Oral Answers to Questions

Will Quince Excerpts
Monday 11th May 2020

(3 years, 11 months ago)

Commons Chamber
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Richard Graham Portrait Richard Graham (Gloucester) (Con)
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What recent assessment she has made of the effectiveness of the operation of universal credit.

Will Quince Portrait The Parliamentary Under-Secretary of State for Work and Pensions (Will Quince) [V]
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Since mid-March, we have processed around 2 million universal credit claims. Despite that surge, the system is standing up to the challenge and demonstrating that resilience is part of its design, with over 90% of new eligible claimants expected to be paid in full and on time. There is no way that the legacy benefit system would have been able to cope with such pressure.

Richard Graham Portrait Richard Graham [V]
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I am grateful to all the jobcentres, and particularly the one in Gloucester, which has done a remarkable job of registering so many of my constituents. Some people discover when they register that they lose child tax credit before any new benefits are payable. What can my hon. Friend the Minister do to help provide our constituents with better tools to assess what will happen and whether they will be better or worse off when they first register for universal credit?

Will Quince Portrait Will Quince [V]
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I thank my hon. Friend for his question and for rightly praising DWP staff for the work they are doing. That issue has been raised by a number of colleagues, and I am looking at data and exploring options. We have been working closely with Her Majesty’s Revenue and Customs to encourage people to check their eligibility before making a claim and ensure that tax credit claimants understand that when they have claimed UC, their tax credits will end, and they cannot return to legacy benefits.

Jonathan Reynolds Portrait Jonathan Reynolds (Stalybridge and Hyde) (Lab/Co-op) [V]
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We believe that people need more support during this crisis, but we acknowledge and welcome the changes that the Government have made. Those include increasing the core amount of universal credit by £1,000 a year, but that rise is only for 12 months. If the Government believe that this level of support is necessary during lockdown, why do they believe that people will need less money when lockdown ends and the normal costs of living will apply? Surely it is inconceivable that anyone still unemployed by March next year could see their benefits being cut.

Will Quince Portrait Will Quince [V]
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I thank the hon. Gentleman for his question and welcome him to his new position. As he knows, we have announced measures that can be quickly and effectively put in place that will benefit as many disadvantaged families as possible who are currently facing financial disruption. We at the DWP have been under huge increased demand, and we have prioritised the safety and stability of our benefits system overall. All things of this nature will be kept under review, but at the moment, as he rightly points out, the funding has been secured for a 12-month period from Her Majesty’s Treasury.

Lindsay Hoyle Portrait Mr Speaker
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Can we speed up questions and answers, to help us get through the list? We now go over to Neil Gray in Scotland.

Neil Gray Portrait Neil Gray (Airdrie and Shotts) (SNP) [V]
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The two areas of universal credit causing the greatest hardship are the five-week wait and the two-child cap—both need scrapping. Taking a UC advanced loan means that payments will be lower than the already impossible to live on levels, so why will the Government not look at the idea of making the advance loan a grant when a person has been confirmed as eligible for UC? That stops the fraud excuse. The only barrier is political will.

Will Quince Portrait Will Quince [V]
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I thank the hon. Gentleman for his question. As I have said, we have announced measures that can be quickly and effectively put in place that will benefit as many disadvantaged families as possible who are facing financial disruption. We are under huge increased demand, and I have had to prioritise the safety and stability of the benefits system overall and put that above any structural change. I will always prioritise ensuring that people get their money in full and on time, over and above system change.

Sarah Jones Portrait Sarah Jones (Croydon Central) (Lab)
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What assessment she has made of the potential merits of ending the five-week wait for universal credit during the covid-19 outbreak.

Ian Byrne Portrait Ian Byrne (Liverpool, West Derby) (Lab)
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What assessment she has made of the potential merits of ending the five-week wait for universal credit during the covid-19 outbreak.

Will Quince Portrait The Parliamentary Under-Secretary of State for Work and Pensions (Will Quince) [V]
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In these uncertain times, we would like to be absolutely clear that no claimant has to wait five weeks for a payment. Advances are available, enabling claimants faster access to their entitlement. Since mid-March, we have issued more than 700,000 advances to claimants who felt that they could not wait for their first routine payment, with the majority receiving money within 72 hours.

