Children’s Commissioners appeal to UK Government to end ‘discriminatory’ two-child limit on benefits

poverty family JRF

The Children’s Commissioners of Scotland, Wales and Northern Ireland have today published a letter they have sent to the Secretary of State for Work and Pensions calling for an end to the two-child limit on Universal Credit and Child Tax Credit. 

In the letter, the Commissioners state that the policy, which disallows benefits payments to the third and subsequent children born after April 2017 in most circumstances, is ‘a clear breach of children’s human rights’ that “is inconsistent with the commitments made by the UK through the ratification of the United Nations Convention on the Rights of the Child. 

The UK Parliament’s Work and Pensions Committee will today hear evidence from Bruce Adamson, Children and Young People’s Commissioner for Scotland who will present the collective views of the Commissioners in Scotland, Northern Ireland and Wales, that the efforts of their devolved governments to tackle child poverty are being restricted by UK benefits rules. 

He will talk about the impact of current welfare benefits on child poverty in Scotland and explain that even before Covid-19, poverty represented the greatest human rights issues facing children.  

Children and Young People’s Commissioner for Scotland,  Bruce Adamson, said: “With more than a quarter of a million children affected, poverty is the most significant human rights issue facing children in Scotland. Living in poverty affects every aspect of a child’s life, including their educational attainment and mental and physical health.  

“The UK’s approach to poverty was examined in 2019 by the United Nations’ top expert on poverty and human rights who highlighted that it is political decisions by government that are leading to disastrous levels of poverty.

“When Professor Alston came to Scotland to meet with children and their families he heard from them about the serious impact that poverty is having on their human rights. Now after over a year of the Covid-19 pandemic, the situation for children in Scotland has become much worse.” 

The open letter from the Commissioners to the Right Honourable Thérèse Coffey, MP states that the two-child limit breaches children’s rights to an adequate standard of living and is contributing to a rising gap in poverty levels between families with three or more children and smaller households.

The Commissioners note that the policy also has disproportionate impacts on social groups where larger families are more common, such as some minority faith and ethnic groups and in Northern Ireland where families are larger than the rest of the UK. 

Bruce Adamson added: “The Scottish Government has taken some action to reduce the number of children in poverty including rolling out the Scottish Child Payment during the pandemic, however I remain concerned that children’s rights are continuing to be breached in Scotland by the two-child limit on child tax credit and universal credit. That is why we have taken the step of writing to the UK Government to urge that this policy is reversed. 

“We will continue to hold our devolved governments to account in relation to their obligations to respect, protect and fulfil children’s rights, but these governments can only go so far in their efforts to ensure children and their families get the support they are entitled to while this discriminatory policy also remains in force at a UK level.” 

The Commissioners conclude their letter by stating that the ‘levelling up’ agenda signalled in the Queen’s Speech earlier this month must start by discontinuing the two-child policy: ‘With the focus in the Queen’s speech in May 2021 on ‘levelling up’, there can be no excuse for continuing to breach children’s rights through this discriminatory policy that will continue to harm and prevent children and families from moving beyond the impact of the global pandemic.’

 

Johnson to Sturgeon: Let’s Talk

Prime Minister Boris Johnson has invited leaders of the UK’s devolved governments to a summit meeting to discuss joint working to ‘build back better’.

The invitation is a response to a remarkable Holyrood election result which saw the SNP come within one seat of outright victory. Despite just failing to secure an overall majority, the election of eight pro-independence Scottish Green MSPs ensures that a majority of MSPs will support a second independence referendum.

The PM is expected to telephone Nicola Sturgeon later today.

Concern over delays to Workplace Capability Assessments

The Work and Pensions Committee Chair Stephen Timms has written to Minister for Disabled People Justin Tomlinson asking what action the Government is taking to address delays to Workplace Capability Assessments (WCA).

The letter raises concerns about the ‘exceptionally long waits for assessments’ some people applying for Employment Support Allowance (ESA) and Universal Credit have been experiencing since the start of the coronavirus pandemic and the suspension of face-to-face assessments more than a year ago.

