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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 26 October 2006

(Morning)

[Mr. David Amess in the Chair]

Welfare Reform Bill

Clause 10

Work-focused health-related assessments
9.10 am
Danny Alexander (Inverness, Nairn, Badenoch and Strathspey) (LD): I beg to move amendment No. 31, in clause 10, page 9, line 17, at end add
‘who has undertaken such training in work-related needs and support as may be prescribed.’.
The Chairman: With this it will be convenient to discuss amendment No. 261, in clause 10, page 9, line 17, at end add—
‘(9) A health care professional will not be approved by the Secretary of State unless he has undertaken such training in disabilities and health conditions as the Secretary of State may by regulation prescribe.’.
Danny Alexander: Thank you, Mr. Amess. It is good to be under your chairmanship today. The weather has somewhat improved since our previous sitting, and long may that continue. I gather from the radio this morning that I will be confronting storms, snow, ice and all sorts of other things when I return to my constituency this evening, so I hope that the atmosphere in the Committee this morning will be more in keeping with the atmosphere outside than with that in my constituency this evening.
Both the amendments would introduce training requirements into clause 10, which relates to work-focused health-related assessments. Amendment No. 31 specifies training in work-related needs and support. Amendment No. 261 refers to a health care professional having
“training in disabilities and health conditions”.
Both amendments seek to probe the Government’s intentions regarding the training of those who will carry out work-focused health-related assessments, and I gather that the Under-Secretary of State for Work and Pensions, the hon. Member for Stirling (Mrs. McGuire), will respond to the debate, so my comments are addressed to her. I raise the issue because it was suggested in our previous debate that the assessments could sometimes be undertaken by different health care professionals from those who will carry out the limited capability for work and the limited capability for work-related activity assessments, and we had a good debate about the training needs of those involved.
Mr. Jeremy Hunt (South-West Surrey) (Con): May I, too, welcome you back to the Chair, Mr. Amess? I look forward very much to serving under you as we discuss all the issues before us.
I want briefly to add to the comments made by the hon. Member for Inverness, Nairn, Badenoch and Strathspey (Danny Alexander). When we discussed training earlier, the Under-Secretary gave us an assurance that people would be provided with all the training necessary to ensure that what is envisaged in the Bill happens. However, I wonder whether she could respond a little more fully on that issue, because there are widespread concerns among disabled people and the organisations that represent them about the level of training to be given to those who do the assessments and to Jobcentre Plus staff. I know that the Under-Secretary takes a great interest in this issue, so could she say a little more specifically about what training will be undertaken to ensure that people understand hidden disabilities? People with learning disabilities, for example, are concerned that those disabilities might not be understood because they are not visible.
There is widespread concern about these issues, and I know that the Department will have the right intentions, but with the greatest respect to Ministers, it has not always delivered to the highest standard. Will the Under-Secretary therefore give some reassurances in that respect?
The Parliamentary Under-Secretary of State for Work and Pensions (Mrs. Anne McGuire): Like my colleagues, I am delighted to be here and to be under your chairmanship, Mr. Amess. It must be lovely to be the Chairman of a Committee, by the way. I do not know of any other group of MPs who get so many compliments so early in the morning—and sometimes even late at night; but I shall not go down that road.
I can offer the Opposition considerable reassurance. I understand the reason for their concern and for their wanting matters to be spelled out in Committee. As currently happens with Atos Origin doctors, all the health care professionals who will be involved in the process will undergo training specified and agreed by the Department’s chief medical adviser before being approved by the Secretary of State to carry out assessments. That will ensure that health professionals who carry out the work-focused health-related assessments will have been trained to the standard that the Secretary of State expects and thinks appropriate. A health care professional who has not been trained to that level will not be approved.
Alison Seabeck (Plymouth, Devonport) (Lab): I am reassured by that. Will the Under-Secretary further reassure the Committee that the number of trained people will be sufficient to provide capacity in the system to manage any surge that might happen at the beginning of the roll-out, such as was described by my hon. Friend the Member for North-East Derbyshire (Natascha Engel) with reference to pathways to work in her constituency?
