(2 days, 19 hours ago)
Commons ChamberLet me begin by stating the obvious: the issues with plan 2 loans are a legacy of the previous Government. Plan 2 borrowers in England are undergraduate students who began their courses between 2012 and 2023. The loans were designed, implemented and operated by the previous coalition and Conservative Governments. When we were elected, we immediately recognised the pressure. We uplifted the plan 2 repayment threshold in 2025 to £28,470 and will increase it again to £29,385 next month, ensuring that it is higher than average graduate salaries three years after a course has finished. Before we came into Government, for most of the time that plan 2 loans have existed, the repayment threshold has been frozen—for 10 years during the Tory Government.
This is a system that we would never have designed. We have heard plenty today about its flaws, the worry it causes and the pressure on graduates. We have had, as we often do on Opposition days, a spirited debate. I will begin my comments on some of the contributions that we have heard by thanking my hon. Friends the Members for Reading Central (Matt Rodda), for Erewash (Adam Thompson), for Stevenage (Kevin Bonavia), for Uxbridge and South Ruislip (Danny Beales), for Bury St Edmunds and Stowmarket (Peter Prinsley), and in particular my hon. Friend the Member for Gloucester (Alex McIntyre) for an especially powerful contribution.
I single out my hon. Friend the Member for Kettering (Rosie Wrighting), who continues to be a champion in this place for young people not only in her constituency but up and down this country. When I came to this place, my maiden speech was about generational inequality. Based on her description, I think that I have timed out in my ability to call myself a young person, so I am delighted that we have my hon. Friend here holding that torch and continuing to fight and to make the case for young people.
Turning to the shadow Secretary of State, the right hon. Member for Sevenoaks (Laura Trott), we have had some serious chutzpah from the Tories today, opening with the fact that this Labour Government have increased fees—fees increased for sustainability purposes but certainly not trebled, as the Conservative party did. She spoke of the threshold freeze being unfair. April’s increase is our second in two years—as many as they managed in 12 years post introducing the plan 2 scheme.
The shadow Secretary of State labelled the motion a new deal for young people, but why on earth is a new deal required? It is because the Conservatives trebled fees, scrapped maintenance grants, oversaw a 40% cut to youth apprenticeships, and drove the number of NEETs up by a quarter of a million in their last three years in government. By contrast, under this Government, young people are getting a new deal, with a new target of two thirds of young people in an apprenticeship or at university, our youth guarantee and our jobs guarantee, because we understand that young people need support to thrive, especially after 14 years of the Conservative party.
We then heard about the range of options that the Conservatives want to secure for young people, that it is a Conservative choice to be able to earn and learn through apprenticeships or to go to university, but that was not the choice that young people had. They hammered apprenticeships for young people, and that is one of the reasons why we face the challenges in the system that we do today.
We heard from the Liberal Democrat spokesperson, the hon. Member for St Neots and Mid Cambridgeshire (Ian Sollom), in what I thought was a very considered contribution. I always think that it is incredibly brave for a Liberal Democrat to speak in any debate about fees, loans and so on.
I will not because I am short on time—I am sorry.
While I do think that a Liberal Democrat should be wary, the hon. Member for St Neots and Mid Cambridgeshire made an important point in his defence of degree courses with which I agree.
The hon. Members for North Dorset (Simon Hoare) and for Hinckley and Bosworth (Dr Evans) attacked the Government for acknowledging the problems of the system and for saying that we recognise that work is needed, there is much to do, but we will look at it. When we say there is much to do, there are messes left all over the place. What exactly are we talking about? We are talking about a legacy of starved further education funding. The Conservatives oversaw a 40% drop in youth apprenticeships. They drove up child poverty, ravaged Sure Start, scrapped Building Schools for the Future, broke the SEND system—and that is just their legacy for children and young people, before I even get to the fact that they left the NHS on its knees. Their damage, the mess they left, has a long tail, and we must never forget that that damage cannot be fixed overnight.
Given that the Minister has just listed a great big set of problems facing students, what does he say to students when the Chancellor has said that they are not at the front of the queue?
What I say is that students, like everybody else, benefit from an improved NHS and from a range of interventions that this Government are making, but we cannot change everything overnight.
The hon. Member for Bromley and Biggin Hill (Peter Fortune) commented that young people not in employment has rocketed under this Government, which is an interesting take given that the number of NEETs is 14,000 lower now than it was at this point last year, but it increased by 250,000 in the Conservatives’ final few years in office.
We then heard from the hon. Member for Solihull West and Shirley (Dr Shastri-Hurst). I simply reiterate the comments made in the intervention from my hon. Friend the Member for York Outer (Mr Charters) about the rubbishing of the Conservatives’ proposal already done by the Institute for Fiscal Studies.
The hon. Member for Isle of Wight East (Joe Robertson) mentioned youth unemployment figures, and I absolutely agree that these are a concern. We are not complacent on this issue, so he will welcome the youth guarantee, the jobs guarantee, the increase to apprenticeship funding, the shift to more apprenticeships for young people, the revised target of two thirds of young people either in an apprenticeship or at university, and the update to our approach to encourage technical learning while earning. He will also be pleased to know that, unlike him, I do have a history degree, so I have no problem looking at the Conservatives’ record of the past 10 years. I absolutely appreciate that they do not want to be held to account for the mess they left, but sadly they devastated this system, and it falls to us to resolve the problems they left.
We then heard from the hon. Member for Runnymede and Weybridge (Dr Spencer), who said that all forms of education have intrinsic value, which leaves me somewhat confused given the Conservatives have made a compelling argument today for scrapping a number of degree courses and they ran down the number of apprenticeships available to young people.
I want to briefly come to the contribution of the right hon. Member for East Hampshire (Damian Hinds), because he is always considered in this area and, indeed, I consider him an expert on this subject. I cannot pretend to be familiar with the Brown and Cable plans, but it is important to pick up a point he made around the vast majority of apprenticeships being taken by people over 25. I believe that that is a problem in the system. That is why we are creating foundation apprenticeships and that is why—[Interruption.] I am not suggesting—[Interruption.]
Order. I want to hear what the Minister has to say.
Thank you, Madam Deputy Speaker. I did not attribute a time period to the hon. Gentleman’s comments. I am simply stating that it is a fixed intention of this Government to seek to address that and to ensure that more young people under the age of 25 can access apprenticeships.
