Oral Answers to Questions

Stephen Kerr Excerpts

Monday 13th November 2017 Commons Chamber

[Mr Gauke]

The point about universal credit is that it operates when people are out of work and when they are in work. What we will not get is what happens with the legacy system: people worrying about working extra hours in case they find that their claim is closed. That holds people back from progressing. I believe that in-work conditionality has a role to play within our system to ensure that people progress. There is an issue in terms of people who are in work but are none the less receiving substantial support from the taxpayer. We want them to be able to progress to be less dependent on the state. That is what universal credit will deliver.

[Stephen Kerr (Stirling) (Con)]

What steps has the Secretary of State taken to increase awareness of advance payments?

[Mr Gauke]

We have changed the guidance that applies in jobcentres on advanced payments and increased publicity in jobcentres. I visited a jobcentre in Bedford and saw myself how the operation of advances is working. We believe there will be an increase in take-up, which will ensure that people receive the support they need. The suggestion that people under universal credit will face weeks and weeks and weeks without any financial support whatever is, I am afraid, scaremongering. That is what is happening under the system as it is operating now.

--- Later in debate ---

[Mr Gauke]

I am happy to receive representations from the hon. Gentleman on that case. Obviously I cannot talk about the individual case, but I am happy to look at it.

[Stephen Kerr (Stirling) (Con)]

What are Ministers doing to close loopholes used to avoid child maintenance payments?

[Caroline Dinenage]

When a non-resident parent fails to pay on time or in full, we endeavour to immediately establish compliance before enforcement action is needed. There is a range of strong powers that we can take, including the forced sale of property, disqualification from driving or, indeed, commitment to prison, but we are exploring options to expand those, and they will form part of our new compliance and arrears strategy, which will be published shortly.

Universal Credit Roll-out

Stephen Kerr Excerpts

Tuesday 24th October 2017 Commons Chamber

[Stephen Kerr (Stirling) (Con)]

One of the aspects of last week’s debate—we have seen and heard it again today—was that while Opposition Front Benchers said that they supported the principles of universal credit and that their concerns were about the manner of the roll-out, what we heard from those who sit behind them was abject opposition to universal credit. It appears to me that they do not want so much to pause the roll-out as to completely abandon it.

I speak as someone who not only supports the principle of welfare reform but wishes to see its implementation go forward. Universal credit is so much better at helping people into a position where they can help themselves. I do not add my name to those calling for a pause or halt to the roll-out of universal credit because the roll-out is already planned to take nine years, and it is taking nine years because the Government are taking time to get it right. It is called check and adjust.

[Ruth George]

rose—

[Stephen Kerr]

It is about learning from experience and adapting. It is about continuous improvement. Calling for a pause or halt does not help that process one jot.

[Ruth George]

rose—

[Stephen Kerr]

It is important to tackle a change of such magnitude in that way. It is important to take the right amount of time to absorb the lessons being learned.

[Ruth George]

rose—

[Mr Speaker]

Order. The hon. Gentleman is not giving way at the moment.

[Stephen Kerr]

Let us look at what happened when Labour launched its tax credits with a big bang. I am still helping constituents who got caught up in that mess, which included £2 billion in underpayment and overpayment errors.

It is worth reminding ourselves why universal credit is such an important plank in welfare reform. It is about helping people to prepare for a return to the world of work. It is designed to mirror the world of work. When people return to the world of work, it underpins the promise that people will always be better off in work than on benefits. Under the old system, there was a cliff edge, because it made sense to work for only 16 hours or less, and it cannot be good if we end up penalising people because they chose to do the right thing and go to work. The old system punished work. People could lose more than £9 of every £10 extra they earned. Under Labour, the benefits system was so complicated that some people found that there was no point to working more because they would lose more in benefits than they would earn in work. The old system failed to get young people into work. The old system subsidised low wages by letting the tax credits bill get out of control.

It is also worth remembering what work does for people.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

On the point about low wages, does the hon. Gentleman agree that the Government should pay the real living wage, not the kid-on living wage?

