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Universal Credit and Working Tax Credit
18 January 2021
Lead MP
Nigel Evans
Crewe and Nantwich
Con
Debate Type
General Debate
Tags
Benefits & Welfare
Other Contributors: 41
At a Glance
Nigel Evans raised concerns about universal credit and working tax credit in the House of Commons. A government minister responded. Other MPs also contributed.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Government Response
The £20 per week uplift to universal credit was announced by the Chancellor as a temporary measure in March 2020 and increased standard allowances up to £1,040 for a year. Emphasises that while Labour calls for a decision now on whether to continue the uplift post-April, it is crucial to maintain agility to respond to emerging situations. Acknowledges the Chancellor's efforts throughout the pandemic and reaffirms commitment to support people back to work through initiatives such as the plan for jobs.
Nigel Evans
Con
Crewe and Nantwich
I advise the House that Mr. Speaker has selected the amendment in the name of the Prime Minister.
Sammy Wilson
DUP
East Antrim
Suggests that today's debate is necessary due to evidence showing that restrictions to deal with covid have disproportionately affected those dependent on social security support.
Questions the Opposition’s policy regarding Universal Credit, inquiring whether it remains their intention to abolish the system and what would replace it if they were in power.
Laura Trott
Con
Sevenoaks
Asks for clarification on the Labour's position regarding making the £20 increase permanent and how they intend to fund such a proposal.
Nigel Evans
Con
Crewe and Nantwich
There are three points to make before calling the Minister: a three-minute limit on Back-Bench contributions is in place, visible on the annunciator for those in the Chamber; contributors outside the Chamber should see a timing clock on their device to adhere to the time limit; it would be cleaner if Members conclude their contributions before the three-minute mark to avoid interruption by the Chair. The question will be put at 7:15.
Will Quince
Con
Braintree
Acknowledges that over 3 million more people have made benefit claims since March last year, and praises work coaches for processing an unprecedented number of claims. Stresses that the Government's commitment to recruit 13,500 new work coaches by the end of the financial year is well on track. Defends universal credit as a modern, dynamic benefits system compared to legacy benefits. Reiterates the Government’s position against Labour’s proposal to scrap universal credit and criticises their decision to play politics with vulnerable people's lives. Asserts that the £20 per week uplift to universal credit was announced temporarily in March 2020 and emphasises the importance of maintaining flexibility to respond effectively as the pandemic situation evolves.
Commends the UK Government for uplifting universal credit by £20 per week but emphasises the need to extend it permanently due to ongoing economic hardships. Argues that the current uplift is insufficient compared to cuts since 2010, with families losing an average of £1,600 annually even with the increase. Highlights testimonies from individuals affected by legacy benefits exclusion and calls for permanent extension of the uplift.
Huw Merriman
Con
Bewdley
Merriman defends the Government’s response during the pandemic, supports the £20 universal credit increase and criticises Labour for not specifying how they would fund their proposed extension of the benefit.
Stephen Timms
Lab
East Ham
Timms criticises the Government's lack of responsiveness to issues regarding the five-week delay in Universal Credit payments, urging for new starter payments and dismissing the Department’s refusal to conduct research on the impact. He raises concerns over potential cuts to Universal Credit and their effects on child poverty.
Stephen Crabb
Con
Beaconsfield
Crabb praises the performance of universal credit during the pandemic, highlighting its importance in supporting family incomes at the bottom scale. He argues for extending the £20 a week uplift for another 12 months to ensure economic recovery and improve labour market opportunities.
Kate Osamor
Lab Co-op
Edmonton and Winchmore Hill
Osamor supports the motion, emphasising the harsh impact of the pandemic on her constituents. She calls for reconsideration of the Government's decision to exclude legacy benefit recipients from the £20 uplift.
I am proud of the incredible package of support that has been put forward by the Government to assist families and those struggling during these times. Over £280 billion has been brought forward to support people’s jobs and incomes through this emergency, praised by the IMF as 'one of the best examples of co-ordinated action globally'. The uplift in universal credit amounts to £1,000 extra a year, providing a safety blanket for those struggling during furlough's end. More people are using universal credit than ever before due to increasing economic pressures. In my constituency, local community resilience groups and volunteers have been remarkable in supporting the pandemic response but now risks pushing communities backwards without continued support.
Neil Coyle
Lab
Bermondsey and Old Southwark
The Government's actions will add to despair during a time of rising unemployment and restrictions. The universal credit system, despite costing more than the legacy system, actually helps fewer people with delays in payments causing food bank usage to rise dramatically. In my constituency, constituents have faced issues such as receiving only £17.68 for their first monthly payment or having their combination of furlough and universal credit not covering rent and bills, necessitating reliance on local food banks.