Sarah Jones Portrait Sarah Jones [V]
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In Croydon, all our food banks have seen a massive increase in demand. In fact, the number of food banks and soup kitchens has quadrupled in Croydon since the covid crisis began, with organisations such as the British Bangladeshi Society and the Fieldway Family Centre stepping up to the plate. One of the main reasons they cite for this need is the five-week wait for universal credit. What assessment has the Minister made of the number of people forced to use food banks because of that five-week wait? I ask him again: why can he not replace the emergency loan with a grant, so that people do not have to pile debt on debt?

Will Quince Portrait Will Quince [V]
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I thank the hon. Lady for that question. Over and above answers to previous questions, I would stress that non-repayable advances could not be implemented without significant development of the UC system and would require measures that have been previously announced to be deprioritised. In the light of current events and the huge pressure on our system, the Department’s focus is firmly on ensuring that new and existing claimants continue to receive their payments on time. We do not have the capacity to look at that kind of structural system change.

Ian Byrne Portrait Ian Byrne [V]
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Over the past seven weeks, the demand on Liverpool’s local welfare scheme for crisis payments for food and fuel has increased by 164% compared with this time last year. Will the Minister consider easing the plight of many living through this crisis by doubling child benefits and lifting the benefit cap, as requested by the Food Foundation?

Will Quince Portrait Will Quince
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I thank the hon. Gentleman for his question. We have increased the universal credit and working tax credit standard allowance by more than £1,000 a year, and we have increased local housing allowance rates, putting an average of £600 into people’s pockets. On the benefit cap, it is important to stress that those with sustained work records may benefit from a nine-month grace period in relation to the cap. Exemptions continue to apply, and I feel many people would agree that the equivalent of £24,000—or £28,000 in London—is fair and reasonable.

Stephen Timms Portrait Stephen Timms (East Ham) (Lab) [V]
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From the 1940s on, we had a social security system based on handwritten forms that was capable of making the first regular benefit payment within a few days of a person applying; now, after the Government have spent several hundred million pounds on what we were assured was agile technology, that job takes five weeks. That long delay is the main reason why people on universal credit are so much more likely to need a food bank than people on the legacy benefits. Surely the Minister must recognise that that problem must be fixed.

Will Quince Portrait Will Quince
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I thank the right hon. Gentleman, the Chair of the Work and Pensions Committee, for his question. He knows that we introduced an agile, dynamic online system because the legacy benefits system, which was largely paper-based, was fraught with issues and errors. That is why we moved over. Notwithstanding the points that he has made, I stress that the previous, paper-based system, which relied on face-to-face contact, would not have coped in this situation. It is because of universal credit that we have been able to process more than 2 million claims since mid-March.

Derek Twigg Portrait Derek Twigg (Halton) (Lab)
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What recent discussions local officials of her Department have had with operators of food banks on referral of benefit claimants to food banks during the covid-19 outbreak.

Will Quince Portrait The Parliamentary Under-Secretary of State for Work and Pensions (Will Quince) [V]
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Ministers and officials have had regular discussions with food bank providers and other stakeholders during this time. Flexibility and innovation in local jobcentre arrangements for signposting to food banks, within the parameters of the existing guidance, is encouraged during the covid-19 outbreak.

Derek Twigg Portrait Derek Twigg [V]
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[Inaudible.] In my constituency, the jobcentre is not referring people to the Widnes food bank. It is important that the Minister intervenes and ensures that referrals do take place so that the people who need help get it quickly.

Will Quince Portrait Will Quince
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I think I did, Mr Speaker. I gently point out to the hon. Gentleman that jobcentres are working with local partners to signpost claimants to the support available in their local area. The Trussell Trust and the Independent Food Aid Network are putting in place appropriate solutions where food banks are in operation. I stress that local councils in England will be able to use funding from the new £500 million local hardship fund to provide further discretion to support vulnerable people.

Danny Kruger Portrait Danny Kruger (Devizes) (Con)
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What steps her Department is taking to help ensure that people with multiple and complex needs can access universal credit.

