Benefit Changes: Vulnerable People — House of Lords, 2019-06-27
Topic: Social Welfare
Hilary Armstrong (Labour, Centre-left): My Lords, I congratulate the noble Baroness, Lady Janke, on securing this debate and thank every noble Lord who has spoken. They have raised many of the issues that I would have liked to. However—and I do not apologise for this—I am going to concentrate on one group of people. Once again in this Chamber, I will speak about the most vulnerable of women: those who are likely to have experienced violence and abuse, and have complex needs My last job before I left the Government in 2008 was Social Exclusion Minister, so I spent a fair amount of time on this during that period. Since then, I have been involved with Changing Lives, a charity based on Tyneside, but now working on a wider basis. It started as a homeless organisation, but now works with people with complex needs, both men and women. I chaired the organisation until last December, but still work with it, particularly with Laura Seebohm, who has briefed me for today. She has overall responsibility for the work with women. It runs five services across the north, supporting people involved in what we now term "survival sex" and sexual exploitation. I want to concentrate on that group of people Changing Lives and I have a real concern that, in the past few years, the number of women getting involved in survival sex, as a direct impact of welfare policy, is increasing. We find this shocking, as I am sure noble Lords will. The women typically experience multiple and complex needs: mental ill-health, homelessness, drug and alcohol misuse, contact with the criminal justice system, and family breakdown. But childhood sexual exploitation and trauma is also a common experience for the women, and it is often compounded by traumatic experiences in adulthood. One problem faced by the women whom Changing Lives works with is that they are homeless or sofa-surfing. They have limited or no digital literacy, and limited or no access to a computer or smartphone—that will also mean that they have no bank account. They lack all the tools and skills that they are expected to have to claim universal credit straightforwardly. From the moment that they are transferred to universal credit, they are at an absolute disadvantage, with everything from proof of identity—as many of them will not have a birth certificate or passport—to receipt of payment because they do not have a bank account, practically impossible Two components of universal credit have especially damaging impacts for women at risk of survival sex. First, because all payments have to be made directly into bank accounts, the women with whom Changing Lives works are at greater risk because of financial exploitation. The majority of clients do not have their own bank accounts. However, Jobcentre Plus is not required to verify third-party accounts when nominated and all our services reported instances of women nominating the bank account of a friend or boyfriend to take receipt of the payment. They were frequently pressed into that—to put it mildly—and the funds were immediately stolen. Such financial exploitation of women who are already vulnerable is directly linked to the likelihood of conducting survival sex work and indirect sexual exploitation Secondly, advance payments are very tricky when people have real problems with addiction. Once a universal credit payment is set up, the client can be eligible for backdated awards. That often totals significant amounts, for all sorts of reasons. Staff in the organisation repeatedly reported that this process can have a hugely destabilising impact, because clients will often spend what they see as a reward, which, if they do not get rid of it quickly, somebody will come and take anyway. That leads to all sorts of problems Changing Lives staff have also observed an increasing trend of women actively choosing not to apply for benefits at all because of the problems with universal credit. One service manager estimated that around 30% of the women whom her team supported do not attempt a universal credit application because of the direct barriers that I have already talked about, as well as the high risk of sanctions for missed appointments or lack of job search. This indicates that not only being on universal credit but the very existence of universal credit are driving more women away from services and into survival sex because it is increasingly perceived to be their only option I recently heard about Changing Lives’ first example of a person placed on indefinite universal credit sanction because of a series of missed appointments. The client, who is now living in a Changing Lives property and receiving support from its specialist sex work project, was placed under indefinite sanction in April this year. Our team advised Jobcentre Plus of the cause of her missed appointment, but the decision to place her under indefinite sanction was upheld. She missed her appointment because she had been raped the night before. As I said, these shocking outcomes, which nobody intends, are happening to real people who are the most vulnerable What changes to universal credit could help tackle some of these problems and better protect these women? I will raise some specific ones; there are others. The first is removing the wait for the first universal credit payment, which is very important for this group. The second is greater promotion and awareness by Jobcentre Plus staff that payment by a voucher or at a payment point is possible. Many of the staff said that their clients were totally unaware that that was an option; it is just not being used. The third is verification of third-party bank accounts, so that exploitation is cut down. You know who is going to get the money and that they have a good and proper relationship with the person who is entitled to the benefit. The fourth is optional, managed draw-down arrangements for backdated and/or advanced payments and greater flexibility to ensure repayment of debts and deductions, because a large number of these clients will, inevitably, come with historic debts which are likely to be related to courts, rent and so on. That sort of thing has to be done at a rate which is genuinely manageable for clients I know Jobcentre Plus workers who really want to do well. Changing Lives has done courses for some of them. They are really grateful because they begin to understand more effectively the needs of the women and how to identify what might come through their door. Changing Lives tells me that it would be so much better if these clients could see consistent, designated work coaches who stayed with them throughout their time on universal credit. This is impossible in the current system. Training and better awareness by jobcentre staff of the available specialist support services was also recommended to me by Changing Lives staff. I would say, from the work I have done in the last year on women who have experienced trauma and violence, that all our front-line workers must be more trauma-aware so that they recognise and understand that when women who have had this sort of trauma present they are not going to be able to deal with all the things put before them in a calm and logical way. None of us would be "normal" in those circumstances The introduction of universal credit has increased the prevalence of survival sex, mostly among women. It is a symptom of poverty and destitution. It is hugely damaging to the individual, their families and the community, and also to society as a whole. The loss of support and prevention services is a key contributing factor to this problem. The women affected by universal credit and engaging in survival sex will be the tip of the iceberg. Deal with them and you sort the rest.