me at first hand.

My archetypal constituent—I will call her Mrs Smith—is 50 and married. She lives in Port Glasgow and had been working at a local retail shop, but she has left on health grounds. Seeking support, Mrs Smith goes to her local jobcentre in Port Glasgow only to find that it has been shut. She instead walks 3 miles to the jobcentre at Greenock, but is surprised to learn that no one there can advise her on what benefits she is entitled to. She is told that the staff are not benefits-trained and are not even able to offer her options. Mrs Smith subsequently learns of universal credit from a welfare rights organisation, so she applies online. This would make Mrs Smith unlike the 15% of constituents surveyed by my office, who said that they could not use a computer or had great difficulties in doing so.

Mrs Smith lodges her application today, 16 November. By 23 November, she realises that although the application has been lodged, there is in fact at least another month of waiting while the entitlement is calculated. At this point, Mrs Smith’s remaining savings are used up by rent, council tax, TV licence, utility bills and shopping—the usual things. Her husband works, but he has a low income and they are now struggling financially. It is worth reminding Members at this point that the Money Advice Service found in 2016 that more than 16 million people in the UK had less than £100 in savings.

As November presses on, Mrs Smith’s financial situation becomes more desperate as she has underestimated the amount of time it will take to receive support. Please remember that this story is based on real-life examples that my constituents have brought to me. People do not fall into universal credit trained; they learn as they go along. At the start of December, because of a long-standing commitment, she takes her granddaughter to the movies, using a credit card to pay. She is accumulating debt.

By mid-December, Mrs Smith applies for a crisis grant and considers visiting the local food bank. The constant pressure of having no money begins to creep into every facet of her life. She is stressed and her relationship with her husband is suffering. None the less, she makes it through to her first universal credit payment sometime after new year.

Mrs Smith’s husband is paid weekly and coupled with real-time income data, which means that her universal credit payment fluctuates wildly. She is now locked in a boom-and-bust cycle, with her universal credit sometimes falling to almost nothing, while in other months she receives eight weeks of income in one assessment period.

What will the future hold for the real-life constituents of Inverclyde, apart from the uncertainty, stress and poverty that this system inflicts upon them? I am politely asking the UK Government not to ignore the overwhelming evidence. Universal credit is not working. Saying that its predecessor was worse is no excuse. It does not help my constituents from week to week. The roll-out must be halted. Take the time to reform the fundamental flaws in universal credit and then implement a system that truly offers applicants the stability on which they can build their lives.

Universal Credit Roll-out

Ronnie Cowan Excerpts

Wednesday 18th October 2017 Commons Chamber

[Neil Gray]

That is another appalling constituency case of which we all have many. I am about to raise one myself.

[Ronnie Cowan (Inverclyde) (SNP)]

My constituents had universal credit rolled out last November, and we have been bearing the brunt of it since then. The only measurable difference we have seen is that food bank referrals have gone up by 70%. People cannot wait for the Government to make up their mind on how they are going to fix this system.

[Neil Gray]

I wholeheartedly agree with my hon. Friend, as do the expert charities and organisations involved in alleviating food poverty. The Secretary of State will, of course, claim to have listened to concerns and made a concession by apparently reducing the time taken to process advance payments and crisis loans. Leaving aside the point that I have already made that for many, myself included, the very fact that these advance payments exist highlights that universal credit is failing, I struggle to see what has changed since his announcement. I know from my written parliamentary question this week that there is no data available on how long the claims took to process previously, but my suspicion is that it will not be too dissimilar to before the supposedly big concession in the Secretary of State’s Tory conference speech. I do not think that anything has really changed.

Jobcentres and the DWP Estate

Ronnie Cowan Excerpts

Thursday 20th July 2017 Westminster Hall

[Ronnie Cowan (Inverclyde) (SNP)]

It is a pleasure to serve under your chairmanship, Mr Evans. I thank my hon. Friend the Member for Glasgow South West (Chris Stephens) for securing this debate.

In Inverclyde, we currently have two jobcentres: one in Greenock and another in Port Glasgow. Following the UK Government’s consultation, it was determined that the Port Glasgow jobcentre would close, while the Greenock office would be moved to an as yet undetermined location. I believe that this decision is short-sighted and sympathise with the views of staff at the Port Glasgow jobcentre, who have expressed understandable concerns regarding the impact of this change on their clients.

The Minister should know that Inverclyde has some of the worst levels of social deprivation in the UK. Some 26% of children in Inverclyde grow up in poverty; one in 10 live in severe poverty; youth unemployment is more than double the UK rate; and the number of people on jobseeker’s allowance or required to find work on universal credit is double the rate in the UK as a whole.

It might be thought that such a set of circumstances would prompt the Government to grant additional support to the area. Instead, the UK Government’s response has been to cut benefits and halve the number of jobcentres in my constituency. A report issued by the Scottish Government found that Inverclyde will experience one of the most significant falls in welfare spending of any Scottish local authority relative to the size of its working-age population. By 2021, this will amount to an overall cut of £15 million—the equivalent of £298 per working-age adult.