Yet again in these Opposition day debates, we see a Conservative party that continues to run away from its record and that brings forward overnight solutions that, in this case, have already been discredited. It is not fit to govern and would never solve this problem for young people.
Question put (Standing Order No. 31(2)), That the original words stand part of the Question.
(3 days, 19 hours ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
It is an honour to serve under your chairship, Mr Stringer. I am struck, as was the hon. Member for Mid Dorset and North Poole (Vikki Slade), by the level of interest in this debate and, indeed, by the specifics of some of the cases that have been raised. I concur with her that this is an incredibly important debate, and one that perhaps could have used more time. I am sure that Members will look where they can at various mechanisms to ensure that we return to this in future.
I want to begin by recognising the vital role that the Child Maintenance Service plays in supporting families across the country, notwithstanding that we all have examples in our casework of challenging cases—cases where the service could do better. The CMS now supports more than 1.1 million children, a figure that rose nearly 5% in the 12 months to September 2025, through both family-based arrangements and arrangements made via the CMS. An estimated £2.9 billion is transferred each year to children in separated families, keeping around 120,000 children out of relative low income after housing costs.
I know that almost all parents want the best for their children, and that, in spite of the difficulties and conflicts inherent in family break-up, a majority of paying parents consistently contribute towards their children’s upbringing, helping to ensure that they receive the support they need. Compliance levels within the collect and pay service remain strong; in the most recent reporting quarter, 74% of paying parents under collect and pay paid maintenance.
To set the scene, it is worth explaining how the CMS operates. The CMS is statutorily obliged to consider all valid maintenance applications in accordance with relevant legislation. To ensure consistency and fairness across the system, the CMS applies a set of broad rules intended to secure the best overall outcomes for all parents. Clear, simple rules are essential; they make the system more efficient, improve customer service and are vital when dealing with hundreds of thousands of cases.
That is in stark contrast to previous schemes operated by the CMS’s predecessor, the Child Support Agency, which were notoriously complex and inflexible. Those schemes relied heavily on parents providing detailed financial information that was often difficult to obtain or keep up to date. The result was significant delays and, too often, families being let down.
That said, the Government recognise that there is more that the CMS can do to deliver a fair and trustworthy service that is more accessible to parents, and particularly to those who are vulnerable. That is why the CMS is continuing to make significant and meaningful improvements to the service wherever possible, to ensure that parents feel informed, supported and confident in the actions being taken on their case.
Chris Hinchliff (North East Hertfordshire) (Lab)
I thank the Minister for setting the scene. Would he reflect back to the House that, notwithstanding what he has said, there is a clear pattern of a lack of reliable communication, a failure to enforce payments and what often seems like an inability to keep in line with legislation? Does he recognise that what we are all experiencing on behalf of our constituents is an organisation that does not seem to have basic administrative competence?
I will come to the points about communication and enforcement momentarily. I acknowledge that we all have difficult cases, but the CMS does handle billions of pounds a year in payments to families, and it is important to recognise where it works as well as where change is needed. It is failing for some families, as in the cases that have been outlined, and we want to put that right.
I will now turn to the points made by my hon. Friend the Member for Bolton North East (Kirith Entwistle). I will start with the three asks from Gingerbread. First, on the disclosure of domestic abuse and the handling thereof, the CMS recognises that both receiving and paying parents can be victims of domestic abuse, including coercive and controlling behaviour, and it has put a number of safeguards in place to help them use the service safely. All caseworkers receive extensive domestic abuse training, which has been refreshed to reflect the Home Office’s statutory guidance on controlling or coercive behaviour, so that they are equipped to identify risks and signpost parents to specialist support. The CMS also has a domestic abuse plan and a regularly updated list of resources to support victims.
Where safety concerns arise, though—I accept that they arise in some instances—the CMS can advise on non-traceable payment methods, such as accounts with centralised sort codes to ensure a parent’s location cannot be identified. The Government are also taking wider steps to minimise opportunities for abuse within the maintenance system, perhaps most importantly through plans to remove direct pay, reducing the need for any contact between parents and closing off avenues for economic control or coercion.
The second point concerned evidential standards for shared care, which is a contested area. I absolutely accept that it is a difficult space for our caseworkers to operate in. When a dispute arises regarding overnight stays, the CMS must avoid taking one parent’s word against the other and must consider certain types of evidence, such as a court order or an agreement between the parents, but it may consider other types of evidence as well, including in cases where a court order is not in place. Formal evidence will carry more weight than other evidence in establishing whether there is a pattern of shared care, but the CMS will consider each parent’s statements before making a decision.
Where the parties agree in principle that there is a level of shared care but cannot agree on a number of nights, the CMS can make an assumption of shared care of one night a week, but as I said earlier, shared care disputes are challenging. We understand the frustration and the concerns that they present for parents, and we are keeping the issue under active review and looking at how the process can be improved. I know that my hon. Friend the Member for Bolton North East is due a conversation with my noble Friend Baroness Sherlock. She may want to ask Baroness Sherlock for the specifics on that, given that she is the lead Minister on this issue.
Gingerbread’s third substantive point concerned the welfare of the child, and I want to offer reassurance on that. Clearly, the entire point of the CMS is to ensure the welfare of the child as it pertains to financial stability and to ensure the ability of parents to look after their children, but if specific safeguarding concerns arise, there are procedures in place to report them to the relevant authority, which is usually the local authority where the child lives.
There were a couple of other points that I want to touch on, including the question of enforcement. Clearly, there are always improvements to be made. There was a specific question about hidden income. There is a financial investigation unit in place. If there are specific cases that colleagues would like me to refer to that unit, I am happy to do so. We do have, for want of a better description, persistent offenders who are difficult to pin down. We will all have such examples in our caseload, and we are looking at what more we can do to track people down in those cases.
I am conscious of time. This has been an incredibly important debate. The door of my noble Friend Baroness Sherlock is always open to colleagues who want to talk about CMS reform. We are undertaking a calculation review. We are looking to abolish direct pay as soon as parliamentary time allows. That is a very important step to tackle coercive control and abuse in the system. We can always do more. I am happy to speak to colleagues at any point, but I also strongly encourage them, if necessary, to book in with my noble Friend.