This affects people who DWP has decided cannot have their claims assessed on paper or by telephone.

Previous correspondence from the Minister failed to answer the Committee’s specific questions on the number of people affected, waiting times and the reasons behind the lack of progress on conducting remote assessments for these claimants.

Rt Hon Stephen Timms, Chair of the Work and Pensions Committee, said: “DWP has left some disabled people in an impossible situation: they can’t have a face-to-face assessment, while they are also told a decision on their claim can’t be made over the phone.

“Instead, they’ve simply been left in limbo, forced to get by on less money than they are entitled to, in some cases for more than a year—at a time when we know living costs have been higher than ever for disabled people. So far, the Minister hasn’t even told us how many people have been affected.

“We all know that DWP has been under enormous pressure this year. But there has been a disappointing lack of urgency in addressing this problem. It’s high time the Government fixed this.”

Every Fixed Penalty Notice issued under coronavirus regulations ‘must be reviewed’

A cross-party committee of MPs and Peers says fixed penalty notices (FPNs) – which can be as much as £10,000 – are muddled, discriminatory and unfair.

Today’s report from the Joint Committee on Human Rights calls for:

  • comprehensive review of all FPNs which have been issued
  • a mechanism to challenge new FPNs
  • a decision that no criminal record should result from covid-19 FPNs
  • an assessment of income for big fines.

In The Government’s Response to covid-19: fixed penalty notices, the Committee sets out significant concerns about the validity of FPNs, the inadequacy of the review and appeal process, the size of the penalties and the criminalisation of those who cannot afford to pay.

More than 85,000 fixed penalty notices have been issued to people in England and Wales said to have broken covid-19 laws on restrictions since March 2020. FPNs allow people to pay a penalty instead of facing prosecution and a potential criminal record.

Penalties range from £200 for the failure to wear a face covering to £10,000 for organised gatherings offences.

It is possible to tell from penalties that have not been paid and have then progressed through the system towards a prosecution, that a significant number of FPNs are incorrectly issued.

A Crown Prosecution Service review of prosecutions brought under coronavirus Regulations that reached open court in February 2021, found that 27 per cent were incorrectly charged. Many more penalties may have been paid by people too intimidated by the prospect of a criminal trial to risk contesting their FPN through a criminal prosecution.

The high rates of error and the disproportionate impact on different groups in society are concerning and the Committee suggests a more graduated approach and consideration of removing these convictions from criminal records.

With no adequate mechanism to seek a review of an FPN other than through a criminal prosecution, the risk that breaches of human rights will not be remedied is significantly increased. The Committee says the current review processes are not clear, consistent or transparent and calls on Government to introduce a means of challenging FPNs by way of administrative review or appeal.

Regulations related to coronavirus restrictions have changed at least 65 times since March 2020, providing obvious challenges for police. Far more must be done by Government and police to ensure officers understand the Regulations they are asked to enforce, says the report.

This is crucial to ensure there is no punishment without law (Article 7, ECHR) and no unjustified interference with an individual’s right to family and private live (Article 8, ECHR). The Committee calls on the National Police Chiefs Council to undertake a review to understand why police are issuing so many incorrect FPNs and to take steps to correct this.

However, in respect of offences relating to potentially infectious persons under the Coronavirus Act 2020, which hasn’t changed since March 2020, the Committee’s report says it is ‘astonishing’ that the Coronavirus Act is still being misunderstood and wrongly applied by police to such an extent that every single criminal charge brought under the Act has been brought incorrectly.

The Committee says there is no reason for such mistakes to continue.

The Chair of the Joint Committee on Human Rights, Harriet Harman MP, said: “Swift action to make restrictions effective is essential in the face of this terrible virus. But the Government needs to ensure that rules are clear, enforcement is fair and that mistakes in the system can be rectified. None of that is the case in respect of covid-19 Fixed Penalty Notices.

