Oral Answers to Questions

Stephen Timms Excerpts

Monday 23rd June 2025 Commons Chamber

[Charlotte Cane (Ely and East Cambridgeshire) (LD)]

12. What assessment she has made of the adequacy of the personal independence payment application process.

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

The current PIP application process is outdated and can be very difficult to follow. Alongside proposed legislative changes, the Department’s health transformation programme will greatly improve the experience of applying and, I hope, increase confidence in the outcomes of the assessment as a result.

[Victoria Collins]

The response to my recent written question on disability benefits applications listed the 18 most common disabilities and health conditions and showed that hundreds of thousands of people were awarded fewer than four points in all living activities and will miss out on the daily living component of PIP. They include people like Jemima in Harpenden, who suffers from severe physical disabilities and thyroid cancer and finds even walking very difficult. Will the Government please commit to reforming the criteria to better reflect the full complexity of claimants’ conditions?

[Sir Stephen Timms]

I recognise that many people who are on the PIP daily living component who did not get four points on anything at their last assessment are feeling rather anxious. However, what they need to know—I hope the hon. Member will reassure her constituents on this—is that it is the view of the Office for Budget Responsibility that most of them will nevertheless still have their PIP after their fresh assessment once the changes have been introduced. They will be introduced in November next year and an individual’s assessment will take place whenever their first award review is after that date. The OBR is confident and clear that most of those people will keep their PIP.

[Charlotte Cane]

Over 4,500 people in Ely and East Cambridgeshire claim PIP, and they are not just anxious, as you put it; they are seriously worried that they are going to lose the payments and, with them, their independence. Contrary to what you said—sorry, contrary to what the Minister said—the Government’s own data suggests that 85% of people getting standard payments and 11.5% of those getting enhanced payments will lose support under the proposed changes. What steps is the Minister taking to support those who will be affected, including to make sure that their health and eligible care needs are met and, most importantly, that they can maintain their independence?

[Madam Deputy Speaker (Ms Nusrat Ghani)]

I suggest that, in future, shorter questions might prevent mistakes such as “you”.

[Sir Stephen Timms]

It is really important for claimants of PIP that its funding should be sustainable into the future. The trajectory of the past few years has been unsustainable. We are taking action to put that right. The hon. Member is wrong to say that because people did not get four points last time, they will not keep their PIP. As I said, the view of the OBR, which I think is correct, is that most of them will. We are consulting on how to support those who will lose their PIP as a result of the changes that we have announced.

[Andy McDonald (Middlesbrough and Thornaby East) (Lab)]

Ministers have highlighted that the PIP recipients who are expected to lose payments make up one in 10 of the total PIP caseload. That suggests that the impact of the cuts will be limited, but it still represents 370,000 current recipients, who are expected to lose £4,500 on average. However, those numbers rest on a set of assumptions that the OBR has described as “highly uncertain”. DWP data shows that 1.3 million people currently receiving PIP daily living payments would not meet the new criteria. Before MPs are asked to vote on imposing such appalling poverty, will the DWP or the OBR provide further evidence underpinning those claims?

[Sir Stephen Timms]

The OBR has published its assessment, and my hon. Friend is right that it has assessed that one in 10 of those receiving PIP in November next year will have lost it by 2029-30—one in 10; not the much larger proportion that we were hearing about earlier. Following that, we will be able to introduce the biggest ever investment in employment support for people out of work on health and disability grounds. We do not want any longer to trap people on low incomes for years and years; we want people to be able to enter work and fulfil their ambitions. That is what the investment will allow.

[Richard Burgon (Leeds East) (Lab)]

Is it not the simple and sad truth that any MP who votes for the upcoming welfare Bill will be voting to take PIP from disabled people who need assistance to cut up their food, wash themselves and go to the toilet?

[Sir Stephen Timms]

No. Members will be voting for reforms to open up opportunities for people who have been denied opportunities for far too long. We are putting that right.

[Madam Deputy Speaker]

I call the shadow Minister.

[Danny Kruger (East Wiltshire) (Con)]

I respect the Minister very much, and I know that he cares deeply about people who rely on the social security system. That is why it is such a tragedy that he is presiding over these profound reforms without having consulted disabled people. Can he explain why so many benefit claimants feel that these reforms have been rushed through, not to make a fairer system but because the Treasury demanded cuts to meet the fiscal emergency created by the Chancellor’s job-destroying, growth-stopping Budget? They are right to think that, are they not?

[Sir Stephen Timms]

We are putting in place a fairer system. Action was urgently needed. In the year before the pandemic, PIP cost the Government £12 billion at current prices, and last year it cost £22 billion. It also went up last year alone by £2.8 billion. PIP required urgent action, and that is what we are taking.

