Oral Answers to Questions

David T C Davies Excerpts

Monday 3rd November 2014 Commons Chamber

[David T. C. Davies (Monmouth) (Con)]

2. What assessment he has made of the effect of his welfare reforms on the economy.

[The Secretary of State for Work and Pensions (Mr Iain Duncan Smith)]

Our reforms are having a very positive impact on the economy, as my hon. Friend has seen. The deficit is down by more than a third, and we are at a record level of employment. Recent statistics have shown that both the number and rate of workless households is at a record low, too—the lowest since 1996.

[David T. C. Davies]

May I commend my right hon. Friend on these reforms, which as he said have led to record falls in unemployment while also cutting the deficit? Does he agree with me that all of this is threatened by the policies suggested by Labour Members, who caused the financial chaos that we have had to deal with in the first place?

[Mr Duncan Smith]

My hon. Friend is absolutely right. It is worth highlighting one particularly revealing set of figures. For workless households, both the number and the rate are at record lows: 3.3 million and 15.9% are the lowest since ’96. Children in workless households number 1.5 million, at a rate of 12.7%—again, the lowest on record. Under Labour, some 2 million children lived in workless households. That is now collapsing, thanks to the work we are doing. Labour’s plans would only return us to the bad old days.