Commons Sense

House of Commons · Ministers' Questions

Economic Recovery

Wednesday 1 July 2020 · 5 questions

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Answered 5 Partly answered 0 Not answered 0

Key points

  • Universal credit support has been increased during the COVID crisis, but the rule about less than six months to live for fast-track benefits remains.
  • Unprecedented sums are being provided to Scotland through a 3.8 billion business support package and the furlough scheme, which has supported 800,000 jobs.
  • Alister Jack defends the Barnett formula, stating it provides 125 per head of spending in Scotland for every 100 in England.

Topics (select to filter)

Questions & Answers

Q1 Drew Hendry SNP Inverness Nairn Badenoch and Strathspey
Economy Benefits & Welfare
Context

The UK is in the process of recovering from a pandemic, which has affected various sectors including benefits administration.

Question

Some individuals are facing more than just financial issues as we exit this crisis. A year ago, an APPG report highlighted heartless DWP rules that prevent terminally ill people from accessing fast-track benefits unless they have less than six months to live. Despite pressure from the APPG and others, there has been silence from the Government since launching a review. Meanwhile, thousands of individuals have passed away without receiving support. The Scottish Government committed to scrapping this rule when they take over PIP, but universal credit and employment and support allowance are reserved matters. Will the Secretary of State urge his colleagues to end this policy?

Answer from Alister Jack (Secretary of State for Scotland)

Universal credit support has been increased during the covid crisis, but the point about the last six months of life will be raised with the Secretary of State for Work and Pensions. If Drew Hendry writes to him on this subject, he would be pleased to push the case.

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Q2 Ian Murray Lab Carrick, Cumnock and Doon Valley
Economy Scotland Business & Trade
Context

Ian Murray discusses a tragic incident involving a three-year-old boy killed by a car in his constituency. He then addresses the economic challenges faced by Scotland as lockdown measures ease.

Question

He emphasizes the need for both UK and Scottish Governments to protect jobs and support businesses, particularly those hard-hit sectors like tourism, hospitality, and creative industries. Murray highlights that many freelancers working through pay-as-you-earn contracts are falling through the cracks of current Government schemes. He asks Alister Jack to commit to raising in Cabinet the need for additional support.

Answer from Alister Jack (The Parliamentary Under-Secretary of State for Scotland)

Jack acknowledges the challenges but emphasizes that unprecedented sums are being provided to Scotland through the £3.8 billion business support package and the furlough scheme, which has supported 800,000 jobs. He states he will continue to raise these issues with the Chancellor.

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Q3 Ian Murray Lab Carrick, Cumnock and Doon Valley
Scotland
Context

Murray criticizes the Scottish Finance Minister for questioning the Barnett formula and advocating for full fiscal autonomy.

Question

He questions whether Alister Jack has undertaken any analysis of how this policy would affect post-covid recovery. Murray also asks if the Secretary of State will work collaboratively with the Scottish Government to address immediate budget challenges.

Answer from Alister Jack (The Parliamentary Under-Secretary of State for Scotland)

Jack defends the Barnett formula, stating that it provides £125 per head of spending in Scotland for every £100 in England. He points out the support provided by the formula and warns against full fiscal autonomy, suggesting it would create significant economic challenges.

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Q4 Mhairi Black SNP Paisley and Renfrewshire North
Scotland
Context

Black notes that the Chancellor will be updating the House on the furlough scheme but asks specifically about any specific requests made by Alister Jack.

Question

She questions what recommendations and requests have been made to the Treasury regarding Scotland's needs, especially in sectors like tourism and hospitality.

Answer from Alister Jack (The Parliamentary Under-Secretary of State for Scotland)

Jack notes that discussions with the Treasury are confidential but highlights threats around tourism and hospitality. He criticizes the Scottish First Minister's comments about the border as irresponsible.

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Q5 Mhairi Black SNP Paisley and Renfrewshire North
Scotland Benefits & Welfare
Context

Black addresses the issue of public health decisions made by Scotland. She then asks about the UK Government's stance on universal basic income.

Question

She questions why the UK Government is blocking Scotland's universal basic income trial and seeks assistance from Alister Jack to unblock it.

Answer from Alister Jack (The Parliamentary Under-Secretary of State for Scotland)

Jack argues against universal basic income, stating that it is not targeted at those who need it most and can increase poverty. He mentions successful trials elsewhere have been abandoned due to these issues.

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