“The police have had a difficult job in policing the pandemic. We hope that their initial approach – to engage, explain and encourage before issuing fixed penalty notices will continue. However, since January there have been greater numbers of FPNs as police move more quickly to enforcement action, and because of a lack of legal clarity, likely greater numbers of incorrectly issued FPNs.

“This means we’ve got an unfair system with clear evidence that young people, those from certain ethnic minority backgrounds, men and the most socially deprived are most at risk.

“Whether people feel the FPN is deserved or not, those who can afford it are likely to pay a penalty to avoid criminality. Those who can’t afford to pay face a criminal record along with all the resulting consequences for their future development. The whole process disproportionately hits the less well-off and criminalises the poor over the better off.

“And once again, this Committee is calling on the Government to distinguish clearly between advice, guidance and the law. Fixed penalty notices were originally designed to deal with straightforward matters of law – easily understood by all involved. But our inquiry has demonstrated is that coronavirus Regulations are neither straightforward nor easily understood either by those who have to obey them or the police who have to enforce them.

“With fixed penalties of up to £10,000 awarded irrespective of the individual’s financial circumstances, there is much at stake. The Government needs to review the pandemic regulations and create new checks and balances to prevent errors and discrimination.”

The UK Government has robustly defended it’s stance and says it will continue to support police efforts to enforce legislation.

Global Travel Taskforce: Travel has its wings clipped by cautious UK Government report

Vague and costly recommendations are not enough to reboot aviation and tourism sectors facing another summer without international travel, says Westminster’s Transport Committee.

Lack of clarity

In an analysis of the Government’s Global Travel Taskforce Report, the  Committee concludes that the Report sets out a framework without the detail required to restart international travel. Where detail is provided, the costs may be disproportionate to the risk and add £500 on to the cost of a family of four travelling to the safest parts of the globe where the vaccine roll-out is comparable to the UK.

This distinct lack of clarity does not offer confidence to industry or consumers to plan, invest or recover from the coronavirus pandemic. It leaves the planned safe restart of international travel on May 17 in jeopardy.

The UK’s aviation and tourism sectors were poised to accommodate the public’s desire to travel for business, study, holidays and to visit loved-ones. The UK [aviation industry] has been one of the hardest hit by the pandemic, according to the European Organisation for the Safety of Air Navigation. Another summer without international travel heralds significant economic adversity.

Recommendations

In its Report, the Committee sets out four clear recommended actions for Government:

  • Populate the traffic-light framework with destination countries by May 1 and announce the details in a statement to Parliament.
  • Explain the criteria and mechanism by which countries will move between risk categories by May 1.
  • Offer an affordable testing regime that supports public health and safe travel for everyone by maximising the role of lateral flow tests and ensuring the provision of affordable polymerase chain reaction (PCR) tests, where required.
  • Act immediately to reduce waiting times and queues at the UK border, including working bilaterally with partner countries to agree mutual recognition of travel health certification, deploying more staff at the border, processing passenger locator forms before passengers arrive in the UK and establishing an efficient system based on a single digital app to process health certification submitted in a range of languages.

Transport Committee Chair, Huw Merriman MP, said: “The aviation and travel sectors were crying out for a functional report, setting out clear rules and offering certainty. This is not it.

“Where the industry craved certainty, the Government has failed to provide it. For UK citizens seeking to travel to the parts of the globe where the vaccine has been delivered as rapidly as the UK, the cost to families from testing could be greater than the cost of the flights. 

“This is a missed opportunity for the Government to capitalise on the UK’s world-leading ‘vaccine dividend’. How can it be right that hauliers, arriving from parts of the globe where the vaccine roll-out is slow, are able to use cheaper lateral flow testing whilst a trip back from Israel requires a PCR test which is four times as expensive?

“This was an opportunity to provide a global lead with standardised rules on international health certification and promoting app-based technology, making the processes at borders more secure and less time consuming. The urgent situation facing the aviation and travel sectors warrants a clear action plan to green light our travel – and the Government must urgently set it out.”

