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Session 2005 - 06
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Standing Committee Debates
Welfare Reform Bill

Welfare Reform Bill



The Committee consisted of the following Members:

Chairmen: Mr. David Amess, Mr. Jimmy Hood
Afriyie, Adam (Windsor) (Con)
Alexander, Danny (Inverness, Nairn, Badenoch and Strathspey) (LD)
Banks, Gordon (Ochil and South Perthshire) (Lab)
Boswell, Mr. Tim (Daventry) (Con)
Brown, Mr. Russell (Dumfries and Galloway) (Lab)
David, Mr. Wayne (Caerphilly) (Lab)
Engel, Natascha (North-East Derbyshire) (Lab)
Heppell, Mr. John (Vice-Chamberlain of Her Majesty's Household)
Hunt, Mr. Jeremy (South-West Surrey) (Con)
Laws, Mr. David (Yeovil) (LD)
McGuire, Mrs. Anne (Parliamentary Under-Secretary of State for Work and Pensions)
Mountford, Kali (Colne Valley) (Lab)
Murphy, Mr. Jim (Minister for Employment and Welfare Reform)
Penrose, John (Weston-super-Mare) (Con)
Robertson, John (Glasgow, North-West) (Lab)
Ruffley, Mr. David (Bury St. Edmunds) (Con)
Seabeck, Alison (Plymouth, Devonport) (Lab)
John Benger, Chris Shaw, Committee Clerks
† attended the Committee

Standing Committee A

Thursday 19 October 2006

(Afternoon)

[Mr. David Amess in the Chair]

