HC Deb 08 February 1999 vol 325 c15
10. Ms Oona King (Bethnal Green and Bow)

If he will make a statement on the habitual residence test. [68015]

The Parliamentary Under-Secretary of State for Social Security (Angela Eagle)

Our review of the habitual residence test is on-going. We shall make our recommendations for its future once we have received and considered the judgment of the European Court of Justice in the case of Mr. Robin Swaddling, which is due to be given on 25 February.

Ms King

I thank my hon. Friend for that reply. Is she concerned by claims that, although the Government save about £30 million annually by refusing claimants under the habitual residence test, an almost equivalent amount is paid out to families facing destitution under the Children Acts and the National Assistance Act 1948? Moreover, many people on benefit are discouraged from seeking employment in the European Union because of the risk of losing benefit when they return. Will the review take those two points into consideration?

Angela Eagle

We should remember that 89 per cent. of United Kingdom nationals who take the test pass it, and that 85 per cent. of all those who take it pass it. My hon. Friend will remember as well as I do the test's origin—a certain singalong performance at Tory party conference a few years ago. We shall consider the points that she has raised—especially in the light of the European Court of Justice statement, on 25 February—and continue to investigate how best we can balance the right of United Kingdom taxpayers not to subsidise people with very little connection to the United Kingdom with the understandable rights of United Kingdom citizens.

Mr. Nicholas Soames (Mid-Sussex)

Does the hon. Lady consider that issuing identity cards would make that type of work much easier?

Angela Eagle

The identity card issue is really one for my right hon. Friend the Home Secretary. However, on the habitual residence test, the benefit of changing policy to quite the extent suggested by the hon. Gentleman would be like using a sledgehammer to crack a nut.