[Stephen Kerr]

I am very proud that the Conservatives have introduced a national living wage. It is worth remembering what work does for people. It instils a sense of confidence and of self-worth. It enables people to manage their own affairs and make their own decisions for themselves and their families, to be independent, and not to depend on anyone or anything. That is what work does, and that is why it is so important to record again today that more people in this country are working than ever before and that unemployment is at a 40-year low. That is a good thing that we should be proud of. Universal credit is helping people to get back into work. Those on universal credit are four percentage points more likely to be in work within six months than jobseeker’s allowance claimants in similar circumstances. Universal credit underlines the salient principle that people should always be better off in work than on benefits.

I pay tribute to the Ministers at the Department for Work and Pensions. What I have experienced from them is a genuine willingness to engage and to receive feedback, and that is both positive and constructive. They have been impressively responsive to my concerns, and more especially to the cases of my constituents that have been brought to their attention. I am pleased that there has been a response to the urgent need for payments. Claimants who want advance payments should receive them within five working days, and for those in immediate need there is a fast-track payment that can be received on the same day. I was initially concerned about the payback period for advances, but I am assured that repayments can be delayed for up to six months, and for a further three months if necessary. I have also received reassurances from Ministers about the issues that face rural constituencies.

I repeat that while I accept that no one should have to wait for six months with no money, it should not be beyond our means to make improvements in the system to reduce the time before the first payments are received. However, it would be wholly wrong to pause the universal credit full service roll-out now.

Universal Credit Roll-out

Stephen Kerr Excerpts

Wednesday 18th October 2017 Commons Chamber

[Stephen Kerr (Stirling) (Con)]

I will not vote for a pause in the roll-out of universal credit. I speak as a supporter of welfare reform, and as I speak I think of the 1,005 people in my constituency currently seeking employment. The roll-out of universal credit is well under way in Stirling, and I have been impressed by what I have seen of the way it prepares people for work or a return to the world of work. Welfare reform is never an easy process, but the way the Government have approached the introduction of universal credit is the right one to deal with a change of this magnitude.

I have found the response of Ministers to have been very positive. They have undoubtedly listened to my concerns; far from being uncaring, the Government have worked to create fast-tracked advances, for example, to ensure that money reaches those who need it fast. We must continue to work through the practical issues of implementation, and I know that Ministers are keen to.

I have corresponded with Ministers on the issues facing rural constituencies such as mine, including problems with inadequate broadband and a lack of mobile coverage. In fact, there is not even public transport in some cases. Those are real concerns for me. I am particularly concerned about claimants who have mental health issues, and who struggle with the complexities of the various aspects of any benefit programme. I am also concerned about the issue of digital literacy, which has already been raised by a number of Members. I hope that the Minister will address those issues when he winds up the debate.

Many of us would like further consideration to be given to the difference between fortnightly and monthly payments, and the need that some claimants may initially have for a transition period between the two. I should also like the Government to reflect on the six-week wait for first payments. That is a long time for people to wait when they are in need, and it should not be beyond our means to design a better system to shorten it.

As Members of Parliament, we have a responsibility to ensure that we help people, and welfare reform should not be used as a political football.

Jobcentre Plus: Closures

Stephen Kerr Excerpts

Thursday 6th July 2017 Commons Chamber

[Stephen Kerr (Stirling) (Con)]

Does my right hon. Friend agree that

“the purpose of the estates review is to make sure that the estate is effective and reflects demands on the…service”?

Those are not my words but those of the Scottish National party Government Cabinet Secretary for Justice, Michael Matheson MSP, in relation to Police Scotland. They show that the SNP argue for rationalising the public services estate when it suits them.

[Mr Gauke]

My hon. Friend makes an excellent point. Governments have to ensure that public money is spent sensibly, and one of the ways of doing that is by rationalising the estate. Keeping open under-utilised jobcentres is simply not a good use of taxpayers’ money, and it does not do claimants any good either.