Rory Boland, Editor of Which? Travel, said: “The government is reliant on factors outside its control in restarting international travel, including high and changing infection rates in many countries, so it’s understandable that it cannot provide clarity on where people can go yet. However, it needs to do a better job of fixing the issues it does control.

“Given the government has now dropped its advice not to book holidays, consumers need clarity on how the traffic light system will work and reassurance that last-minute changes won’t leave them facing thousand pound bills – as they did last summer.

“Test costs remain too high and risk pricing millions out of travel, while the problem of passengers queuing for several hours at border control at some UK airports has been going on for months.

“If people are to travel this summer, whether to see loved ones or on holiday, they need the government to make sure it is affordable and safe.”

Westminster committee to investigate long-term impact of pandemic on parents and families

Image representing news article

Westminster’s COVID-19 Committee is to hear the concerns of charities who have been supporting families through the pandemic.

While the pandemic has had an impact on all parents and families, the severity of that impact, and the potential long-term consequences, will vary significantly.

While there have been positives for some families in being able to spend more time together, emerging evidence suggests others are experiencing increasing mental ill health, poverty, domestic abuse and child neglect.

There are also concerns around the impact on children’s development, perhaps especially for those born in the last year.

The Committee has decided to conduct a short inquiry on this topic, and will begin by hearing from organisations working with more vulnerable and disadvantaged families about what they have observed over the last year and their concerns for the future.

Witnesses

Tuesday 20 April 2021

At 9.45am, the Committee will hear evidence from:

  • Jabeer Butt, Chief Executive, Race Equality Foundation
  • Sally Hogg, Head of Policy and Campaigning, Parent-Infant Foundation
  • David Holmes, Chief Executive, Family Action
  • Jaine Stannard, Chief Executive, School-Home Support
  • Jane Williams, CEO Founder, The Magpie Project

Themes for discussion

  • How the pandemic has affected more vulnerable and disadvantaged families.
  • What the long-term impact of the pandemic might be for parents and children.
  • What action is needed from Government to respond to these concerns.

Politicians pay tributes to HRH Prince Philip, Duke of Edinburgh

Prime Minister Boris Johnson made this statement in the House of Commons yesterday

Mr Speaker, I beg to move:

That an Humble Address be presented to Her Majesty expressing the deepest sympathies of this House on the death of His Royal Highness The Prince Philip, Duke of Edinburgh, and the heartfelt thanks of this House and this nation for his unfailing dedication to this Country and the Commonwealth, exemplified in his distinguished service in the Royal Navy in the Second World War; his commitment to young people in setting up The Duke of Edinburgh’s Award, a scheme which has touched the lives of millions across the globe; his early, passionate commitment to the environment; and his unstinting support to Your Majesty throughout his life.

Mr Speaker, it is fitting that on Saturday His Royal Highness the Duke of Edinburgh will be conveyed to his final resting place in a Land Rover, which Prince Philip had designed himself, with a long wheel base and a capacious rear cabin, because that vehicle’s unique and idiosyncratic silhouette reminds the world that he was above all a practical man, who could take something very traditional – whether a machine or indeed a great national institution – and find a way by his own ingenuity to improve it, to adapt it for the 20th or the 21st century.

That gift for innovation was apparent from his earliest career in the Navy. When he served in the second world war, he was mentioned in despatches for his “alertness and appreciation of the situation” during the Battle of Cape Matapan, and he played a crucial role in helping to sink two enemy cruisers. But it was later, during the invasion of Sicily, that he was especially remembered by his crewmates for what he did to save their own ship.

In a moment of high danger, at night, when HMS Wallace was vulnerable to being blown up by enemy planes, he improvised a floating decoy – complete with fires to make it look like a stricken British vessel – so that the Wallace was able to slip away, and the enemy took out the decoy.