As a new MP, I am fascinated by the workings of this House during Opposition day debates. The Government’s measures so far through the pandemic have been truly groundbreaking and show that the uplift in universal credit is crucial for those struggling.
James Murray
Lab Co-op
Ealing North
The cut to universal credit will hit millions of the poorest families, especially in my constituency where 44% of children are living in poverty. A constituent, Clare, wrote about how the £20 weekly boost has allowed her family to afford books and nutritious food while caring for an autistic son with severe COPD.
Sarah Dines
Con
Derbyshire Dales
As a new MP, Sarah Dines has expressed her admiration for the Government's measures during the pandemic, citing evidence that shows these measures have been groundbreaking and worth over £280 billion. She notes specific initiatives such as the £6 billion increase to welfare, £1 billion in catch-up funding for schools, and the £30 billion plan for jobs. Dines emphasises her belief that the way out of poverty is through work and supports the Government's approach to reducing the impact of the crisis on income losses by up to two-thirds.
In a brief interjection, Nigel Evans acknowledged Sarah Dines' contribution, noting that her speech was clear despite not being visible during the debate.
Ruth Edwards
Con
Great Yarmouth
Ruth Edwards praised the Government's response to the pandemic as unprecedented and comprehensive, highlighting a £280 billion support package that included grants, furlough scheme, self-employed income support scheme, council tax hardship fund, and other measures. She emphasised the need for proper consideration and costing of any further enhancements, such as Labour’s proposal to extend the temporary increase in universal credit by an additional £6 billion annually.
Mick Whitley
Lab
Birkenhead
Whitley supports the motion, expressing concern over the potential cut to the £20 uplift for those on universal credit at the end of March. He highlights the significant rise in unemployment and financial struggles faced by his constituents due to the pandemic. Whitley stresses that the temporary increase is a vital lifeline for many families and its removal could lead to human suffering, particularly among children who may go hungry or face eviction.
Marson proudly states the unprecedented support provided by the Government during the pandemic, noting £280 billion committed in support for jobs and incomes. She highlights initiatives such as the furlough scheme, government-backed loans, protection for renters, energy price cap extension, and other measures. Marson emphasises that long-term decisions about universal credit should be taken in March's Budget context, given economic levers and situations.
Arfon
Called for the addition to universal credit to be made permanent and extended to legacy benefits. Highlighted the hardship faced by millions in Wales and across the UK, with over a third of Welsh households set to lose more than £1,000 annually if the cut goes through. Emphasised the need for welfare powers to be devolved to the Senedd.
Gagan Mohindra
Con
South West Hertfordshire
Acknowledged the importance of universal credit in providing a safety net during unprecedented times and praised the Government's proactive measures since the start of the pandemic. Noted that language is important when introducing temporary measures, stressing that leaving decisions about policy until March is appropriate.
Debbie Abrahams
Lab
Oldham East and Saddleworth
Critiqued universal credit's design flaws and significant cuts in social security spending since 2015. Highlighted the negative impacts on health and well-being, with reports showing increased psychological distress among UC claimants. Emphasised the need for reassurance during uncertain times, urging the Chancellor to retain the £20 per week uplift and extend it to legacy benefits.
Andrew Gwynne
Ind
Gorton and Denton
Stressed that 9,147 of his constituents will be affected by the cut. Cited figures from The Trussell Trust showing a potential increase in food bank use if universal credit is reduced. Called for unity across political lines to support those in need, urging MPs to do the right thing and vote against the cut.
Saqib Bhatti
Con
Meriden and Solihull East
Throughout the course of the pandemic, we have seen the Government proactively provide support to those who have needed it, when they have needed it most—support measures worth £280 billion, including the coronavirus job retention scheme, £170 million to support food poverty over the winter period, a £500 million hardship fund, £6 billion in increases to welfare and £670 million to help people pay their council tax bills; along with an increase of almost £1 billion last year to increase the local housing allowance programme. This has all helped to ensure that there has been a degree of security for my constituents in their most anxious moments.
Claire Hanna
SDLP
Belfast South and Mid Down
The number of universal credit claimants in my constituency has increased by 145% in the year to November. The social security net is already unfit for purpose, with lone parents losing around 10% of their income due to existing cuts. The uplift was the right thing for the Government to do, but there is no case for removing it now as this would be a loss to local shops precisely when they need it most.
Laura Trott
Con
Sevenoaks
We provided comprehensive support through the £20 universal credit uplift, furlough scheme, hardship fund, winter support grant and catch-up schemes. It is inexplicable to scrap this now given what we inherited from the Labour Government—a welfare system that was a trap for those trying to work their way out of poverty. We need to provide re-training, help to get into work and support families in numerous challenges they face.