Motion lapsed (Standing Order No. 10(6)).
(1 week, 4 days ago)
Commons ChamberUniversal credit is primarily reserved for people settled in the UK. With regard to trends, overall the proportion of universal credit claimants in this country who are foreign nationals has fallen from 17% in January 2025 to 15.5% in the latest statistics from January 2026.
According to the Government’s own figures, most foreign nationals who are claiming universal credit are not in work. The Government do not seem to want to do anything to bring that figure down, so will the Minister tell us how much this is costing the UK taxpayer?
The hon. Gentleman may be unaware that the proportion of foreign nationals claiming universal credit who are in work is one third higher than the proportion for people who are British or Irish claiming—[Interruption.] If he prefers to put the figures into the context that he has just suggested from a sedentary position, the figure is 10% lower in terms of people who are not in work. It is often difficult to extrapolate a specific number because universal credit figures, such as these, are calculated on a per household basis rather than on an individual basis. If I am able to provide the specific number, I will follow up with him in writing.
I call the shadow Secretary of State.
The working-age benefits bill is set to reach £171 billion by the end of this Parliament, yet the Government are doing nothing to get it under control. In fact, by scrapping the two-child cap, they have added another £3 billion. It is time to stop spending and get saving. The Conservatives would stop benefits for foreign nationals and save £7 billion a year. Britain cannot be a cash machine for the world. With war in Ukraine and now in the middle east, we must boost our national security, so why are the Government continuing to bankroll benefits for migrants rather than investing in defence?
The hon. Lady will be aware that the Conservatives created this system. On her specific question about what we are doing to restrict access to the benefits system by foreign nationals, she will also be aware that the Home Secretary has brought forward proposals to extend the period before somebody can achieve settlement from five to 10 years, and there is a consultation under way to move that point from the point of settlement to the point of citizenship. However, if it is the Conservatives’ position to suggest that somebody who has worked here for decades, contributed to the system and made a positive contribution to this country should have absolutely no access to support, we have a fundamentally different point of view.
Mr Connor Rand (Altrincham and Sale West) (Lab)
Catherine Fookes (Monmouthshire) (Lab)
Sadly, I have been contacted by a number of constituents who are facing a hidden problem in the child maintenance system: their ex-partner has found ways of hiding their income to avoid having their monthly payments increased or paying the arrears that they owe. Can the Minister share with me the work that the Department is doing to ensure that income assessment of paying parents is accurate, agile and serves the children it is meant to support?
My hon. Friend will be pleased to know that a range of interventions are under way, including reviewing the child maintenance calculation across the piece. If there are specific cases that are causing her concern, she can share them with me and I will ensure that they are referred to our specialist financial investigation unit, which looks into cases where we fear that there is hidden income.
Calum Miller (Bicester and Woodstock) (LD)
Euan Stainbank (Falkirk) (Lab)
Powering Futures is a fantastic social enterprise based in Falkirk, and its oven-ready project will deliver at least £1.6 million in quantifiable social outcomes, including addressing youth unemployment in every local authority in Scotland. Funders have been identified, so will the Secretary of State meet me to discuss what support his Department may be able to offer Powering Futures?
(2 weeks, 3 days ago)
General CommitteesI beg to move,
That the Committee has considered the draft Industrial Training Levy (Construction Industry Training Board) Order 2026.
It is a pleasure to serve under your chairship, Ms McVey. The statutory purpose of the Construction Industry Training Board—I shall refer to it as the CITB from now on—is to make better provision for training across the construction industry. The 2023 independent review of industry training boards by Mark Farmer confirmed the ITBs’ continued value in addressing persistent and structural workforce challenges within their industry. The review also found that a statutory levy remains the most effective model for industry-wide investment in training. This draft statutory instrument gives effect to the CITB levy proposals for 2026, 2027 and 2028. The levy remains the CITB’s primary source of funding, and the order is required for the board to raise mandatory assessments on in-scope employers.
The funding raised through the levy will enable the CITB to continue its essential work to tackle skills shortages and market failure in training in the construction sector across England, Scotland and Wales. Recognising the differing views within the sector, the CITB continues to receive strong support from employers. The draft order is built on industry consultation, consensus and stability. During the formal consensus process about the proposals in spring 2025, the CITB consulted all 14 prescribed organisations in its industry, alongside a structured survey of non-represented employers. More than 67% of levy-paying employers supported the proposals, representing almost 72% of total levy value—comfortably above the statutory thresholds required for consensus to be achieved.
Before we consider the levy proposals in further detail, I take this opportunity to return to the findings of the Farmer review. I am pleased to confirm that the Government intend to consult industry on a proposal to bring together the CITB and the Engineering Construction Industry Training Board, or ECITB, to create a single unified body to support the combined skills needs of the construction and engineering construction sectors. That proposal delivers on the recommendation of the Farmer review, which the Government accepted subject to further scoping. It builds on the ITBs’ existing collaborative approach to working together, as demonstrated through initiatives such as the Sizewell C skills charter: a set of commitments between the ITBs, the local councils and Sizewell C to help ensure the skilled and inclusive workforce needed to deliver that vital nuclear power station.
The consultation is expected to launch shortly, and the views expressed by industry will inform a decision on how to proceed. We cannot prejudice the outcome of the process and, in any case, the earliest the change would be likely to take place is April 2027. Should the Government choose to proceed with the proposed reform, any new levy order will come to the House through the proper parliamentary process. In the meantime, it is vital to the continuity of CITB support for employers that the draft levy order that we are debating today continues as planned.
I return to the proposals for the draft levy order. I give my thanks to the Joint Committee on Statutory Instruments for its detailed review. This order retains the levy assessment rates that have remained unchanged for four years. Despite employer demand for CITB services having risen by 36% since 2021, levy rates have been deliberately held steady to support businesses still navigating difficult trading conditions at home and globally.
The draft order also raises the exemption and reduction thresholds to protect small and micro businesses from unintended levy burdens caused by wage inflation. Employers with wage bills of up to £149,999 will be exempt, and those with wage bills between £150,000 and £499,999 will receive a 50% reduction. Those thresholds will ensure that about 69% of eligible employers pay no levy at all, while a further 15% benefit from reduced rates. All those employers remain eligible for CITB grants and support. The CITB estimates that the proposals will raise about £243 million per year, to be invested in supporting the skills needs of the construction industry. That investment will fund vital programmes to widen participation, raise skills levels, tackle disadvantage and set occupational standards for the industry.