He was there at Tokyo Bay in 1945, barely 200 yards away from the Japanese surrender on the deck of USS Missouri; but he wasn’t content just to watch history through his binoculars. It seems that he used the lull to get on with repainting the hull of HMS Whelp; and throughout his life – a life that was by necessity wrapped from such a young age in symbol and ceremony – one can see that same instinct, to look for what was most useful, and most practical, and for what would take things forward.

He was one of the first people in this country to use a mobile phone. In the 1970s, he was driving an electric taxi on the streets of London – the fore-runner of the modern low-carbon fleet, and, again, a vehicle of his own specifications. He wasn’t content just to be a carriage driver. He played a large part in pioneering and codifying the sport of competitive carriage driving.

And if it is true that carriage-driving is not a mass-participation sport – not yet – he had other novel ideas that touched the lives of millions, developed their character and confidence, their teamwork and self-reliance. It was amazing and instructive, to listen on Friday to the Cabinet’s tributes to the Duke, and to hear how many were proud to say that they, or their children, had benefited from taking part in his Duke of Edinburgh Award schemes.

I will leave it to the House to speculate as to who claimed to have got a gold award, and who got a bronze. But I believe those ministers spoke for millions of people – across this country and around the world – who felt that the Duke had in some way touched their lives, people whose work he supported in the course of an astonishing 22,219 public engagements, people he encouraged, and, yes, he amused.

It is true that he occasionally drove a coach and horses through the finer points of diplomatic protocol, and he coined a new word – dontopedalogy – for the experience of putting your foot in your mouth.

And it is also true that among his more parliamentary expressions he commented adversely on the French concept of breakfast, and told a British student in Papua New Guinea that he was lucky not to be eaten, and that the people of the Cayman Islands were descended from pirates, and that he would like to go to Russia except that, as he put it, “the bastards murdered half my family”.

But the world did not hold it against him, Mr Speaker. On the contrary, they overwhelmingly understood that he was trying to break the ice, to get things moving, to get people laughing and forget their nerves; and to this day there is a community in the Pacific islands that venerates Prince Philip as a god, or volcano spirit – a conviction that was actually strengthened when a group came to London to have tea with him in person.

When he spoke so feelingly about the problems of overpopulation, and humanity’s relentless incursion on the natural world, and the consequent destruction of habitat and species, he contrived to be at once politically incorrect and also ahead of his time.

In a quite unparalleled career of advice and encouragement and support, he provided one particular service that I believe the House will know in our hearts was the very greatest of all. In the constant love he gave to Her Majesty the Queen – as her liege man of life and limb, in the words he spoke at the Coronation – he sustained her throughout this extraordinary second Elizabethan age, now the longest reign of any monarch in our history.

It was typical of him that in wooing Her Majesty – famously not short of a jewel or two – he offered jewellery of his own design. He dispensed with the footmen in powdered wigs. He introduced television cameras, and at family picnics in Balmoral he would barbecue the sausages on a large metal contraption that all Prime Ministers must have goggled at for decades, complete with rotisserie and compartments for the sauces, that was – once again, Mr Speaker – a product of his own invention and creation.

Indeed as an advocate of skills and craft and science and technology this country has had no royal champion to match him since Prince Albert, and I know that in due course the House and the country will want to consider a suitable memorial to Prince Philip.

It is with that same spirit of innovation that as co-gerent of the Royal Family, he shaped and protected the monarchy, through all the vicissitudes of the last seven decades, and helped to modernise and continually to adapt an institution that is above politics, that incarnates our history, and that is indisputably vital to the balance and happiness of our national life.

By his unstinting service to The Queen, the Commonwealth, the armed forces, the environment, to millions of people young and not so young around the world, and to countless other causes, he gave us and he gives us all a model of selflessness, and of putting others before ourselves.

And though I expect Mr Speaker, he might be embarrassed or even exasperated to receive these tributes, he made this country a better place, and for that he will be remembered with gratitude and with fondness for generations to come.

