Unemployment

Barry Sheerman Excerpts

Wednesday 14th December 2011 Commons Chamber

[Mr Byrne]

I will in a moment.

Amid these difficulties, people in this country expect the Minister for work to do something about it, and I think that I speak for many Members of the House when I say that most right-thinking people in this country believe that the Government should be doing more to get people back to work.

During Work and Pensions questions a month ago I pressed the Secretary of State to tell us what exactly he is doing to get Britain back to work. A vast constellation of initiatives was set out, including work clubs, work experience, apprenticeship offers, sector-based work academies, the innovation fund, the European social fund, the skills offer, the access to apprenticeships programme, Work Together, the Work programme, Work Choice and mandatory work activity. Listening to that list, I became slightly puzzled. With such sweat being worked up at the Department for unemployment, surely we could expect the country’s unemployed to be positively flowing back into jobs. Members can imagine my surprise when I saw the Office for Budget Responsibility’s forecast that, amid that blizzard of initiatives, unemployment is forecast to go up. How can that be?

We asked the Secretary of State to tell us just how many jobs have been created by this glorious expenditure of energy at his Department. This is what we were told in a written answer in Hansard. On Work Choice, no statistics will be available until spring 2012. On mandatory work activity, no statistics will be available until February 2012. On work clubs,

“the data requested are… not available.”

On work experience, a link was provided to a website that says nothing about jobs actually created. On apprenticeship offers, we were told:

“Information on the number of people placed in work through apprenticeship offers… is not available.”

On sector-based work academies, we were told that

“there is no national requirement for districts to record and report job outcomes achieved.”

On the skills offer, “information… is not available.” On Work Together,

“the data requested are not available.”

On the innovation fund,

“no young people have been placed into work at this point.”—[Official Report, 21 November 2011; Vol. 536, c. 122W.]

Here we are, with unemployment going through the roof and the OBR telling us that unemployment is forecast to rise again next year, but despite the multiplicity of schemes laid out by the Secretary of State, who cannot be bothered even to come along to the debate, he cannot tell us how many people are going into work as a result of the spending his Department has in place, with the exception of one programme. The one initiative—it is buried in his answer in Hansard—run by his Department that he can claim is actually creating jobs is the programme financed by the European Union. He said:

“European Social Fund support has achieved 75,671 job outcomes from July 2008 to October 2011.”—[Official Report, 21 November 2011; Vol. 536, c. 122W.]

No doubt that is why he is urging his right hon. Friend the Prime Minister to get the hell out of the EU.

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

Are not leadership, boldness and imagination missing from that catalogue? With 1 million young people unemployed, surely we need something that captures the imagination—for instance, by using young unemployed graduates to train other people in the community and in the environment. We need imagination now.

[Mr Byrne]

My hon. Friend is absolutely right, and he has been a long-standing champion of the need to get young people into work and, crucially, equip them with the skills to succeed in the workplace, but I am afraid that we have a deficit of that from the Government. It is an embarrassment for the Minister that he is unable to tell the House how many people his schemes are getting into work. The Secretary of State appears to have so much confidence in the schemes that he cannot be bothered to turn up this afternoon. However, I want to make a more substantive point about the Minister’s flagship scheme.

--- Later in debate ---

[Chris Grayling]

What the hon. Lady has missed is that the OBR said at the time of the autumn statement that the structural deficit—not the cyclical deficit—that we inherited from the previous Government was much worse than it had previously believed. That means that the economic legacy that we inherited was much worse than we had previously believed. It is therefore a much bigger task to overcome that and to get the economy growing again, to get jobs being created again and to get Britain moving.

[Mr Sheerman]

I know that the Minister cares about this issue and that we are going to have point scoring. However, a million young people and their many millions of parents and friends are waiting for something to happen. Point scoring will not help them. The shadow Secretary of State finished by remembering the 70th anniversary of the Beveridge report. He was offering an olive branch. In that spirit, why can the Government not say, “Let’s all get around a table and find something together that helps the young unemployed people in this country.”?

[Chris Grayling]

The hon. Gentleman will learn, if he listens to my speech, that we are already doing things. We have delivered a package of support that will make a significant difference to the lives of the unemployed.

We keep hearing about a mythical two-year gap in provision. I remind the Opposition that the programmes that we inherited from them finished only three months ago. Today’s unemployment figures cover part of the period when the previous Government’s programmes were continuing.

Let me take up the points that the right hon. Member for Birmingham, Hodge Hill (Mr Byrne) made about this morning’s unemployment figures. He questioned why I had said this morning that the labour market had showed some signs of stabilisation. Let me explain why. It is because over the past month, employment has risen by 38,000 and unemployment has risen by 16,000, a number that is considerably exceeded by the change in activity levels. The youth unemployment figure, excluding full-time students, has remained static, and the jobseeker’s allowance claimant count has risen by 3,000, whereas the total number of people who have moved off incapacity benefit and income support as a result of our welfare reforms is 10,000. Those are one month’s figures and certainly do not reflect a long-term change, but they are at least a sign of some stabilisation in the labour market. I think he would and should welcome that.