In 2024-25, the CITB supported over 30,000 apprentices and 20,000 vocational qualification achievements; provided almost £130 million in grant funding—including £60 million for small businesses and microbusinesses; and committed up to £40 million to support fast-track training and apprenticeships in areas of high demand for home-building skills. That funding directly underpins our broader economic priorities.
The construction sector contributes over £211 billion in total output each year and employs more than 2 million people, but the fragmented nature of the industry, which has a high rate of self-employment and complex supply chains, makes voluntary investment in training less likely to occur. Without a statutory levy, the skills that the industry urgently needs will simply not materialise at the scale required. If the draft order is not approved, the CITB will be unable to collect levies in 2026, with potential impacts on apprenticeships, vital industry qualifications, employer support programmes, training standards and the future capability of one of the UK’s most economically significant sectors.
The UK requires an estimated 240,000 additional construction workers by 2029, with the largest pressures felt in home building, infrastructure, and repair and maintenance. Approving this draft order therefore plays a critical role in delivering the Government’s commitment to deliver 1.5 million safe and decent homes during this Parliament, as set out in our plan for change, and in supporting major infrastructure and clean energy projects across Great Britain that are vital to economic growth and increased opportunity.
In addition to industry support, the proposals before the Committee today have received the support of the devolved Governments of Scotland and Wales. They recognise, as do we, that maintaining the CITB’s ability to raise and invest levy income is vital to ensure that employers across all three nations can access the construction skills they need. For those reasons, I commend the draft order to the Committee.
(1 month, 2 weeks ago)
Written Corrections… That is just part of our youth guarantee, which we are rolling out so that every young person gets the chance to earn or learn; and it accounts for part of the more than £1.5 billion that was made available for employment and skills support at the Budget, which will create around 355,000 new training or workplace opportunities.
[Official Report, 28 January 2026; Vol. 779, c. 1006.]
Written correction submitted by the Under-Secretary of State for Work and Pensions, the hon. Member for Stretford and Urmston (Andrew Western):
… That is just part of our youth guarantee, which we are rolling out so that every young person gets the chance to earn or learn; and it accounts for part of the more than £1.5 billion that was made available for employment and skills support at the Budget, which will create around 300,000 new training or workplace opportunities.
… The hon. Lady asked about the timing of the roll-out of the youth guarantee. The first tranche—the first 55,000 opportunities—will be in place from April, and by September we will see the roll-out of the full 300,000.
[Official Report, 28 January 2026; Vol. 779, c. 1008.]
Written correction submitted by the Under-Secretary of State for Work and Pensions, the hon. Member for Stretford and Urmston (Andrew Western):
… The hon. Lady asked about the timing of the roll-out of the youth guarantee. The youth guarantee will roll out over the next three years.
(1 month, 2 weeks ago)
Commons ChamberIf only the Conservatives had had 14 years to do much of what the shadow Minister just outlined. It seems as though they never tire of pulling apart their own abysmal record. Today they have chosen to focus on the crisis of opportunity that they handed down to young people, and that this Government are determined to address.
The Conservatives were perfectly happy, it seems, for youth apprenticeship starts to plummet by nearly 40%. They sat and watched as the number of young people neither learning nor earning spiralled upwards by 300,000 in three years, and they were devoid of ideas to help young people overcome the barriers to work that they face. Perhaps worst of all, when confronted with undeniable proof of their failure, they blamed young people, instead of supporting them.
This Government will never take that attitude to the next generation—an attitude of ambivalence at best, and contempt at worst. Instead, we are clearing up the mess that the previous Government left in their wake. We are giving young people opportunities to succeed, and the support that they need.
We are determined to meet the size of the challenge that we inherited, and to deliver on the huge scale that is required. That is why we are refocusing apprenticeships towards young people. We are also bringing support to where young people are by expanding youth hubs to over 360 areas across Great Britain. That is just part of our youth guarantee, which we are rolling out so that every young person gets the chance to earn or learn; and it accounts for part of the more than £1.5 billion that was made available for employment and skills support at the Budget, which will create around 355,000 new training or workplace opportunities. Our jobs guarantee will make available subsidised paid employment for around 55,000 young people. These are significant interventions, while the Conservatives offer nothing. The vision they have to offer young people is as bleak as the reality of their record: they offer low-paid, insecure work, and a cold shoulder instead of a helping hand. We have seen where that leads, and we have chosen a different path.
The Minister knows that youth unemployment was at 20% when the Conservatives came into power, and at 14% when we left. Can he commit that his Government, with their vast array of programmes, will bring youth unemployment back below the level that his Government inherited? Previous Labour Governments have failed to do that, and shoved up youth unemployment, with all the damage that goes with that. Will his Government ensure that the numbers come down, and if they do not, will the Government put their hands up and admit their failure?
That is why we are making interventions in the form of the youth guarantee and increased investment in the growth and skills levy. I gently point out that, as the right hon. Member will be aware, the rate of youth unemployment rose by 4% in the Conservatives’ last two years in office. Today we have heard attack after attack, and excuse after excuse for youth unemployment rising, but it was rising when they left office. This is not a new problem. It is a significant challenge that we are serious about addressing, but if the Conservatives wish to continue with their policy of collective amnesia about the mess that they left behind, they will never have anything to offer young people.
I turn to Opposition Members’ contributions, beginning with that of the shadow Secretary of State, the hon. Member for Faversham and Mid Kent (Helen Whately), who showed that the Conservatives have suddenly developed empathy for young people after leaving us with a NEET number of almost 1 million. We heard Tory Members compare the youth unemployment rate with those of other G7 countries, but we have the second-highest youth employment rate in the G7. We are not complacent, and we know that there is work to do. [Interruption.] I am aware that it is a different figure, but it is relevant when looking at the overall picture.