AND AT HOLYROOD:

First Minister Nicola Sturgeon moved the following motion at The Scottish Parliament yesterday:

Motion of Condolence following the death of His Royal Highness The Prince Philip, Duke of Edinburgh: First Minister’s statement – 12 April, 2021

Presiding Officer,

The tributes paid to the Duke of Edinburgh over these last three days show the affection in which he was held – here in Scotland, across the United Kingdom, and indeed around the world.

On behalf of the people of Scotland, I express my deepest sympathy to Her Majesty the Queen – who is grieving the loss of her ‘strength and stay’, her husband of almost 74 years – and also to the Duke’s children, and to the wider Royal Family.

Of course, before he became the public figure so familiar to all of us today, the Duke of Edinburgh had already led a life of distinction.

Like so many of his generation, he endured difficulties and faced dangers that generations since can barely comprehend.

As a naval officer in World War Two, he was mentioned in dispatches for his part in the Battle of Matapan.

In 1943, his courage and quick-thinking helped save HMS Wallace from attack in the Mediterranean.

And during a two year spell at Rosyth, he was responsible for escorting merchant vessels on a route known as “E-boat alley”, because of the frequency of the attacks from German vessels.

For these contributions alone, he – like all of our veterans – is owed a significant debt of gratitude.

The Second World War was, however, just the beginning of the Duke of Edinburgh’s life of public service.

From 1947, he was the Queen’s constant companion.

And from 1952, he was her consort.

As has been much noted in recent days, he became the longest serving consort in British history.

That role, in a constitutional monarchy, cannot be an easy one – particularly, perhaps, for someone who is spirited and energetic by temperament.

And of course, he faced the additional challenge of being the husband of a powerful woman – at a time when that was even more of an exception than it is today.

That reversal of the more traditional dynamic was highly unusual in the 1940s, 50s and 60s – and even now, isn’t as common as it might be.

Yet the Duke of Edinburgh was devoted to supporting the Queen. They were a true partnership.

Indeed, like First Ministers before me, I got to witness the strength of that partnership at close quarters during annual stays at Balmoral.

I always enjoyed my conversations with the Duke of Edinburgh on these visits – indeed on all of the occasions that I met him – and I was struck by how different he was in private to the way he was sometimes characterised in public. 

He was a thoughtful man, deeply interesting and fiercely intelligent. He was also a serious bookworm, which I am too, so talking about the books we were reading was often, for me, a real highlight of our conversations.

Prince Philip was without doubt a devoted consort to the Queen – but of course he also carved out a distinctive individual role. 

He took a particular interest in industry and science, and he was far-sighted in his early support for conservation. Indeed, as far back as 1969, in a speech here in Edinburgh, he warned of the risks of “virtually indestructible plastics”.

And of course, in 1956 he founded The Duke of Edinburgh Award Scheme, which now every year provides opportunity, hope and inspiration to more than 1 million young people in more than 100 different countries across the world.

In addition, the Duke of Edinburgh was patron of more than 800 charities. At the time of his retirement from Royal duties, he had completed well over 20,000 engagements.

Many of these engagements were of course here in Scotland – a country that he loved from a very early age.

He was educated in Moray, taught to sail by a Scottish trawler skipper, and as has been mentioned already, was based at Rosyth for two years during the war.

When the Duke received the Freedom of the City of Edinburgh in 1949, he spoke then of the “numberless benefits” that Scotland had given him.

Some of his very first duties with the Royal Household were undertaken here in Scotland.

In July 1947 – just a week after the announcement of his engagement to the then Princess Elizabeth – the couple travelled here to Edinburgh.

And in the years since, the Duke has been present at many of the key moments of our modern history – including, of course, the official openings of our Scottish Parliament.

He has served many Scottish charities and organisations – indeed, he was Chancellor of the University of Edinburgh for more than 50 years.

Throughout all of that time, the public has held him in great affection.

On that first Royal Visit to Edinburgh in 1947, people gathered just across the street, in the forecourt of Holyrood Palace, and celebrated the Royal engagement with country dancing.