Will Quince Portrait The Parliamentary Under-Secretary of State for Work and Pensions (Will Quince) [V]
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Dedicated DWP staff continue to be available in jobcentres throughout the country. For claimants with the most complex needs, if we are unable to help by phone or online, face-to-face support is still available. In addition to that, the Help to Claim service is undertaken on our behalf by Citizens Advice and Citizens Advice Scotland.

Danny Kruger Portrait Danny Kruger [V]
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I thank the Minister for that answer and congratulate him, the Department and the original designers of universal credit on their success in registering so many new claimants. As he knows, the original idea was for a universal support system, alongside UC, to help people with multiple and complex needs. Will the Minister consider reviving that idea to help the most vulnerable people and make the UC system work better?

Will Quince Portrait Will Quince
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I thank my hon. Friend for his question. I know that he shares my passion for supporting the most vulnerable and disadvantaged in our society, who often have complex needs, which is exactly why we introduced Help to Claim to support people who need support to access the welfare system. It has been a huge success over the past year, helping more than 250,000 people. I am pleased to say that we have commissioned the service for a second year.

Robert Halfon Portrait Robert Halfon (Harlow) (Con)
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What recent discussions she has had with the Secretary of State for Education on support for vulnerable children during the covid-19 outbreak.

Will Quince Portrait The Parliamentary Under-Secretary of State for Work and Pensions (Will Quince) [V]
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I have regular discussions with the Minister for children and families, my hon. Friend the Member for Chelmsford (Vicky Ford), and others on mitigating the effect of covid-19 on vulnerable groups. We are providing them with support as they implement the free school meals voucher system, and we have increased universal credit and working tax credit by more than £1,000 a year over the next 12 months, which will benefit more than 4 million households.

Robert Halfon Portrait Robert Halfon [V]
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Given that we know that nearly 90% of vulnerable children are not at school or learning and that there are new frontiers of vulnerabilities in children suffering from possible domestic abuse and mental health issues, what further work, other than that which the Minister has mentioned, is the Department doing specifically with the Department for Education to help those children learn and to give them and their families proper financial support?

Will Quince Portrait Will Quince
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I thank my right hon. Friend for that question. We are committed to ensuring the safety and protection of vulnerable children and young people, particularly during the current period, and that is why we have invested an extra £6.5 billion in our welfare system. I know that he has huge expertise in this area. In addition to my work with the Minister for children and families, my hon. Friend the Member for Chelmsford (Vicky Ford), and others across Government, I would be very happy to work with him to explore other ways that he thinks we may be able to support vulnerable children.

Navendu Mishra Portrait Navendu Mishra (Stockport) (Lab)
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What assessment she has made of the adequacy of levels of local housing allowance during the covid-19 outbreak.

Will Quince Portrait The Parliamentary Under-Secretary of State for Work and Pensions (Will Quince) [V]
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In April, in response to covid-19, we introduced increased local housing allowance rates for housing benefit and universal credit claimants to the 30th percentile of local rents, providing additional support for private renters. This significant investment cost almost £1 billion and ensures that more than 1 million households will see an increase, on average, of £600 per year.

Navendu Mishra Portrait Navendu Mishra [V]
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Thousands of families in Britain are at risk of being pushed into homelessness as a result of this crisis. What urgent steps is the Minister taking to ensure that the most vulnerable will not lose their homes as a result of the covid-19 outbreak, at a time when there is no option to find cheaper accommodation to move to?

Will Quince Portrait Will Quince
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Over and above the measures introduced by the Ministry of Housing, Communities and Local Government, we have increased universal credit and working tax credits by more than £1,000 a year, and increased the local housing allowance rates. In this respect, in southern Greater Manchester, which covers Stockport, the two-bedroom LHA has been increased by £76 a month—£900 a year—and the four-bedroom rate in the hon. Gentleman’s constituency has increased by over £200 a month. That extra £6.5 billion going into our welfare system is supporting the most vulnerable and disadvantaged in our society.

Shaun Bailey Portrait Shaun Bailey (West Bromwich West) (Con)
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What steps her Department plans to take to support economic recovery after the covid-19 outbreak.