Welfare Reform Bill

Clause 8

Limited capability for work
Amendment proposed [this day]: No. 255, in clause 8, page 6, line 7, after ‘work’ insert ‘or work-related activity’.—[Mr. Hunt.]
1.30 pm
Question again proposed, That the amendment be made.
The Chairman: I remind the Committee that with this we are discussing the following amendments: No. 256, in clause 8, page 6, line 9, after ‘determined’ insert ‘by a single assessment’.
No. 251, in clause 8, page 6, line 24, after ‘work’ insert ‘or work-related activity’.
No. 252, in clause 8, page 6, line 27, after ‘work’ insert ‘or work-related activity’.
The Minister for Employment and Welfare Reform (Mr. Jim Murphy): Welcome back, Mr. Amess. Mr. Hood was here for the shorter sitting this morning. If our proceedings do last for three hours I hope that you do not develop that Scottish dialect that seems to be so common in the Committee.
Mr. Jeremy Hunt (South-West Surrey) (Con): With a bit of Surrey thrown in.
Mr. Murphy: Well, in passing the baton to you, Mr. Hood will have confirmed that we had a really constructive debate. I see no reason why that should not continue this afternoon. He allowed us some latitude in our debate on clause 8 to wander on to related aspects of clause 9. I understand that you, quite rightly, will rule it out of order if we stray too far in that direction. The clauses are closely connected. Mr. Hood also allowed the hon. Member for South-West Surrey (Mr. Hunt) to refer to the fact that I was the only Member of Parliament who at some point in the past could name the five Spice Girls. I do not know whether it is because I am getting older but I am unable to name the four members of the Arctic Monkeys or the four members of The Killers.
Gordon Banks (Ochil and South Perthshire) (Lab): Are there four?
Mr. Murphy: Well, perhaps I am a little more in touch than my hon. Friend. Let me make some progress, as that is not what we are here to talk about.
A number of points have been raised. I share in the enjoyment of the comments of the Under-Secretary of State for Work and Pensions, my hon. Friend the Member for Stirling (Mrs. McGuire). We heard from her this morning and we will hear from her in much greater detail as we deal with various clauses. Not only did she manage to secure that constituency in Stirling, but she inadvertently created the Conservative party’s current problem. The gentleman she defeated is the author of their tax report, which they are both for and against today.
Mr. David Ruffley (Bury St. Edmunds) (Con): Consensus, please.
Mr. Murphy: Okay. I will move on.
Mr. Hunt: Does the Minister welcome the economic prosperity that the low-tax climate of the 1980s engendered? We have been able to be much more generous in disability benefits since then than we might have been had we followed the policies advocated up to 1979.
The Chairman: Order. We will not go down that road.
Mr. Murphy: Of course we should not go further down that road. We will at various points in our proceedings allude to the levels of child poverty and workless households and the trebling of people on incapacity benefit and the fact that the first act of any Conservative Government when they came to power was to cut benefits.
Mr. Hunt rose—
Mr. Murphy: I will not give way. We will try to make some progress on the basis of consensus. The hon. Gentleman quite fairly reminded the Committee of the prevalence of poverty in households where there is one or more disabled adult or one or more disabled child. He is aware that there is a Treasury-led review of some of these issues. Like me, he attended some of the hearings, chaired very ably and eloquently by my right hon. Friend the Member for Coatbridge, Chryston and Bellshill (Mr. Clarke) and my hon. Friend the Member for Blackpool, North and Fleetwood (Mrs. Humble).
The hon. Gentleman is absolutely right to identify that prevalence: 26 per cent. of children in poverty in the UK today live in a household with one or more disabled adult. There is a clear connection, which is why the hon. Member for Inverness, Nairn, Badenoch and Strathspey (Danny Alexander) reminded us that one of the key aims of the Bill is to make a contribution to eradicating that relative child poverty. Our assessment is that they number around 100,000 when one considers that about one in six of the people on incapacity benefit have a dependent child.
I turn now to the specific points that have been raised. One point was raised slightly tangentially by my hon. Friend the Member for Glasgow, North-West (John Robertson) and others about the level of confusion and the need for continuous and repeat assessments. Of course we should seek to minimise the need for repeat assessments, which should be a key element of our business design processes, with one important caveat: we seek continually to measure and assess fluctuating physical and mental health conditions, so it would be entirely appropriate to set up a system of regular assessments; indeed, we would be criticised if we did not do so. As we discussed in an earlier sitting, the personal capability assessment review is not a snapshot in time but a measurement of a citizen’s or customer’s experience of their disability or limitation over a period.
Mr. Tim Boswell (Daventry) (Con): Does the Minister agree that the golden thread running through the decision making should be whether the assessment process is genuinely intended to be supportive of the claimant rather than punitive? If the Minister, with his greater eloquence than mine, can persuade people that it is in their interests to undergo multiple assessments, which are something of an ordeal, in order to get a picture of their situation, that is one thing, but constantly nagging them in the interests of a bureaucratic system would be seen as another.
Mr. Murphy: The hon. Gentleman makes a fair point that relates to the issue of confusion, particularly over the linking rules, which was raised earlier. As hon. Members know, constituents often say, “I think I might want to come off incapacity benefit and try the world of work but I would lose all my benefits. I am worried about what will happen to me if it doesn’t work out.” That is why the linking rules exist and why this month we implemented the extension of those rules from one year to two. I confirm that the linking rules will also apply in respect of employment and support allowance. If someone tries the world of work and it turns out not to be appropriate, for whatever reason, the improved linking rules from this month will be carried over on to ESA.
Kali Mountford (Colne Valley) (Lab): On the matter of the linking rules, which are very important in encouraging people to try the world of work, can the Minister confirm that it is also important that people take the advice of their personal adviser and find out what applies in their case, rather than listening to Doris next door and the gossip on the street?
Mr. Murphy: That is a fair point, although I am not sure that the Government can legislate on it—
Kali Mountford: But they can give guidance.
Mr. Murphy: We cannot stop people passing on gossip on the street. However, the availability of strong and clear advice is important.
Danny Alexander (Inverness, Nairn, Badenoch and Strathspey) (LD): I agree with the Minister’s point, but is it not also important to ensure that staff at Jobcentre Plus give accurate advice? In particular, when someone is applying for one benefit they should also be given advice on their entitlement to other benefits, if any, so that people get what they need in full. Is the Minister concerned about cases in my constituency in which someone has turned up to claim benefit and the security guard at the door of Jobcentre Plus has said, “Oh no, you’re not entitled”? That has been a barrier to people, which should not have been there.
Mr. Murphy: In general, I agree with the hon. Gentleman, but if he is seriously suggesting that a security guard in a jobcentre in his constituency is making assessments of benefit entitlement then that is a very serious allegation, and he should bring it to my attention and I shall investigate it. He has said it on the record today, so I look forward to the evidence being provided.
Mr. Boswell: While we are on the same general thought, and without allegations being entered into against our own company, will the Minister also consider the possibility of a public information campaign through MPs to their constituents? Understanding should not be confined to the anoraks who grace the Committee—even partially—with their comprehension of matters; the general body of MPs who are trying to advise their constituents and point them in the right direction should understand the changes and be able to explain that they are not intended to be penal.
Mr. Murphy: That is another fair point, in response to which I have two comments. First, the hon. Gentleman’s point has importance even while the Bill is passing through Parliament, because we all know the diversity of the conditions experienced by our constituents—the frustrations and worries that some of them may have when they hear a conversation in Parliament about welfare reform. Thus far, the debate at a political level has been entirely appropriate, and there has not been the type of scaremongering that has sometimes occurred in the past, fairly or unfairly. We all have a responsibility to consider the tone and content of our conversation on welfare reform, so that those who pick up newspapers or who hear a clip on Radio Five Live or Radio 4, or wherever, do not inadvertently take the wrong message from our deliberations.
Mr. Ruffley: On that point, will the Minister join me in deprecating the use in certain newspapers of banner headlines that refer to scroungers and cheats? On a glance from the general reader, such headlines imply that anyone who claims benefits may potentially want to work the system, as such newspapers suggest. All of us here should be extremely careful to ensure that the debate is conducted in the terms that the Minister just described.
Mr. Murphy: That point is entirely fair. The hon. Gentleman may wish to put on the record the newspapers that he considers to be most culpable.
 
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Prepared 20 October 2006