Mrs. McGuire: I can give my hon. Friend that assurance because we have set quite exacting targets for the gateway process and in our expectations of the health professionals. It is in everyone’s interest to make sure that that works properly, and that will be part of the continuing discussions with Atos Origin. We also need flexibility to change the training requirements,as may be necessary in the future. That is one reason why the amendments are unacceptable—although I appreciate that they are probing amendments.
I particularly want to reassure the hon. Member for South-West Surrey (Mr. Hunt) that hidden disabilities will be one aspect of the training for the relevant health professionals. I hope that the whole Committee will accept our commitment: the training currently prescribed by the Secretary of State requires each practitioner to have a personalised continuous development plan, which includes models relating to a wide spectrum of medical subjects, including specific conditions. Practitioners must, in addition, undertake a series of modules on non-medical subjects such as cultural awareness. They may have to work with broader issues than just the medical side in their capacity as health professionals undertaking such important assessments.
I hope that that reassures the Committee, and, in particular, the hon. Member for Inverness, Nairn, Badenoch and Strathspey, so that he will feel able to withdraw his amendment.
Danny Alexander: I am grateful to the Under-Secretary for those remarks. She has given the reassurance that I wanted, so I beg to ask leave to withdraw the amendment.
Amendment, by leave, withdrawn.
Question proposed, That the clause stand part ofthe Bill.
Danny Alexander: With your leave, Mr. Amess, there are some broader issues about the conditionality regime in the Bill that I should like briefly to draw to the attention of the Committee, and on which I should like to seek some assurances from the Under-Secretary of State. Those considerations pertain not just to clause 10 but to clauses 11 to 13, all of which come under the heading “Conditionality” in the Bill. I hope that discussing the matter now may help us to expedite proceedings on those clauses.
In our sitting on Tuesday afternoon the Minister of State entered into a quite lively discussion about the level of funding for pathways to work. I should like to return to that. It is important to put it on the record that the Bill, understandably, and, provided that the reassurances that I seek are given, justifiably, makes it clear, as he said in language that I would endorse, that it is based on the idea of responsibility. It is based on the idea that provided the support for individuals is in place and they are part of the work-related activity component, they have some degree of responsibility for availing themselves of that support. The Bill dwells at length on the individual’s responsibility, which is again understandable, given the nature of legislation in this area, but it does not dwell on the Government’s responsibilities.
I wish to press Under-Secretary of State a little on the reciprocal responsibility that exists on the part of the Government in exchange for the responsibility that individual claimants are being asked to undertake under these and other clauses relating to conditionality. I am sure that the Ministers would agree that it is important that the Government fully carry out their part of the bargain. It has been described as a something-for-something package: claimants are asked to give something in terms of responsibility and the Government undertake to provide something in terms of support to get them back into work. That is a reasonable proposition.
It is important to say that the Government have a particular responsibility, although it is not stated in the Bill, to reassure the Committee on a number of points. The first relates to funding, which we debated a little on Tuesday afternoon. I have carried out further work on that, partly as a result of the Minister of State’s prompting, building on written answers that he and his colleagues have provided to me over some months. I examined what the costs per claimant in the pathways regime were, and what they might be expected to be, given the predictions of the onflows on to incapacity benefit over the next few years, in the two-year period for which the £360 million has been allocated.
I do not wish to go through all the references in all the parliamentary questions on which this is based. However, if one takes into account all the different available elements in the pathways pilot areas within the choices package, the number of people who have been helped and the percentage of people who have been participating in the different elements of pathways, one comes to an estimate of the annual cost per claimant within the pathways project of £571 a head. My calculations, which are based on the figures that have been provided in answer to questions about the expected onflows on to IB—in other words, the new claimants to whom initially this is devoted— suggest that, even if the full £360 million were to be devoted entirely to the roll-out of pathways, which I shall come on to in a second, the annual funds per participant allocated for the national roll-out of pathways to work would be less than £327 a head.