Several Members, but first among them was the shadow Secretary of State, said that nobody on the Government Front Bench had ever worked in a business. I suggest that she checks the record. Certainly, both the Minister of State, Department for Work and Pensions, my right hon. Friend the Member for Kingston upon Hull North and Cottingham (Dame Diana Johnson), who opened the debate, and I worked for many years in the private sector. I managed a small business; I worked in a global business; and I did several other jobs in the private sector in between.
Conservative Members suggested that they cut the welfare bill and halved unemployment, using a pick ‘n’ mix of flattering figures from various moments of their time in office. However, we, like people up and down this country, will judge them on their legacy when they left office. They left a spiralling welfare bill that disincentivised people from looking for work, and they left us the only G7 country with a lower employment rate than before the pandemic. They are not prepared to face up to the mess that they left our country in, and they do that time and again. I admire their chutzpah for continuing to table Opposition day debates on subjects on which their record is absolutely appalling and by a considerable margin the most significant factor in what we face today, but that does not mean that the public will forgive or forget what they left behind.
The Liberal Democrat spokesperson, the hon. Member for Richmond Park (Sarah Olney), asked about the impact of artificial intelligence on the workforce. I assure her that the Government are cognisant and mindful of the need to keep a close eye on it. We have recently set up a new cross-Government unit that will look at AI’s impact on the labour market, and will offer free AI foundations training for all workers. She raised concerns about the defunding of level 7 apprenticeships. I will not pretend that the Government’s decision is not difficult. We have chosen to target the apprenticeship funding that this Government have to spend on young people. That is because they are less likely to have a relationship with an employer who might be able to fund their training, and less likely to be able to access some of the other opportunities that people who access higher-level apprenticeships might have, and because there are other routes, including a more traditional higher-education route, for people to access instead of a level 7 apprenticeship.
The hon. Lady asked about the timing of the roll-out of the youth guarantee. The first tranche—the first 55,000 opportunities—will be in place from April, and by September we will see the roll-out of the full 300,000. She went on to criticise the national insurance increase in the Budget and its impact, but then set out that the Liberal Democrats would cut business rates and VAT and scrap that national insurance contribution increase. I say to her gently that that is the problem with the Liberal Democrat position; they never say how they would pay for it, or what they would do. She lambasts the decisions taken in the first Labour Budget. Would the Liberal Democrats choose to withdraw the additional money that has gone into the NHS? It is not credible to set out only what they are against.
We heard a number of excellent contributions from my hon. Friends the Members for Norwich North (Alice Macdonald), for Welwyn Hatfield (Andrew Lewin), for Gillingham and Rainham (Naushabah Khan), for Harlow (Chris Vince) and for Banbury (Sean Woodcock). Those excellent contributions not only highlighted the toxic legacy of the Conservative party, but set out the range of key interventions that this Government are making, which include, but are not limited to, the youth guarantee.
I think the right hon. Member for East Hampshire (Damian Hinds) asked a question about the timing of Connect to Work, but I may have lost track.
It was about the Minister’s projection for the Connect to Work numbers by the end of this financial year, its first year in operation.
I thank the right hon. Gentleman for that clarity. He will be aware that Connect to Work is already live in two thirds of delivery areas. By April, that will be all areas. In his area of East Hampshire, it is already live, and we expect that it will support up to 4,800 people.
I will confirm for him separately the figure for this financial year. That figure is the aspiration in the round, using the £18.7 million funding that has been made available.
The right hon. Gentleman then launched a staunch defence of zero-hours contracts. He will know that we have a fundamentally different view of that. It is my view that insecure work is a blight. It is hugely problematic for those on challenging budgets not knowing what hours they have to work each week. This is the fundamentally different perspective that we have on this side of the House.
Would the Minister apply that principle to bank staff working in the national health service who have what is in fact a zero-hours contract—a bank staff contract—to top up in other roles in the NHS when that support is needed?
The challenge in the NHS is markedly different—I would freely acknowledge that—but the right hon. Gentleman is talking about other roles in the NHS. It is not unusual for people to hold more than one job if they are operating as bank staff, so they do not have the uncertainty about receiving no funding at all.
The right hon. Gentleman also made the criticism that the jobs guarantee only kicked in after 18 months. That is the final stage of a range of new interventions that this Government are putting in place, including an additional supported conversation at 13 weeks, followed by four weeks of intensive work coach support with specialist teams. It is not just a question of a jobs guarantee after 18 months; a broad range of interventions are being put in place.
The hon. Member for Beaconsfield (Joy Morrissey), who I do not think is in her place, said that apprenticeships were an opportunity for young people to find work, and I quite agree with her, but the reforms of the Conservative party had the effect of delivering a situation where, as the Liberal Democrat spokesperson said, the average age of those entering into apprenticeships was significantly increased. We are seeking to reverse that trend, and it is important that we do so. This is a key mechanism for giving young people the skills that they will need in the future. I believe she also called this a youth unemployment crisis of this Government’s making. I fail to see how that can possibly be the case when there was such a stark increase in the youth unemployment figures in the final two years of the Conservative Government.
The hon. Member for Bromsgrove (Bradley Thomas) said that the best welfare support of all was a job, so he will be delighted to see the additional 513,000 people who have entered into employment over the past 12 months. The hon. Member for Leicester East (Shivani Raja), who is also not here, said that she was tired of hearing about this Government’s ambition, but the Conservatives had a paucity of just that. They left almost a million NEETs, a welfare system that disincentivised work—something we have begun to address—and an employment rate lower than before the pandemic. They can accuse us of being too ambitious if they like, but they had given up on delivering opportunity for our young people—something that this Government will never do.
The right hon. Member for Beverley and Holderness (Graham Stuart) asked how we would encourage an employer to take a chance on a young person. We are doing that by not charging national insurance contributions for under-21s or for apprentices under 25, by fully funding apprentices at SMEs and by placing young people in six months of guaranteed work if they have been out of the workforce for 18 months so that they have the chance to prove themselves. That is a range of interventions that we are putting in place because we recognise that there is a challenge with youth unemployment. It is long standing and it is not new, but we take it very seriously.
On the point that the right hon. Member for Beverley and Holderness made, the natural extrapolation to what I believe the Conservatives are suggesting is that the way to incentivise that employer would be to allow them to pay less than the minimum wage or indeed cut the minimum wage rate for young people. I would oppose that. Would the Minister?
