Welfare Reform

Esther McVey Excerpts

Tuesday 18th March 2025 Commons Chamber

[Liz Kendall]

My hon. Friend raises a really important issue. Patience is not my greatest virtue, but Members will need to wait until the spring statement for the OBR’s full assessment of individual measures and the savings they make. On delaying access to the health top-up for people under 22, there will be a specific exemption for those who are never able to work because their disability is so severe. This is all about matching it with our youth guarantee, announced in the Get Britain Working plan, to make sure every young person is earning or learning. If someone is not in education, employment or training when they are young, the impact can be lifelong and scarring on their health, job prospects and earnings, so we have to put that right.

[Esther McVey (Tatton) (Con)]

How precisely will these benefit cuts be realised, given this Government’s anti-business Budget, which has seen businesses close at the fastest rate since Labour was last in office? Of those still standing, 30% are planning to cut staff to cope with the increase in employers’ national insurance contributions. Where are the jobs? We know Labour is the party of the magic money tree; is Labour now the party of the magic jobs tree, too?

[Liz Kendall]

The only party that believes in magic money is the Conservative party, who wrote a cheque that they could not pay. Unlike Conservative Members, we believe that good work and rights at work are of benefit to businesses, because the best businesses know that they help retain people and reduce the costs of recruitment. We are overhauling our approach in the DWP to employers, because only one in six ever uses a jobcentre to recruit. We want to have a single account manager for all businesses. We are going to make sure our jobcentres are much more embedded in their local communities, so that they have detailed knowledge of individual employers. That is the way that we get Britain working and growing again.