I would be happy for Ministers to correct my figures or to give their own estimates. If the entire £360 million is to go to pathways, and one is talking only about new claimants over this period, on those calculations, there is a funding gap of £268 million.
On Tuesday, the Minister of State fairly made the point that the Government would spend whatever was necessary—that might not be an exact quote—and sought to make reassuring noises on this important point. I am delighted to hear reassuring noises from the Ministers in Committee, but I would be even more delighted and reassured to hear similar noises from the Chancellor of the Exchequer in his pre-Budget report about the sums that will be spent. This is a serious point, because if we are telling employment and support allowance claimants that they are expected to be part of a conditionality regime, it is important to make it clear to them that the promised help will genuinely be available at the promised levels throughout the country. That is the first point on which I would be grateful for the Under-Secretary’s response. The equation is simple: if there are to be responsibilities and obligations, there must also be opportunities for people to obtain the help that they need.
The Under-Secretary may want to debate whether my calculations are accurate and whether the £360 million is insufficient, but there is a second serious question on which the Committee would like reassurance. What proportion of that £360 million will be spent on the pathways to work roll-out—I raised that earlier but, perhaps due to the temper of the debate, it was not addressed—and what will be spent on other things? I understand that Ministers will seek leave to start spending money on implementing aspects of the Bill in advance of Royal Assent—that is an established procedure—particularly on setting up the benefit, which is understandable as there is not much controversy about the benefit. If that is the intention, will the Under-Secretary explain what proportion of the £360 million will be spent on benefit administration—setting up computer systems and so on—so that the Committee will have a genuine idea of how much will be spent on providing support and assistance for ESA claimants and how much will be spent on the necessary administrative tasks that will underpin the benefits?
A third aspect, which again relates directly to the nature of the proposed conditionality regime, is the extent to which the pathways to work regime is successful for all groups of claimants. That was drawn to the Committee’s attention earlier, but I want to highlight two groups of claimants. The first is those for whom their first reason for claiming benefit is mental health, and I distinguish that from learning disabilities. Secondly, several charities representing older people have said that there is not much evidence that older workers have benefited from the pathways to work regime.
It is important that the Under-Secretary addresses that. Both older workers and those whose first reason for claiming benefit is mental health but who do not satisfy any of the 46 descriptors will eventually be subject to the conditionality regime for recipients of the work-related activity component. It is important that the Under-Secretary sets out what steps the Government are thinking about and what ideas they have to improve the available support within the pathways regime for those people. Given that the conditionality regime is the same, it is important that the Government make it clear how they will ensure that support and assistance is available through pathways. Pathways has been remarkably successful for some groups of claimants and that should be welcome on both sides of the Committee, but it has not been so successful for other groups.
On mental health, I draw the Under-Secretary’s attention to the work of Professor Lord Layard on depression and the availability of, for example, cognitive behaviour therapy services within the NHS. I wonder whether the shortage of such services at the moment is one of the causes of the condition management programme being less successful for people in that category. Perhaps she will reflect on that.
These are broader considerations about the fairness of the proposed conditionality regime and the degree to which the Government are prepared to play their full part in the bargain. I fully accept the Under-Secretary’s good intentions, but the spending plans of some Ministers in the Department are subject to an annual reduction of, I believe, 5 per cent. over the next two or three years. In that context, how does the Under-Secretary foresee funds coming forward to ensure that the available support for ESA claimants is sufficient to ensure that the full roll-out is available, not just for new claimants but for existing claimants and members of the support group who wish to take part, so that the hopes that have rightly been generated as a consequence of our discussions are fulfilled, and people are not left disappointed at the end of this process?
9.30 am
 
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Prepared 27 October 2006