Commons Sense

House of Commons · Ministers' Questions

Universal Credit Uplift

Wednesday 15 September 2021 · 7 questions

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

At a glance

Answered 1 Partly answered 3 Not answered 0

Key points

  • Ministerial discussions on the effect of removing the 20 universal credit uplift were held, focusing on its temporary nature due to the pandemic.
  • The Secretary of State committed to supporting families in need through long-term economic plans like the levelling-up fund.
  • The Secretary of State rejected accusations that the government's actions would harm Welsh businesses and economy, emphasizing various UK Government interventions.

Topics (select to filter)

Questions & Answers

Context

Discussions about the impact of removing the £20 universal credit uplift on low-income families in Wales.

Question

What recent discussions have you had with Cabinet colleagues and the Welsh Government on the effect of the planned removal of the £20 universal credit uplift on low-income families?

Answer from Simon Hart

We have always been clear that the universal credit uplift was temporary to help people through the economic shock of the pandemic. We are committed to supporting families most in need and planning a long-term route out of poverty by helping people find work.

Partly answered

Not addressed: No specific commitment or timeline for publishing an impact assessment.

How: Committed

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Context

Over a third of those receiving universal credit are in work and will face an additional burden from the cut to universal credit. UK inflation has risen to its highest level since 1997.

Question

More than a third of all those who receive universal credit are in work and will now have to pay an extra £100 a year in national insurance contributions while also suffering a cut of £1,040 per year. Will the Secretary of State use his influence to push for the publication of any impact assessment or analysis of the consequence of this cruel cut to universal credit?

Answer from Simon Hart

We take extremely seriously representations on this subject from colleagues across the House, charities and other bodies. Of course, one of the things the Government are absolutely committed to is to rebalance the economy, both local and national, through plans such as the levelling-up fund.

Partly answered

Not addressed: No specific commitment or timeline for publishing an impact assessment.

How: Committed, Taking Seriously

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Context

A quarter of a million Welsh families are facing a loss of over £1,000 per year due to the Government's decision to cut universal credit. Many recipients in Wales are key workers.

Question

What does the Secretary of State have to say to those families and their children who are struggling to make ends meet now and will be so much worse off as a result of this cut?

Answer from Simon Hart

I touched on the temporary nature of the increase and mentioned plans such as the levelling-up fund, which are going to enhance and improve the economy in Wales. We have also increased the personal threshold on NICs and raised the national living wage.

Partly answered

Not addressed: No specific assistance or commitment to struggling families.

How: Taking Seriously, Committed

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Context

Families on low income in Wales will be losing money locally spent at Welsh shops and businesses. The cut to universal credit is estimated to suck out £286 million per year from the Welsh economy.

Question

This is a real hit to Welsh businesses just as they need it most. Does this not suggest that the Tories are taking away money from Welsh businesses?

Answer from Simon Hart

I reject the accusation and point out that UK Government Treasury has offered levels of help during the pandemic. The suggestion is that none of our remedial measures will work, which I disagree with.

Not addressed: Entirely changed subject from economic impact to defending government actions.

How: Rejecting Accusation

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Context

The economies of north Wales and the north-west of England are closely connected through nuclear industry sites.

Question

Does my right hon. Friend agree that those economies work well together to solve problems in the nuclear industry, and that the North West Nuclear Arc is something we should be very proud of?

Answer from Simon Hart

I absolutely agree with my hon. Friend about the economic region and the economic drivers, recognising that administrative boundaries can sometimes be an impediment to investment.

Answered
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Context

The cut to universal credit will make more than four in 10 families with children over £1,000 worse off. Government policy will take out an estimated £286 million from the Welsh economy.

Question

What assessment has he made of the effect of the £20 cut in universal credit on the Welsh economy?

Answer from Simon Hart

The right hon. Lady did not listen to my answers on this subject, and her statement is predicated on the basis that none of our economic interventions will have any positive effect at all.

How: Criticising

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Q7 Liz Saville-Roberts PC Dwyfor Meirionnydd
Context

The MP highlights a series of actions by the UK government that she believes have negatively impacted Wales, including a £300 million loss as per the United Kingdom Internal Market Act 2020.

Question

It is clear that the Government are content that Wales loses almost £300 million. The pattern is clear from the United Kingdom Internal Market Act 2020, trade agreements, the control of state aid and now plans to cut the number of Welsh MPs from 40 to 32: the right hon. Gentleman's Government are taking from Wales and giving to Westminster. Anyone can see that levelling up will only happen when we have a strong Parliament in Wales empowered to do the job and directly answerable to the people of Wales. We all know there is a reshuffle going on; is now the time to reshuffle the Wales Office out of existence?

Answer from Simon Hart

The right hon. Lady will not be surprised to learn that I am not going to rise to the last of the baits she dangles in front of me, but she needs to make her mind up about whether she wants Westminster representation or not: she complains on the one hand that the numbers might be reduced, whereas in fact they are being equalised to be fairer, and on the other that we should not be here at all.

Not addressed: The specific question about reshuffling the Wales Office out of existence was avoided

How: Baits She Dangles In Front Of Me

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