I am happy to have a look at the documentation that the hon. Gentleman has, but it is important to remember that a negative figure on the retail prices index does not happen very often. It has happened only once in the past 50 years, so these are very unusual circumstances.
Members of both the main Opposition parties have gone around the country whipping up worries about the size of the deficit and saying that we have to cut it immediately—we should have started last year, according to the Conservative party, and the Liberal Democrats have been making similar noises. For them to come to the House and say that we should be spending another £1.2 billion on this uprating alone—in other words, giving the impression that they would like increased expenditure on this but less expenditure in total—is almost as incoherent as the view that a 1.5 per cent. increase somehow amounts to a cut.
We will increase working-age benefits by 1.8 per cent., in line with the growth in the Rossi index, and during these difficult global economic conditions, when we have seen negative RPI for the first time in 50 years and people might have expected a freeze, the Government have been able to deliver an above-earnings increase in the basic state pension of 2.5 per cent., an above-earnings increase of 2 per cent. in the standard minimum guarantee for pension credit for the poorest, and a 1.5 per cent. increase in key disability and carers' benefits.
I will not take lessons in pensioner poverty or anything else from members of the Conservative party, considering that when we came into government in 1997 the poorest pensioners lived on £69 a week, which is £98 in today's prices, and that no one now needs to live on less than £132.50 a week. There has been a real-terms increase of almost one third for the poorest pensioners. We have spent £100 billion more on pensioners since 1997 than would have been the case had we continued with the system that we inherited. We have provided for a real-terms increase above RPI in the basic state pension, and this is the fourth time in 13 years under the Labour Government that we have had a real-terms increase above prices. The Conservatives increased it only twice, once in their first year in government in 1979 and once to compensate for introducing VAT on fuel. It is clear that pensioners have had a much better deal from this Government. We are spending £13 billion a year more on pensioners than would have been the case had we kept the old system in place.
The Government believe in giving help to the most vulnerable in society at the time when they need it most, and we have focused that help on the basic state pension as the correct mechanism by which to do so. Carers, disabled people and those receiving statutory payments for parents will also receive an above-index increase in their benefits, ensuring that they do not fall behind. The order provides a package of uprating proposals that will put £2 billion in the pockets of the poorest and most vulnerable in our society, and I commend it to the House.
Question put.
The Speaker's opinion as to the decision of the Question being challenged, the Division was deferred until Wednesday 3 March (Standing Order No. 41A).
Social Security
Proceeding contribution from
Angela Eagle
(Labour)
in the House of Commons on Monday, 1 March 2010.
It occurred during Debates on delegated legislation on Social Security.
Type
Proceeding contribution
Reference
506 c767-8 
Session
2009-10
Chamber / Committee
House of Commons chamber
Subjects
Librarians' tools
Timestamp
2024-04-21 19:59:47 +0100
URI
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