I certainly would. I also note that the Opposition spokesperson, the hon. Member for West Worcestershire (Dame Harriett Baldwin), having complained about the increase in the minimum wage in her closing contribution, failed to say what level the Conservative party think it is acceptable to reset that at. I personally could not look young people in the eye and justify such a cut to their wages, but the Conservatives seem happy to do so.
The shadow Minister also pointed to the lack of a plan of action, but that was set out comprehensively by my right hon. Friend the Minister for Employment, underpinned by the £1.5 billion for the youth guarantee and growth and skills levy funding increase, but not limited to those interventions alone. The attacks on the national minimum wage increase are frankly a smokescreen for a party whose policies targeted young people for 14 years and would very clearly continue to do so now.
I cannot resist remarking that I thought it more likely for the hon. Member for Mid Leicestershire (Mr Bedford) to be in the young person category than in the 40-plus category. I note that he has had a change of employment status, because he was on the Front Bench on Monday but has returned to his previous position in the Parliamentary Private Secretary pigeonhole—there is a thriving labour market on the Conservative Benches, if nowhere else. He pointed to youth unemployment rising, homeownership falling and NEETs being on the up. That is a brave take given that every single one of those facts was true in July 2024. He then asked—again, this is daring, but I know that he is daring if nothing else—what that had done to the voting intentions of young people in relation to the Labour party. If I were a Conservative Member of this place—I have no intention of being one, and I do not know how much longer he intends to be one—I would not point to any other party’s polling among 18 to 24-year olds, because theirs is truly dire given the appalling legacy that they left behind.
Andrew Lewin
Speaking of daring, the Leader of the Opposition said today that the Conservatives do not want any more centrist ideas. What does the Minister make of that and their future with young people?
If that is the position of the Leader of the Opposition, Conservative Members may need to find a new home other than Reform—[Interruption.] I am not sure where that comment came from, but I think it might have been my hon. Friend the Member for Bury South (Christian Wakeford), who knows a little about political journeys and will allow me to leave it there.
I, too, am concerned about the spiralling welfare bill and the rise in youth unemployment, about which we have heard a lot today, but the shadow Minister refused to set out what the Conservatives would do. If that is the best that they can offer on one of the few days a year on which they have control of the Order Paper—no idea, no clue and no plan beyond highlighting multiple problems in our society, which we inherited directly from them, as the facts show—I think they will have rather more Opposition days before they come back to the Government side of the House.
Question put (Standing Order No. 31(2)), That the original words stand part of the Question.
(1 month, 3 weeks ago)
Commons Chamber
Peter Swallow (Bracknell) (Lab)
My hon. Friend will be pleased to know that we have already taken action. We published the skills White Paper in October, and we are investing £1 billion in skills packages in sectors that will create hundreds of thousands of jobs over the next five years. The Budget also set out more than £1.5 billion investment in employment and skills support over the spending review period, including for the youth guarantee and apprenticeships for young people.
Peter Swallow
I welcome the commitment in the post-16 education and skills White Paper to support the development of skills passports, because supporting young people to develop essential skills such as media and financial literacy, communication and problem solving must be at the heart of our plans to tackle youth unemployment. What conversations has my hon. Friend had with the Education Secretary on developing and capturing skills before 16 as well?
I confess that my hon. Friend has had more conversations with the Department for Education on this subject than I have, because he met the Secretary of State recently to discuss this. He will be pleased, I am sure, to know that the Department for Work and Pensions, working with UKHospitality, piloted skills passports in the hospitality sector last year, and that the role of my noble Friend the Skills Minister sits directly between the Department for Education and the Department for Work and Pensions specifically so that the sort of joined-up work to which he refers can take place.
Vikki Slade (Mid Dorset and North Poole) (LD)
Samee is a charity working in Dorset to support disabled young adults into self-employment. It has celebrated 10 years and supported 2,700 people, and it has what it tells me is the world’s only supported self-employed internship. Young people who have learning disabilities have great skills for self-employment. However, they cannot access the work because they cannot get a unique tax reference because they take more than 12 months to get to the relevant earnings levels. What is the Minister doing to help young people into self-employment so that they can fulfil their destiny?
The hon. Member raises an important point. Can I begin by commending that charity in her constituency? There is an acknowledgment among the ministerial team that we need to look particularly at the support available for people looking to move into self-employment, and I would be happy to meet her to discuss the work of the charity further.
Phil Brickell (Bolton West) (Lab)
I am very sorry to hear about the case that the hon. Gentleman raises. If there is evidence of false claims made in applications, I would clearly be very grateful if he would share that information with me directly. I will be sure to come back on him—[Interruption.] I will come back to him on that to ensure that it is fully investigated. If we are coming back on anybody, it will hopefully be the gentleman to whom he has referred.
Dr Simon Opher (Stroud) (Lab)
People who come to this country and make it their home are welcome to work and pay their taxes. However, Ministers may have seen reports over the weekend of foreign career criminals who have been spared prison now claiming universal credit. Taxpayers are going to be outraged by this fact, so what action will the Minister take to ensure that only people who are entitled to receive universal credit do so, and that career criminals do not?
The hon. Gentleman raises a very serious issue. Payment accuracy and ensuring that only those who are eligible to claim benefits do so are incredibly important for confidence in the system. I have not seen the specifics of the case to which he refers, but where we become aware that such errors have been made, we seek to claim that money back. We have taken further powers through the Public Authorities (Fraud, Error and Recovery) Act 2025 to take action against the sorts of serious and organised criminals he refers to, and I am pleased to say that that Act received Royal Assent last month.
Jo White (Bassetlaw) (Lab)
What discussions has the Minister had on removing universal credit from convicted killers who are currently serving a sentence in a psychiatric hospital?
Mike Martin (Tunbridge Wells) (LD)
My constituent Andrew co-founded Adzuna, a job search website built on artificial intelligence. Its research shows that existing AI tools could improve the DWP’s service and create 250,000 more jobs per year. However, it is reported that the new rebuild of the service is not going to include those AI tools. Can the Secretary of State give the House reassurance that we are going to incorporate those new tools into the rebuild of the service so that we get that employment boost?
The hon. Gentleman will forgive me if, for commercial reasons, I do not confirm that Adzuna’s specific tool or any other would be part of the work we are taking forward. I can tell him that we will be bringing forward a new AI tool in the coming months that will include not only “find a job” options, but CV support, interview training and various other cutting-edge tools that will support people up and down the country into work, utilising the power of AI.
