HC Deb 16 November 1998 vol 319 cc588-91
2. Mr. Tony McNulty (Harrow, East)

If he will make a statement on progress on the new deal for lone parents. [58367]

7. Laura Moffatt (Crawley)

What assessment he has made of progress on the new deal for lone parents. [58372]

16. Mr. Andrew Miller (Ellesmere Port and Neston)

What progress has been made in helping lone parents to move into work. [58381]

18. Mr. Shaun Woodward (Witney)

If he will make a statement on the progress of the new deal for lone parents. [58384]

The Secretary of State for Social Security (Mr. Alistair Darling)

The new deal for lone parents, which became available nationwide on 26 October, for the first time offers all lone parents on income support a personal adviser service to help them to overcome the barriers to employment. Nine out of 10 lone parents who attended an interview agreed to participate in the programme, and more than a quarter of those have moved into work.

Mr. McNulty

Will my right hon. Friend give an assurance that all the key lessons of the pilot schemes for the new deal for lone parents will be learnt and incorporated into the national programme as it unfolds? Will he ignore the whingeing and carping of Conservative Members, who when they were in power, did absolutely nothing for lone parents?

Mr. Darling

My hon. Friend is right. The new deal in general, and that for lone parents in particular, represents a major cultural change in the actions of the Department for Education and Employment and the Government. It was wrong to leave a growing number of lone parents out of the labour market when many could be substantially better off in work. The working families tax credit, which we shall introduce next year, will ensure that every working family is guaranteed an income for full-time work of at least £190 a week, but the Conservative party wants to scrap that measure.

Laura Moffatt

Does my right hon. Friend agree with me and Gemma, a lone parent adviser in my constituency, that lone parents have enthusiastically embraced the chance to go back to work? Does he agree also that immediate work may not be the only outcome and that lone parents understand that before they can embrace the world of work, training might be necessary, and that is what they are undertaking?

Mr. Darling

Again, my hon. Friend is right. Although Conservative Members may snigger, nine out of 10 lone parents who came for an interview joined the new deal. Some went into work and others needed to upgrade their qualifications, but the Conservative party would scrap the entire new deal and leave every one of those people high and dry. That is not the right approach for modem labour market conditions.

Mr. Miller

I am sure that my right hon. Friend will agree that many of the failings of changes in the social security system under the previous Administration resulted from an appallingly bad level of training. Will he assure the House that when the scheme is implemented, proper training systems will be put in place?

Mr. Darling

Yes. It is very important that advisers are properly trained and skilled because often they are dealing with people who have difficult circumstances at home, perhaps because they do not have support and help to look after young children. It is important also to ensure that everybody realises the benefits that will come from the new deal, not least the fact that the Government's national child care strategy is now being fully rolled out to ensure that people have child care. The working families tax credit, in addition to ensuring that families in full-time work get at least £190 a week, provides significant help towards child care, which can be a major barrier that in the past has prevented lone parents from going into work.

Mr. Woodward

The Secretary of State will know that only 50,000 people have been invited to participate in the scheme, but the Department of Social Security's own research statistics reveal that only 2 per cent. have left income support. Does he agree that the scheme does not work? Will he think again, find a better scheme and tell the House the true cost, based on those who have left income support, of this scheme?

Mr. Darling

The hon. Gentleman will be aware that the pilot stage of the scheme has just ended and the national scheme was announced at the end of last month. I do not agree with his central premise. This country has a larger proportion of lone parents out of work than any other major European comparator country. The Government have a clear duty to encourage those who want to work to do so and to give them the opportunities that they were denied under the previous Government, which the hon. Gentleman supported. In this day and age the Government cannot stand by and watch an increasing number of people and their children be excluded from mainstream life—we would not be prepared to endorse that approach.

Mr. David Rendel (Newbury)

Does the Secretary of State agree that when the Government tell people that they will punish them if they do not do something, that will tend to make them feel that the act is for the Government's benefit, not for theirs? Does he therefore accept that the introduction of compulsion into the new deal will not help him make progress with it?

Mr. Darling

Of course the new deal does not contain an element of compulsion. We have always made it absolutely clear that for perfectly good reasons no one will compel a lone parent to go into work. The hon. Gentleman may be referring to a different programme—the new single gateway into the benefits system for people of working age. The Government clearly have a duty to do everything that they can to help people to get into work. In turn, everybody who comes into the benefits system should at the very least be prepared to sit down and find out what is on offer.

The history of the past 10 to 15 years shows that if people stay outside the labour market for too long, they tend to stay out indefinitely, and no responsible Government can put up with that. I hope that instead of complaining about matters, the hon. Gentleman and his party whole-heartedly endorse our approach because getting people into work must be the right way to deal with the problems that we have inherited. I am glad that the hon. Gentleman agrees with that.

Miss Anne McIntosh (Vale of York)

On a point of order, Madam Speaker.

Madam Speaker

There is no point of order. We are in the middle of questions.

Mr. Frank Field (Birkenhead)

I agree very much with my right hon. Friend's comments about extending opportunities to those outside the labour market who are coming on to benefit for the first time. Is he in a position to tell us what penalty will apply to those who do not turn up for their interview?

Mr. Darling

As I told my right hon. Friend when I made my statement a short time ago, we believe that it is right that people who enter the system through the single gateway, when the system is fully operational, should be required to attend an interview as a condition of benefit.

Miss McIntosh

I am most grateful, Madam Speaker. Does the right hon. Gentleman agree with his noble Friend Baroness Hollis who announced that sanctions will be put in place if a lone parent fails to attend the initial interview for the new deal for lone parents? If that is so, can he explain today exactly what form those sanctions will take? For how long will the sanctions apply? Will they apply only to child benefit or will the lone parent lose all benefits to which he or she would otherwise have been entitled?

Mr. Darling

I apologise to the hon. Lady. I was not clear why she was gesticulating at me a few moments ago. I understand that perhaps her question should have been grouped and, if that is my fault, I apologise.

Madam Speaker

It should not have been grouped. I expected to reach question No. 17, but it will now be withdrawn because I have called the hon. Lady.

Mr. Darling

I appreciate that, Madam Speaker. As to the hon. Lady's question, there is no compulsion in the new deal—as I have made clear. We are talking about the single gateway into the benefit system. That programme will be piloted over the next two to three years before it becomes a national scheme. When the single gateway is operational, it will be a condition of receiving benefit that people agree to attend an interview.