Imran Hussain
Lab
Bradford East
For many families in Bradford, the increase to universal credit has been a lifeline during this crisis. Despite this small but necessary increase that helps keep them from poverty and financial distress, the Government plans to cut it starting April, which would cripple already struggling household finances and plunge hundreds of families into deeper poverty.
Fay Jones
Con
Brecon and Radnorshire
Universal credit has supported over 5 million households during the pandemic, showing its value in supporting those who have been hardest hit. The Government's economic response to the pandemic is being praised by the International Monetary Fund for its effectiveness. Maintaining the £20 uplift would require a significant tax hike and impacts on drivers. Universal credit is one tool but not the only solution; schemes like kickstart and restart are also crucial in tackling poverty.
Alison McGovern
Lab
Birkenhead
The existence of food banks highlights severe issues with low pay and uncertain incomes. The social security system needs to support families struggling due to low-paid work or disability, making sure the indignity of food banks is no longer necessary. Cuts to child benefit have squeezed all families with children for a decade, leading to severe consequences in low-paid jobs. The current crisis has worsened these issues; protecting our children and ensuring they are not sent the message that the state does not care about them is paramount.
Tom Randall
Con
Gedling
Opposition day debates do not decide on matters like a normal legislative process. The Labour party's approach can lead to emotionally charged situations and negative consequences for MPs. While Labour claims moral victories, it does not address fundamental issues the Government must tackle. This Government is taking action through various schemes such as the hardship fund, kickstart scheme, restart scheme, and more, supporting Gedling residents during tough times.
Gerald Jones
Lab
Merthyr Tydfil and Aberdare
Mr. Jones argues against the planned cut to the universal credit uplift, emphasising its importance for over 6 million families during a pandemic-induced recession. He notes that the £20 per week uplift is crucial in preventing food insecurity and economic hardship, particularly given the current peak of the second wave of the pandemic. Mr. Jones criticises the Government's management of both the health crisis and economy, suggesting that cutting this support will exacerbate poverty and unemployment.
Ms. Webb defends the government’s position on universal credit, arguing against permanent welfare increases due to fiscal constraints. She highlights the government's job creation initiatives and economic recovery plans as alternatives to maintaining the current uplift. Ms. Webb emphasises that the Government has provided extensive support during the pandemic and is cautious about additional spending until a clearer economic outlook emerges.
Wendy Chamberlain
Lib Dem
North East Fife
Ms. Chamberlain supports extending the £20 uplift to universal credit permanently, arguing it's essential for vulnerable individuals and families during an unprecedented economic crisis. She also calls for uplifting legacy benefits and carer’s allowance similarly, criticising the government for excluding these groups from additional support despite their hardship. Ms. Chamberlain critiques Universal Credit for its flaws in handling mental health issues among claimants and recommends suspending conditionality to address current unemployment challenges.
Grahame Morris
Lab
Easington
Supporting the motion, Morris emphasises the necessity of retaining the £20 uplift to universal credit due to its critical role in supporting millions of families. He criticises the Government for only considering this issue when it risks bad headlines and highlights the hardship caused by failing to uprate universal credit.
Chris Clarkson
Con
Heywood and Middleton
Clarkson argues against Opposition claims, noting that the Conservative government's schemes have been refined to meet changing circumstances. He emphasises the success of staff at the Department for Work and Pensions in managing increased demand and criticises the Labour Party for not offering constructive alternatives.
Sam Tarry
Lab
Ilford South
Tarry condemns the Government's decision to end the £20 uplift, calling it callous. He highlights the impact on more than 6 million families and over 300,000 children at risk of poverty, emphasising that this is a time for increased support rather than cuts.
Anneliese Dodds
Lab Co-op
Oxford East
The Government's threat to cut universal credit is a political choice that targets ordinary families. The Opposition has called for the uplift to be maintained during this crisis, arguing it is morally untenable and economically nonsensical, leading to the highest rise in poverty rates since the 1980s.
Stephen Timms
Lab
East Ham
Stephen Timms questioned the Government's decision to make families who claim universal credit wait until March to find out if their benefits will be cut by nearly a quarter, arguing that the Government needs to announce decisions sooner.
William Wragg raised a point of order regarding potential confusion during voting due to face masks potentially hiding shouts from Opposition Whips. He requested clarification on whether this rendered the vote invalid, but was assured by the Deputy Speaker that everything proceeded correctly.
In response to William Wragg's point of order, Rosie Winterton clarified that despite face masks, voting proceeded normally with shouts of 'Aye' and 'No'. The Chamber was suspended for three minutes before resuming.
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