Personal Independence Payment: Eligibility Criteria

10. What estimate her Department has made of the potential impact of changes to the eligibility criteria for personal independence payment on the number of people receiving that payment who will move into employment.

Pathways to Work sets out reforms to stop people falling into inactivity. They include tailored employment support for people out of work on health and disability grounds, including those claiming personal independence payments, so that they can fulfil their ambitions like everybody else.

The Government say that their PIP reforms will help people into employment, but the Multiple Sclerosis Society says that 60% of sufferers believe those reforms will make it harder for them to find work, not easier. An estimate must have been made of what percentage of claimants will feasibly enter employment as a result of these reforms. Will the Minister share those figures?

This is a very important set of reforms, for exactly that reason—to make sure people do have the opportunity to move into work. One in five working-age PIP claimants were in work in March last year; we want many more to have that opportunity. We are going to improve employment support substantially, Connect to Work is being rolled out across the country this year, and there will be an additional £1 billion per year for employment support by the end of the Parliament. As the hon. Gentleman knows, the impacts of these changes will be set out by the Office for Budget Responsibility at the time of the autumn Budget, and there will be very big improvements for those who are intended to benefit from them.

Helping those who can work to find meaningful employment is an important way to tackle poverty among disabled people, but it will require investment in employment support programmes, incentives for employers to recruit disabled people and enforcement of anti-discrimination rules. Given the importance of these measures, is it not appropriate that Members are asked to vote on any changes to the benefits system only after all the information about the impact of the proposals has been provided?

My hon. Friend is right about the scale of the ambition and the changes that need to be made to deliver on it. Sir Charlie Mayfield is leading the Keep Britain Working review at the moment, looking at what more employers can contribute to those goals. We have committed an extra £1 billion a year for employment support, but we need to get on with the changes we have announced in order to ensure that the costs of PIP in particular are sustainable in the future, as it is very important they should be.

I call the shadow Minister.

It is six weeks since the Government cobbled together an emergency plan for welfare cuts to rescue the Chancellor from the consequences of her job-destroying, economy-shrinking Budget, but we are still waiting for some information. Can the Minister tell the House how many more people will be in work as a result of these measures?

As I have just told the House, the Office for Budget Responsibility will publish its assessment in the autumn—that is what we said at the time of the spring statement. This is a very big programme; the commitment of an additional £1 billion a year to employment support will open up opportunities for a very large number of people, in the way that the new deal for disabled people did under the last Labour Government all those years ago. We want to get back to providing the support that people need. At the moment, 200,000 people who are out of work on health and disability grounds say that they could be in work today if they had the support they need. We are committed to delivering that support.

I look forward to the OBR’s report, and also to its assessment of the impact of the Employment Rights Bill. We know that many tens of thousands of jobs are going to be lost because of the national insurance rise, and we know from the OBR that because of the changes that the Government have introduced and the scrapping of the measures we were introducing, 16,000 fewer people will be in work and almost half a million more will be on long-term sickness benefits.

However, let me ask the Minister about disability benefits. Is he aware that half the number of people who receive PIP who have multiple sclerosis will no longer be eligible for that benefit under the plans that the Government are bringing forward? A quarter of people with cerebral palsy and three quarters of people with arthritis will also be ineligible. Is the Minister happy with that, and if not, what hope can he give the hundreds of thousands of people who are being abandoned that the Government will look after them?

The hon. Gentleman is completely mistaken. These changes will not take effect until November next year and following each claimant’s award review after that date. Who receives the benefit will depend on the outcome of the assessment at that time. As the hon. Gentleman will know, the view of the Office for Budget Responsibility is that about 10% of those who are currently claiming PIP will lose their benefit as a result of these changes—a much lower proportion than the one he has just referred to.