Unemployment Benefit (Hansard, 9 December 1947)

§ 30. Mr. McGovern
asked the Minister of National Insurance if he will consider increasing the amount of the weekly allowances paid to unemployed men and women, as they bear no relation to the present cost of living.

§ Mr. Steele
Unemployment rates will be raised next summer, when the National Insurance Act is brought into operation.

§ Mr. McGovern
Is the Minister aware that we are now in the midst of winter? Is he further aware that the is now worth only about 12S., and, therefore, that the unemployed today are drawing less than at the beginning of the last war? In these circumstances, does not he consider it a matter of urgency that these rates should be raised by using the substantial funds already in existence?

§ Mr. Steele
The whole matter of subsistence and assistance was fully dealt with during the Second Reading Debate on the National Insurance Act. It was found then that it was undesirable to have any automatic adjustments so far as statutory benefit was concerned. I do not think it is generally appreciated that people on standard benefit can make application for unemployment assistance.

§ 31. Mr. McGovern
asked the Minister of National Insurance if he will consider granting a rent and fuel allowance to all unemployed men and women, in addition to the present allowance.

§ Mr. Steele
Unemployment benefit is paid at fixed rates, but it is open to unemployed persons who are in need to apply for supplementation of their insurance benefit by way of unemployment assistance. This is intended to provide for fuel, as well as other normal needs, except rent. Rent is specially provided for by an addition to the appropriate scale rate.

§ Mr. McGovern
As this principle was recognised by the Assistance Board, will my hon. Friend ask the Minister to take into consideration the fact that although some unemployed men may be paying 7s. a week rent, others may be paying over £1? Is my hon. Friend aware that a revision of these rates to give allowance for rent, quite apart from unemployment assistance, is badly needed?

§ Mr. Steele
As far as the National Assistance Bill is concerned, it should be understood that the National Assistance Board will be looking at these regulations which will be come up for discussion before the Act is put into operation.