Spring Statement

Debate between Lord Livermore and Lord Skidelsky

Thursday 27th March 2025 Lords Chamber

[Lord Skidelsky (CB)]

My Lords, do the Government believe that we have a shortage or a surplus of labour? The question arises because the OBR has calculated an output gap of 0.5%, closing by 2027, which suggests that we actually have full employment, yet that flies in the face of common sense. We have 1.5 million people, or 4%, unemployed; 8.4 million, or 20%, working part-time; 2.3 million, or 5%, on disability benefit; 3.3 million, or 8%, on incapacity benefit; and 4.2 million, or 10%, drawing sickness benefit. I am not suggesting that they are all available to work—of course that is not true—but some of them are. Can the Minister ask the OBR to make clearer the basis of its calculations of capacity and output gaps? On those depends the whole success of the Government’s economic strategy.

[Lord Livermore (Lab)]

I am grateful to the noble Lord for his question and his expertise on this matter. He rightly highlights one of the most important challenges facing this country, which is inactivity. We have far too many people who are economically inactive. We are the only country in which inactivity has not reduced to pre-pandemic levels at this point, and that clearly is not a sustainable situation. A lot of our policies are driven towards ensuring that people can re-enter the labour market, exactly as he says. On speaking to the OBR, I am more than happy to make that point to my colleagues.

International Banking: Payments

Debate between Lord Livermore and Lord Skidelsky

Thursday 28th November 2024 Lords Chamber

[Lord Skidelsky (CB)]

My Lords, the noble Lord, Lord Collins, stated in this House on 15 October:

“Sanctions … are a crucial tool to weaken Russia’s ability to attack Ukraine”.—[Official Report, 15/10/24; col. GC 21.]


After nearly three years of sanctions, do the Government still consider them to be an effective tool, especially in the light of the evasions which have been mentioned earlier in the debate? I call upon the Government yet again to give an undertaking to publish their assessment of the effectiveness of the sanctions regime, so we can have an evidence-based debate on the subject rather than being fobbed off with mere assertion.

[Lord Livermore (Lab)]

The answer to the noble Lord’s first question, in terms of whether we consider them effective, is yes. In the case of Russia’s invasion of Ukraine, these measures have dramatically reduced Russia’s access to global financial markets and weakened its ability to finance its illegal invasion of Ukraine. Russia’s increasing reliance on North Korean and Iranian weapons highlights the impact these sanctions have had. We will pursue any necessary steps with our allies to maintain and reduce opportunities for the circumvention or evasion of international sanctions.