More than 70 years later – shortly after he had announced his retirement from public life –  I witnessed the warmth of the reception he received as he accompanied the Queen to the opening of the Queensferry Crossing.

This is an event I had known he was determined to attend – he was fascinated and deeply impressed by the feats of engineering that each of the three Forth Bridges represent.

Presiding Officer,

One of the Duke of Edinburgh’s early engagements in Scotland, shortly after the Queen’s Coronation, was to plant a cherry tree in the grounds of Canongate Kirk, just across the road from here.

It stands directly opposite the tree planted by the Queen a year previously.

These trees are just about to bloom, as I am sure they will do each spring for decades to come.

I am equally sure that – not just in the weeks ahead – but many years from now, people will think fondly of the Duke of Edinburgh as they pass Canongate Kirk and look across to Holyrood Palace.

It is right that our Parliament pays tribute to him today.

In doing so, we mourn his passing and we extend our deepest sympathy to Her Majesty The Queen and her family.

We reflect on his distinguished wartime record; his love and support for the Queen; and his decades of public service to Scotland, the United Kingdom, and the Commonwealth.

Above all, Presiding Officer, we celebrate – and we honour – an extraordinary life. I move the motion in my name.

HRH Prince Philip: Front Pages

This morning’s front pages:

The House of Commons will next meet on Monday at 2.30pm, following the announcement of the death of His Royal Highness The Prince Philip, Duke of Edinburgh. The Scottish Parliament will also reconvene on Monday.

The Scottish Parliament’s flags are flying at half-mast following the death of His Royal Highness The Duke of Edinburgh.

Scottish Parliament Presiding Officer Ken Macintosh said: “On behalf of the Scottish Parliament I would like to extend our sincere condolences to Her Majesty The Queen and to the Royal Family following the death of His Royal Highness The Duke of Edinburgh.

“The Duke of Edinburgh accompanied Her Majesty The Queen on each of her visits to the Scottish Parliament since 1999. Their unwavering support for this institution and The Duke’s unwavering support to Her Majesty were clear for all to see and his loss will be deeply felt.”

Crack down on tech firms ‘immoral’ profiting from online pension scam adverts, urge MPs

A report from Westminster’s Work and Pensions Committee is calling on the UK Government to ‘act quickly and decisively’ to protect pension savers, more than five years on from the introduction of the pension freedoms, which have put people at risk of a much wider range of scams and fraud.

The report warns that commonly cited figures of the scale of pension scamming are likely to substantially underestimate the problem.

The situation is likely to be getting worse rather than better, with the covid-19 pandemic offering scammers new opportunities.

The Committee heard throughout its inquiry that pension scammers have moved online, with regulators powerless to hold search engines and social media to account for hosting scam adverts as they do traditional media.

Tech firms such as Google are accepting payment to advertise scams and then further payments from regulators to publish warnings – a practice the Committee describes as ‘immoral’.

The Government must now rethink its decision to exclude financial harms from the forthcoming Online Safety Bill and use it to legislate against online investment fraud.

In the same way as traditional media, online publishers should be required to ensure financial promotions are authorised.

The report also calls for the multi-agency task force set up to tackle pension fraud to be strengthened.

The existing Project Bloom should be renamed the Pension Scams Centre and given dedicated funding and staffing to manage an intelligence database and law enforcement.

Currently the fragmentation of reporting, investigation and enforcement has made tackling pension scams more difficult.

The Financial Conduct Authority must also ‘raise its game’ and publish information about its enforcement action, with the Committee hearing numerous criticisms that it is not effective in stopping scams, punishing scammers or retrieving scam proceeds.

Rt Hon Stephen Timms MP, Chair of the Work and Pensions Committee, said: “The pension freedoms brought more choice for savers on how to use their pension pots, but the reforms have also opened up a whole new world of opportunity for scammers and fraudsters.

“At the same time, a woeful lack of online regulation has helped them reach more people than ever before.

