Welfare reform legislation to be debated next month, MPs told

Independent

5 hours ago

Proposed legislation to reform the welfare system will be debated by MPs for the first time next month, Commons Leader Lucy Powell has announced.
MPs are also expected to vote on the Universal Credit and Personal Independence Payment Bill on July 1, when it receives its second reading in the Commons.
The Government has faced backlash from some Labour MPs over the 'damaging disability benefit cuts', which it has said could save up to £5 billion a year.
Ms Powell set the date for the Bill's second reading during business questions on Thursday.
Labour MP Neil Duncan-Jordan has accused the Government of 'rushing through' the Bill, adding: 'This isn't something I'm prepared to support.'
Ministers are likely to face a Commons stand-off with backbenchers over their plans, with dozens of Labour MPs last month saying the proposals were 'impossible to support'.
The reforms – aimed at encouraging more people off sickness benefits and into work – are set to include the tightening of criteria for personal independence payment (Pip), which is the main disability benefit, as well as a cut to the sickness-related element of universal credit (UC) and delayed access to only those aged 22 and over.
Work and Pensions Secretary Liz Kendall said the legislation 'marks the moment we take the road of compassion, opportunity and dignity'.
She added: 'Our social security system is at a crossroads. Unless we reform it, more people will be denied opportunities, and it may not be there for those who need it.'
In what could be seen as an attempt to head off some opposition, the legislation will give existing claimants a 13-week period of financial support.
The Department for Work and Pensions said this will apply to those affected by changes to the Pip daily living component, including those who lose their eligibility to Carers Allowance and the carer's element of UC.
But campaigners, including disability equality charity Scope, said the longer transition period, up from an originally expected four weeks, 'will only temporarily delay a cut and disabled people will continue to be living with extra costs when it comes to an end'.
As the Bill was formally introduced to the Commons on Wednesday, and the question was asked as to what the next date for debate will be, former Labour MP John McDonnell, who now sits as an independent for Hayes and Harlington, could be heard to say 'Never'.
Mr Duncan-Jordan, MP for Poole, is one of the members who has urged ministers to withdraw the cuts, which he has argued will 'make things worse' for disabled people.
Speaking to the PA news agency, he said: 'It's clear the Government are rushing through this change before MPs have received all the necessary impact assessments that they need to make a decision.
'The Bill lays out how large numbers of disabled people are going to be made poorer. This isn't something I'm prepared to support.'
Earlier this week, Mr Duncan-Jordan had said: 'The Government will only withdraw its damaging disability benefit cuts if Labour MPs make clear they will vote against them.
'The so-called concessions that have been suggested are nowhere near enough to undo the damage that is being proposed. The facts are undeniable: these cuts won't create jobs, they'll only push three million people deeper into hardship.'
The latest data, published on Tuesday, showed that more than 3.7 million people in England and Wales are claiming Pip, with teenagers and young adults making up a growing proportion.
Pip is a benefit aimed at helping with extra living costs if someone has a long-term physical or mental health condition or disability and difficulty doing certain everyday tasks or getting around because of their condition.
Data for Pip claimants begins in January 2019, when the number stood at 2.05 million.
An impact assessment published alongside Wednesday's Bill introduction confirmed previously published estimates that changes to Pip entitlement rules could see about 800,000 people lose out, with an average loss of £4,500 per year.
Ms Kendall previously said there are 1,000 new Pip awards every day – 'the equivalent of adding a city the size of Leicester every single year'.
The impact assessment also confirmed a previous estimate that some 250,000 more people, including 50,000 children, are likely to fall into relative poverty after housing costs in 2029/2030, although the Government repeated that this does not take into account the potentially positive impact of £1 billion annual funding by then for measures to support people into work.
Changes to UC are expected to see an estimated 2.25 million current recipients of the health element impacted, with an average loss of £500 per year.
But the Government said around 3.9 million households not on the UC health element are expected to have an average annual gain of £265 from the increase in the standard UC allowance.
While all of the Bill applies to England and Wales, only the UC changes apply to Scotland.
The Government said there are equivalent provisions to legislate for Northern Ireland included in the Bill.