Given the challenges that Inverclyde faces, I think it would be appropriate for the Minister to visit my constituency. That is why I wrote to him on 14 June and extended an invitation to meet not only me, but the jobcentre management to discuss the impact of the proposed closure on my constituents. And yes, I am still waiting for a reply. A ministerial visit would also be an opportunity for the UK Government to provide some much-needed assurances regarding the long-term future of the Greenock office and the vital service that it offers. I can see the Minister looking quizzically at me. Is he questioning what I am saying?

[The Minister for Employment (Damian Hinds)]

indicated dissent.

[Ronnie Cowan]

Okay. Is the proposed closure of the Port Glasgow jobcentre about providing a better service for users? No, of course it is not. In the words of the Public and Commercial Services Union, the UK Government are “abandoning the unemployed” at a time when many people on lower incomes are facing uncertain futures with respect to their employment.

[Danielle Rowley (Midlothian) (Lab)]

On the issue of uncertain futures, does the hon. Gentleman agree that the closure of jobcentres such as mine in Dalkeith will affect women affected by the Pensions Act 2011, dealing the WASPI women—Women Against State Pension Inequality—a double blow, which is unacceptable? Does he join me in wondering where those women will go to find the apprenticeships that Government Members suggest that they find?

[Ronnie Cowan]

The hon. Lady is absolutely correct. It is the classic double whammy that people are put into an impossible situation by the Government and then look for support from them and find that it has been taken away. As we all know, the apprenticeship scheme is just an aberration at the moment.

Unfortunately, all levels of poverty are rising. In-work poverty is on the rise, yet the Minister continues to argue that jobcentre mergers are needed to ensure that the welfare state

“works for those who need it and those who pay for it.”

That kind of irresponsible language detracts from the reality that those who need the service and those who pay for it are in fact the same people. Ultimately, the whole of society benefits if poverty and inequality are reduced. Jobcentres are supposed to be part of the solution.

Aside from the £1 billion deal with the Democratic Unionist party, the UK Government have made the case over the past seven years that drastic public spending cuts are a financial necessity. The plan to close jobcentres across the UK is part of a wider plan to sell £4.5 billion-worth of Government land and property by 2021. While it is easy to cut services and demonstrate savings made in the short term, it is not so easy to quantify and predict the long-term impact of those changes.

[Hannah Bardell]

On the matter of property and quantifying decisions, does my hon. Friend agree that the decision to close an HMRC office in my Livingston constituency and an area of West Lothian that is significantly cheaper, and to move it to Edinburgh city centre in a record long-term contract of 20 to 25 years, is just sheer stupidity on the Government’s part and clearly a waste of public money?

[Ronnie Cowan]

I absolutely agree, and could not have put it better myself.

The UK Government have simply not made a convincing case that the proposed closures will benefit clients or society as a whole. Jobcentre staff have contacted me to say that the impact of the closures on disabled people has not been properly assessed. The Scottish Government have indicated that the closures are likely to push many vulnerable people into crisis. Will the Minister meet me in Inverclyde and show that the UK Government are actually listening to those concerns? We are about to set off into recess. I assure the Minister that I will clear my diary and cancel my holidays, and will be there whatever day he wishes to come and visit Inverclyde.

[Mr Nigel Evans (in the Chair)]

I am going to call Mr Sweeney next, but it is good to see so many new Members here. We will go on until 3 pm, so if you wish to contribute to the debate, please stand in your place and that will indicate to me that you wish to contribute.

State Pension Age for Women

Ronnie Cowan Excerpts

Wednesday 5th July 2017 Westminster Hall

[Ronnie Cowan (Inverclyde) (SNP)]

What a difference a few months can make in politics. At the start of June the Prime Minister told us that there is no magic money tree. At the start of July the UK Government could magically find £1 billion to save her career—at least for the short term. Of course, if things do not go to plan it is helpful to have a safety net to fall back on. That is a luxury that many women have not been given, since the UK Government unfairly and unexpectedly changed their pension rights. Those women are often forced to accept low-paid and insecure work because some employers are unwilling to take on workers who are close to retirement age. The resulting financial hardship has forced some to sell their homes. Others have developed health problems, or have had aggravations of existing long-term health conditions, because of the stress and anxiety of their situation. Too many still face an uncertain future.

It is estimated that around 3,900 women have been affected in my constituency. Local campaigners such as Elizabeth McQuarrie have done a tremendous job of making sure that the issue is not brushed aside by the Government. If it were not for our local WASPI campaign many more women would be caught out by the pension changes, some of whom stand to lose £35,000 over five years. If the UK Government can find £1 billion to help save the Prime Minister, why have they not devoted a single penny to helping the 2.6 million women affected by unfair pension changes?

Affordable solutions are available. An independent report commissioned by the Scottish National party outlined five options that the UK Government could take to mitigate the impact of the changes. The research found that for £8 billion over five years we could return to the original timetable set out in the Pensions Act 1995. It concluded that the money could come from the national insurance fund, which is predicted to have a surplus of £30 billion by the end of 2017-18.

The women of the WASPI campaign have fulfilled their part of the bargain by being productive citizens, some of them having worked since they were 15 years old. Now it is time for the UK Government to honour their side of the contract.