Coronavirus Outbreak: DWP Response

Asked Members to consider a five-minute limit on contributions.

I pay tribute to the right hon. Member for East Ham (Stephen Timms) for securing this debate... I support everything the Government are doing to help people facing unemployment, and I hope for more substantial reform in due course.

From my perspective, and I hope that of the majority of Members on my Benches, the report provides a true exposition of the Government’s position on social security... That is less a prayer of supplication—a mea culpa, mea culpa—than a Tory mantra of faithless cold-heartedness that repudiates the worth of our common humanity.

Bailey paid tribute to the Clerks, staff and fellow members of the Work and Pensions Committee for their work on the report. He recognised the unprecedented challenges faced by the social security system during the pandemic but was heartened by the Minister's listening approach. He focused on three key areas: operational challenges faced by DWP staff; support for self-employed individuals in his constituency, welcoming the temporary suspension of the minimum income floor and improvements in communication; and ensuring safety for those who had to work during the pandemic. Bailey highlighted issues with ID verification processes due to the digital divide and the need to address this issue urgently.

Webbe congratulated Stephen Timms on securing the debate, highlighting how the pandemic has exposed critical shortcomings in social security. She criticised the five-week wait for universal credit payments and the disparity between universal credit and legacy benefits such as JSA and ESA. Webbe also raised concerns about the resumption of benefit sanctions during economic hardship and highlighted the impact of the 'no recourse to public funds' condition on undocumented migrants, urging its suspension. She noted the Health and Safety Executive's limited capacity in assessing covid-secure workplaces due to budget cuts and called for an urgent reversal of funding cuts to regulatory bodies.

I congratulate the right hon. Member for East Ham on securing this debate, acknowledging his expertise in these issues. I highlight the success of the Department for Work and Pensions during the pandemic, noting a 93% success rate in timely payments to claimants despite a significant increase in demand. While some delays occurred, it is important to acknowledge that public or private services would struggle to match this level of performance. DWP staff deserve recognition for their dedication and commitment. The ministerial team's flexibility in adjusting policies such as bringing forward Government Gateway identification and suspending job-seeking conditionality has also been crucial. Although challenges remain with mandatory reconsiderations, the overall performance highlights the importance of continued support for public sector workers during crises.

I pay tribute to the members of the Work and Pensions Committee and its Chair. However, many constituents have found significant issues with the benefits system, particularly those left worse off by changes during the pandemic. A specific case is that of Lara, a student mental health nurse who accepted a fixed-term contract to help the NHS but was subsequently impacted by changes to housing benefit and ESA, now ineligible for universal credit due to her status as a student. This situation exemplifies how dedication to frontline work can lead to financial insecurity. The failure to uplift legacy benefits in line with Universal Credit has left many, like Lara, struggling financially despite contributing during the crisis.

The impact of the COVID-19 pandemic has exposed constituents to Department for Work and Pensions policies, which have been politically driven and harmful towards those in need. In my constituency, there are about 13,000 households on universal credit, a 50% increase from last year. There is significant concern regarding people with no recourse to public funds, especially lone-parent families of black, Asian, and ethnic minority backgrounds. The benefits cap severely impacts those in high-rent areas like London, leaving little disposable income after rent payments are made. Concerns also exist about the reintroduction of sanctions for claimants who need IT access or face-to-face support due to mental health issues.

The unprecedented public health emergency has seen hundreds of thousands turn to social security systems, revealing severe system shortcomings. The five-week wait for universal credit payments is financially burdensome. While the £20 a week increase in universal credit was welcome, it should extend to legacy benefits, particularly those supporting disabled individuals and their families. Local housing allowance rates are insufficient, with 42% of private renting households relying on LHA to pay rent. The decision not to continue linking LHA to local market rents exacerbates the situation for many tenants. Additionally, there is significant suffering among those with no recourse to public funds status, including key workers and frontline medical staff.

Congratulates the Select Committee on their report and emphasises the importance of cross-party scrutiny during crises. Acknowledges the hard work of DWP staff but criticises the effectiveness of policy responses due to austerity policies since 2010, which left benefits underfunded for this crisis. Criticises temporary measures like the £20 uplift for universal credit and calls for it to be made permanent. Emphasises the need to address real housing costs in relation to local housing allowance. Stresses the unjustified disparity between uprating of universal credit compared to legacy benefits, affecting millions. Condemns the inflexibility of universal credit policies as an excuse to avoid addressing issues like advance repayments and the five-week wait period.

Thanked the Work and Pensions Committee for its report, acknowledged the contributions of all hon. Members, praised the civil servants for their efforts during the pandemic, highlighted the volume of universal credit claims and the swift implementation of emergency measures including a temporary increase to the standard allowance and local housing allowance rates. Stressed the government’s commitment to support low-income families but noted that decisions on further support will depend on economic clarity. Addressed concerns about returning people to legacy benefits once they have moved over to universal credit, clarified the eligibility criteria for accessing DWP income-related benefits, and reaffirmed the department's commitment to providing a strong safety net for those in need.

Thanked everyone for their contributions during the debate, noted that all members behaved impeccably without time limits being imposed, acknowledged the resolution put forward by the House calling on the government to increase relevant legacy benefits in line with increases to universal credit, take steps to return people who have been inadvertently left worse off under universal credit compared with their previous benefits, and suspend the no recourse to public funds visa condition for the duration of the coronavirus outbreak.