“The result is an online free for all, where scammers can advertise with impunity while the tech giants line their pockets from the proceeds of their crimes.

“With global firms such as Google being increasingly influential as providers of information, consumers looking for financial advice are being let down by not being afforded the same level of protection they receive from adverts which appear on television or in a newspaper.

“There must now be parity across the media to ensure all adverts are regulated and the Government should use its Online Safety Bill to act.

“Tighter online regulation must be just the first step in improving protections for savers. Stronger enforcement with a new Pensions Scams Centre, a more effective FCA and extra support for victims are also desperately needed.

“Pension scams can cause huge financial harm and psychological distress and any one of us saving for the future is at risk of falling prey to a scammer.

“The Government and the regulators have been left playing catch-up following the pension freedom reforms and must now act quickly to protect savers and their hard-earned money.”

Rocio Concha, Director of Policy and Advocacy at Which?, said: “This report is a damning indictment of the approach of tech giants like Google to tackling scams.

“These companies have some of the most sophisticated technology in the world, yet they are failing to utilise it to prevent scammers from abusing the platforms by using fake and fraudulent content on an industrial scale to target victims and devastate lives.

“The case for including scams in the Online Safety Bill is overwhelming. Online platforms must be given a legal responsibility to identify, prevent and remove fake and fraudulent content from appearing on their sites and give their users the protection they deserve. The government must not miss the opportunity to act now.”

Test and Trace: “British taxpayers cannot be treated by Government like an ATM machine”

“Unimaginable” cost of Test & Trace failed to deliver central promise of averting another lockdown

In May last year NHS Test and Trace (NHST&T) was set up with a budget of £22 billion. Since then it has been allocated £15 billion more: totalling £37 BILLION over two years.

The Department of Health & Social Care (DHSC) justified the scale of investment, in part, on the basis that an effective test and trace system would help avoid a second national lockdown – but since its creation we have had two more lockdowns.

In its report Westminster’s Public Accounts Committee says that while NHST&T clearly had to be set up and staffed at incredible speed, it must now “wean itself off its persistent reliance on consultants”; there is still no clear evidence of NHST&T’s overall effectiveness; and it’s not clear whether its contribution to reducing infection levels – as opposed to the other measures introduced to tackle the pandemic – can justify its “unimaginable” costs.

The scale of NHST&T’s activities is striking, particularly given its short life. Between May 2020 and January 2021, daily UK testing capacity for COVID-19 increased from around 100,000 to over 800,000 tests. NHST&T had also contacted over 2.5 million people testing positive for COVID-19 in England and advised more than 4.5 million of their associated contacts to self-isolate. 

But the percentage of total laboratory testing capacity used in November and December 2020 remained under 65%, and even with the spare capacity, NHST&T has never met the target to turn around all tests in face-to-face settings in 24 hours. Low utilisation rates – well below the target of 50% – persisted into October last year.  

A major focus for NHST&T in early 2021 was the mass roll-out of rapid testing in different community settings, but there have been particular setbacks for the roll-out to schools, after NHST&T had significantly underestimated the increase in demand for testing when schools and universities returned last September.

Meg Hillier MP, Chair of the Public Accounts Committee, said: “The £23 billion test and trace has cost us so far is about the annual budget of the Department for Transport.Test & Trace still continues to pay for consultants at £1000 a day.

“Yet despite the unimaginable resources thrown at this project Test and Trace cannot point to a measurable difference to the progress of the pandemic, and the promise on which this huge expense was justified – avoiding another lockdown – has been broken, TWICE.

“DHSC and NHST&T must rapidly turn around these fortunes and begin to demonstrate the worth and value of this staggering investment of taxpayers’ money. Not only is it essential it delivers an effective system as pupils return to school and more people return to their workplace, but for the £billions spent we need to see a top class legacy system.

British taxpayers cannot be treated by Government like an ATM machine. We need to see a clear plan and costs better controlled.”

Test and Trace chief Baroness Dido Harding has defended the £37 billion service and said the committee report is ‘old news’.