[Danny Kruger]

I am just sorry that there has been so little consultation with the victims of the changes that the Government are introducing. One area where the Government do not seem to be looking for savings is in the Motability scheme. It was supposed to help physically disabled people get around, but now we have 100,000 new people a year joining the scheme, many of them not physically disabled at all. One in five of all new car purchases are bought through this scheme, and it is costing taxpayers nearly £3 billion a year. I know that the Minister will blame us for the system, but the fact is that the Government are not even looking at Motability. They have had a year, and it is their policy now. Will the Minister commit to a proper review of the Motability scheme, and if not, why not?

[Sir Stephen Timms]

I am not sure whether the shadow Minister wants me to go further or not so far—he seems to be facing both ways. He is right that we are not at this point proposing any changes to the Motability scheme.

[Madam Deputy Speaker]

I call the Liberal Democrat spokesperson.

[John Milne (Horsham) (LD)]

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

[Sir Stephen Timms]

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

[Josh Simons (Makerfield) (Lab)]

6. What steps she is taking to support people on universal credit into work.

--- Later in debate ---

[Graeme Downie (Dunfermline and Dollar) (Lab)]

T2. My constituent, Nicola Smith, works for NHS Fife. Like many people across the country, she is not paid on the same date each month. This leads to incorrect calculations for her husband Steven’s universal credit, often leaving the family without a payment or being sanctioned before the system catches up the following month, and I am aware of thousands of others in a similar position. What reassurance can the Minister provide that he is addressing these issues, ensuring smooth and fair payment for NHS workers and their families on universal credit, and will he meet me to discuss this issue in more detail?

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

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

[John Milne (Horsham) (LD)]

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

--- Later in debate ---

[Josh MacAlister (Whitehaven and Workington) (Lab)]

T5. When the under-25 universal credit rate was first introduced, the justification for it was that young people were more likely to be living at home, but there is a group—care-experienced young people—for whom that is often not the case. A transformational decision by this Government would be to build on and go further in the work that we are already doing with the Children’s Wellbeing and Schools Bill and decisions at the spending review by making this change for that very important group of young people.

[Sir Stephen Timms]

I commend my hon. Friend for all his work on this issue, including his seminal 2022 independent review. He is right that care leavers need support as they move to independent living. The Department for Work and Pensions at the moment exempts care leavers from the shared accommodation rate, and provides support toward sustained employment and career progression. We will certainly consider if there is more that we can do.

[Madam Deputy Speaker (Ms Nusrat Ghani)]

I call Andrew Rosindell—not here.

--- Later in debate ---

[David Taylor (Hemel Hempstead) (Lab)]

T9. A single parent in my constituency has worked full time for more than 20 years but is now in personal crisis because universal credit is unable to reimburse the childcare costs she has paid in advance. I hope the Minister agrees that it is deeply unfair that my constituent is left short every month despite working incredibly hard. Will he set out ways in which the Government are supporting hard-working women with childcare needs?

[Sir Stephen Timms]

My hon. Friend’s constituent will benefit from the big increase in the universal credit standard allowance, which we have talked about, and from free school meals for her children. Somebody who starts work or increases their hours may also be eligible for support with up-front childcare costs. The flexible support fund can award the full cost for up to a month of fees to a childcare provider in advance of the care being delivered, so that may be an option for his constituent.

[Graham Stuart (Beverley and Holderness) (Con)]

At the weekend, Vivergo and Ensus workers learned that UK negotiators had successfully protected the UK bioethanol industry until President Trump called the Prime Minister and he sold out that industry, allowing a genetically modified bioethanol to flood the market and put all those jobs at risk. What can the Secretary of State tell those workers who feel that they have been sold out by our Prime Minister when negotiators had successfully protected an industry of the future?

--- Later in debate ---

[Debbie Abrahams (Oldham East and Saddleworth) (Lab)]

Previous changes in eligibility for disability benefits have resulted in significant adverse health impacts, including an additional 600 suicides in 2010 and 130,000 more people with new onset mental health conditions in 2017. What estimates have the Government undertaken of the impacts on health of the Universal Credit and Personal Independence Payment Bill, which is due to have its Second Reading next week?

[Sir Stephen Timms]

I am looking forward to answering questions about these matters in front of the Committee on Wednesday morning. We are working very closely with the Department of Health and Social Care to ensure that the health and care needs of people who lose benefits as a result of this process are met.

[Sir Julian Lewis (New Forest East) (Con)]

Do Ministers agree with the Trussell Trust’s recent estimate that the weekly cost of basic essentials is £120 for a single person and £205 for a couple?