Spring Statement

Debate between Viscount Younger of Leckie and Lord Livermore

Thursday 27th March 2025 Lords Chamber

[Viscount Younger of Leckie (Con)]

My Lords, the Government have had difficulty in scoring the £1 billion that has been mentioned and predict that there will be 16,000 fewer jobs as a result of the welfare changes. How have the Government come to this huge sum, where is it going to help and how many people are predicted to be helped? The Government must know this before the OBR revert in September. If they do not, why not?

[Lord Livermore (Lab)]

I am grateful to the noble Viscount; he has far greater expertise in these matters than I do. The Secretary of State, when she presented the package of reforms to Parliament, said that the costings that she was setting out were subject to final costings by the OBR. The OBR has now set out its final assessment of costings and confirmed that this welfare package will reduce welfare spending by £4.8 billion in 2029-30. Following the OBR’s final assessment of the welfare savings from the package, taking account of the £1.4 billion of investment the Government are putting towards the reforms, including the £1 billion of employment support, the net welfare savings of this investment is around £3.4 billion.