Women’s Contribution to the Economy

Debate between Caroline Spelman and Paul Uppal

Thursday 6th March 2014 Westminster Hall

[Mrs Spelman]

Absolutely. The hon. Lady makes a good point and she shows perfect timing. I have a lot of material for today’s debate, and I may not use it all, but I want to come on to the issue of the costs of child care, because it is a significant factor and it affects women’s earning potential. If they have to take a career break, it eventually has a negative impact on their earnings during their career.

The ONS report from last year showed that the age of children and the relationship status of the mother are important factors in determining the likelihood of mothers being able to go to work. Only 39% of single mothers whose youngest child is aged three or below are in work, compared with a figure of 65% for those mothers who are in a couple. That situation changes later on, with 61% of single mothers who have a youngest child of primary school age in work, because it becomes possible for the lone parent to get back into the workplace.

The cost of child care is a real challenge. There was a report only this week that showed that child care costs more than the average mortgage, which should concern us all. However, the Government have taken significant steps to try to help women with the cost of child care: introducing shared parental leave from April 2015; funding 15 hours a week of free child care for all three and four-year-olds, which will save families approximately £380 a year per child; funding 15 hours a week of free child care for disadvantaged two-year-olds, which will save the most disadvantaged families more than £2,400 a year per child; introducing tax-free child care for lone parents in work, and for families with two working parents who each earn less than £150,000; and increasing child tax credit to £3,625 a year. These are all steps in the right direction, but for a lot of women, the cost of child care remains a significant deterrent to being active in the economy.

[Paul Uppal (Wolverhampton South West) (Con)]

I am being pre-emptive in thanking my right hon. Friend for securing this debate. I should like to mention something that is not often highlighted in political circles, or generally in business circles. I used to work from home and was a stay-at-home dad, raising my two teenage children. There has been a slight role reversal. My wife is a lawyer, as my right hon. Friend is aware. We are now bringing up our third child. The role of men, and being a proper father, is crucial. Sometimes, not just politicians, but men in business and of all backgrounds need to talk about their contribution to the family.

[Mrs Spelman]

My hon. Friend makes a good point. He has been a role model to his children, who will remember the time that he spent at home with them.

[Paul Uppal]

I am not sure about that!

[Mrs Spelman]

I am optimistic that that will be so. It may take a long time before the kids say, “Thank you very much, dad,” but when they are raising their own children, it might just occur to them.

Capitalising on the contribution that women can make to the economy is vital for our economic recovery. Women’s contributions are already significant, but there is potential for much more. We need to take steps actively to encourage this, taking the global picture into account, and learning from the example of both international and domestic companies and charities that are leading the way, such as Coca-Cola, JLR, Tearfund, Oxfam and others. We need women to be actively involved in the economy for this country to achieve its full potential. The female economy is the key to a sustainable future.