Johanna Baxter (Paisley and Renfrewshire South) (Lab)
The UK shared prosperity fund currently supports about 20% of Renfrewshire council’s employability budget. Given that that funding is due to come to an end, can my right hon. Friend outline what steps he will take to support employability services in Renfrewshire going forward?
Dr Ellie Chowns (North Herefordshire) (Green)
My constituent has been trying for more than five months to get a response from the DWP about his UC claim. Having now taken up the case, I too am experiencing unacceptable delays—it is now 15 weeks and counting, when the supposed turnaround is 15 days. Can the Minister please say what action he is taking to ensure that the DWP responds to constituents and to MPs within reasonable timescales?
May I begin by apologising to the hon. Lady for the experience that she and her constituent have encountered? She will be pleased to know that I recently met our newly appointed complaints lead and the independent case examiner, who is raising concerns about the trends she is seeing. We are putting in place a range of interventions that take us forward in a positive way to improve our complaints handling process, and I will be happy to share more detail with her directly.
Neil Duncan-Jordan (Poole) (Lab)
The Joseph Rowntree Foundation and the Trussell Trust are campaigning for an essentials guarantee that would ensure that benefits cover the necessities for living. Does the Minister agree that the welfare state should be a universal safety net, not a trapdoor?
Max Wilkinson (Cheltenham) (LD)
My constituent Sam has been failed by the Child Maintenance Service. Her ex-partner hid a load of his income. She knows that because the CMS sent her the evidence but then denied it. Any reference to onward referrals is denied, and she is stuck in the bureaucracy. This is an unacceptable situation. She says that by the time the back payment comes through for her children, she will be passing it straight through to her grandchildren. It is a total disgrace. Women should not be treated like this; they should not be subjected to this kind of failing bureaucracy. Will Ministers look into the matter and into Sam’s case?
I will have a look at the general issue, and if the hon. Member could share details of Sam’s case with me directly, I would be happy to look at it for him.
(3 months, 1 week ago)
Commons ChamberSkills England is playing a central role in delivering the Government’s plan for change and industrial strategy. It is the authoritative voice on skills needs and is informing the post-16 education and skills White Paper; supporting the delivery of sector skills packages in digital, AI, engineering, construction and defence; and informing decision making through the labour market evidence group’s work on migration.
It really is not ideal to have the body responsible for upholding standards in qualifications inside a Department that will be judged on how many people it gets through to passing those qualifications. It was not ideal when it was at the Department for Education; it is even less ideal now that it is at the Department for Work and Pensions. Will the Minister give a commitment that once Skills England is up and running, he will make it independent from Government, with a guaranteed voice for industry, and will he set that out in statute?
I appreciate the point that the right hon. Gentleman makes. Clearly we want to ensure that Skills England is set up to be successful and to have a real impact in delivering the skills that we need in the workforce now and into the future. I am very happy to commit today to setting up a meeting for the right hon. Gentleman, should he so wish, with the chair of the board of Skills England, Phil Smith, to discuss his concerns directly.
Skills England has the potential to really make an impact in places like north Staffordshire, where there are skills that we need for the jobs of tomorrow. However, those programmes are too often piloted through mayoral combined authorities, and we are a long way from that in Staffordshire. How will the Minister ensure that areas that do not have mayors on the horizon can access the same exciting opportunities as everywhere else?
I recognise that my hon. Friend takes a keen interest in the delivery of these courses and in various skills training sectors in his constituency. Indeed, I am writing to him today in response to his last question. He is absolutely right that we need to ensure that areas that are further away from the establishment of MCAs are not left behind. That is a valid concern, and I will be certain to share it with my noble Friend the Skills Minister on his behalf.
Michelle Scrogham (Barrow and Furness) (Lab)
Perran Moon (Camborne and Redruth) (Lab)
We have already taken action: we published the skills White Paper in October and we are investing £1 billion in skills packages in sectors that will create hundreds of thousands of jobs over the next five years. The Budget set out more than £1.5 billion over the spending review period for investment in employment and skills support, including for the youth guarantee and apprenticeships for young people.
Michelle Scrogham
After 14 years of neglect, young people in Barrow and Furness are going to benefit from this Government’s commitment to supporting the apprenticeships that will drive our local economy. Does the Minister agree that Labour’s unprecedented investment in skills shows just how serious this Government’s commitment is to driving opportunity in communities like mine, and will he further agree that Barrow-in-Furness should be one of the locations for the Government’s new defence technical excellence colleges?
I will take my hon. Friend’s two questions separately. I strongly agree with her on the first question, because this package of investment will fund new measures to support apprenticeships for young people, including by fully funding apprenticeships at small and medium-sized enterprises for eligible people aged 16 to 24 to boost small business starts and prioritise funding to young people, starting from the next academic year. We are working with colleagues in the Ministry of Defence and the Department for Education to deliver the £182 million defence skills package aimed at harnessing the skills needed for the future and meeting the needs of people at various stages in their training and career pathways. My hon. Friend is an exceptional champion for her community in Barrow and Furness. I will not be drawn directly on her question about the location of defence technical excellence colleges, but I would say that there is considerable and rich expertise in Barrow, and I am sure that a college there would be hugely successful.
Perran Moon
Cornwall has been identified as a strategically important region for renewable energy and critical minerals, but we currently have a worrying shortage of places at our outstanding further education colleges. Can the Minister reassure me that the necessary skills funding will be made available to support these growth industries in an area of high social deprivation that was neglected by the Conservatives for 14 years?
My hon. Friend will be pleased to know that we published our clean energy jobs plan in October, which set out how we will deliver the pipeline of skilled workers that the sector needs. The plan includes five technical excellence colleges that will specialise in training skilled clean energy workforces as part of a £182 million investment to support engineering skills in clean energy occupations and other priority sectors. Local skills improvement plans will help to identify the key skills priorities for each area of the country, and clean energy and other green skills must be considered in the development of those plans.
Liz Jarvis (Eastleigh) (LD)
Stuart, the managing director of GW Martin—a precision engineering manufacturing firm based in my constituency—welcomes the additional support for apprentice training in small and medium-sized enterprises, but asks that the Government ensure that training providers will receive adequate funding to strengthen the training available. Can the Minister assure Stuart that fantastic SMEs such as GW Martin will be supported so that they can employ more young people from Eastleigh and give them meaningful opportunities to start their careers?
I can give the hon. Lady that clear assurance, using two specific examples of the work the Government are doing. First, we have provided £725 million of additional support for the delivery of the growth and skills levy in the Budget. Secondly—specifically to the hon. Lady’s question—the delivery of apprenticeships for small and medium-sized enterprises will be fully funded for young people moving forward. That crucial intervention will ensure that the funding that this Government are allocating to apprenticeships tackles the problem of young people not in education, employment or training.
As was identified in the national food strategy, there is a shortage of skills in food and farming. The Liberal Democrats are proposing a “Farm First” scheme to give young people training and the incentive they need to choose a career in farming. Will the Minister outline the steps the Government are taking to create pathways to increase the number of post-16 learners who undertake training in food and farming?
The hon. Lady will recognise the significant investment that this Government have put into agriculture more broadly since coming into office. I am not aware of the “Farm First” scheme, but if she would like to write to me about it, I would be happy to meet to discuss it further.
Monica Harding (Esher and Walton) (LD)
I thank my hon. Friend and constituency neighbour for his question and for highlighting the record of the Conservatives on this issue. He knows that I know his constituency well. I also know the work of Nacro well, and I take this opportunity to commend that organisation. Youth hubs such as this one—along with our youth guarantee and other interventions—are a really important part of this Government’s work to bear down on young people not in education, employment and training.
Peter Fortune (Bromley and Biggin Hill) (Con)
Sally Jameson (Doncaster Central) (Lab/Co-op)
My hon. Friend is correct. The Milburn review will consider all the interventions required to bear down on NEETs and to support institutions such as the Doncaster UTC. It will consider what is working, what is not, and what needs to change, given our shameful inheritance from the Conservative party of nearly 1 million young people not in education, employment or training.
Caroline Voaden (South Devon) (LD)
One of my constituents recently spent nearly two weeks calling the DWP every day to find out why his employment and support allowance had been stopped without warning. Each time he called, he waited for over an hour, only for the line to be cut off with no reply. Will the Minister explain to my constituent—and to the thousands of others who are out there hanging on a line somewhere—what action the Department is taking to ensure that vulnerable claimants can actually speak to a human when they need to?
I thank the hon. Lady for raising that important case. If she writes to me about it, I will be certain to look into the circumstances she has set out. On telephony more generally, there has been a significant decrease—of more than a minute—in the average waiting time, but clearly the case that she describes is unacceptable, and I will look into it on her behalf.
Emma Foody (Cramlington and Killingworth) (Lab/Co-op)
(3 months, 1 week ago)
Written StatementsI, alongside Public Sector Fraud Authority Ministers, would like to advise the House that today the Government have launched two public consultations on the codes of practice associated with the Public Authorities (Fraud, Error and Recovery) Act 2025. One is led by the Department for Work and Pensions and the other by the PSFA. These will consult on the following codes:
Public Sector Fraud Authority: Civil penalties.
Department for Work and Pensions: Eligibility verification notices, recovery of debt via direct deduction order and disqualification from driving and obtaining information to support fraud investigations in the welfare system.
The 2025 Act includes a statutory obligation for the PSFA to issue a code of practice on the administration of civil penalties, and for DWP to publicly consult on the codes for the eligibility verification measure and debt recovery measures before the powers are used for the first time. In terms of the code relating to the information gathering powers, the Secretary of State Work and Pensions similarly has a duty to consider representations on the draft code under section 3 of the Social Security Fraud Act 2001.
As we made clear through the passage of the Act, these codes are important safeguards that will support effective and proportionate application of these powers. They are necessary pieces of departmental guidance and will guide the operation and management of the new powers by outlining, in more detail, how the powers taken through this Act should be delivered, reflecting the newly passed legislation.
The powers granted through the Act will allow the Department to better identify, prevent and deter social security fraud and error and enable the better recovery of debt owed to the taxpayer. The launch of today’s consultations is another step towards delivering the Government’s manifesto commitment to safeguard taxpayers’ money and demonstrates that this Government will not tolerate fraud or waste in public services.
This Government are committed to full and thorough consultations to allow input from a broad range of perspectives, which will help to inform the final versions of the codes. Consequently, the consultations on these codes will take place over 12 weeks. This means that the code for each measure will be published ahead of the relevant measures commencing implementation.
During the passage of the Act, a statement was made during Committee in the House of Commons that the DWP codes would be laid in Parliament for a minimum of 40 sitting days prior to formal publication. Considering the extensive engagement that our officials had with stakeholders throughout the passage of the Act, which will continue through these consultations and beyond, we no longer believe that this is necessary.
In addition, we have made previous draft codes available on request to parliamentarians since 23 May 2025. This has provided ample opportunity for Members to review the draft codes, and Members will be able to consider these further during the consultation period. This approach will allow us to begin the important work of exercising these powers sooner to deliver the estimated benefits of £1.5 billion by 2029-30, as scored by the independent Office for Budget Responsibility.
The consultations will launch today, Monday 8 December 2025, and run until Friday 27 February 2026. These consultations can be found on www.gov.uk. The codes will be officially laid once the consultation, formal response and final versions are complete.
[HCWS1133]
(3 months, 2 weeks ago)
Written CorrectionsThe Liberal Democrat spokesperson, the hon. Member for Torbay (Steve Darling), mentioned the challenges facing sectors including hospitality—I know that he has a particular interest in that sector, given the constituency he represents—and their inability to hire young people. I appreciate the challenges that he set out, but I hope that he will be pleased to hear that the new foundation apprenticeships will have a particular focus on sectors including hospitality and will be fully funded.
[Official Report, 26 November 2025; Vol. 776, c. 199WH.]
Written correction submitted by the Under-Secretary of State for Work and Pensions, the hon. Member for Stretford and Urmston (Andrew Western):
…I appreciate the challenges that he set out, but I hope that he will be pleased to hear that the new foundation apprenticeships have a particular focus on sectors like construction and apprenticeships in SMEs will be fully funded for eligible young people.