Welfare
Esther McVey Excerpts(8 years, 2 months ago)
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The Secretary of State for Work and Pensions (Ms Esther McVey)
Supporting people with mental health conditions is a top priority for this Government. We are committed to ensuring our welfare system is a strong safety net for those who need it. That is why we spend over £50 billion a year supporting people with disabilities and health conditions—more than ever before.
Disabled people and people with health conditions, including mental health conditions, deserve the very best support. Personal independence payment (PIP) replaced the out dated disability living allowance (DLA) system, with 66% of PIP recipients with mental health conditions receiving the higher rate of the benefit, compared with just 22% under DLA.
On 21 December 2017 the High Court published its judgment in the judicial review challenge against regulation 2(4) of the Social Security (Personal Independence Payment) (Amendment) Regulations 2017 S.I. 2017/194. The regulations reversed the effect of the upper tribunal judgment in MH.
I wish to inform the House that, after careful consideration, I have decided not to appeal the High Court judgment. My Department will now take all steps necessary to implement the judgment in MH in the best interests of our claimants, working closely with disabled people and key stakeholders over the coming months.
Although I and my Department accept the High Court’s judgment, we do not agree with some of the detail contained therein. Our intention has always been to deliver the policy intent of the original regulations, as approved by Parliament, and to provide the best support to claimants with mental health conditions.
The Department for Work and Pensions will now undertake an exercise to go through all affected cases in receipt of PIP and all decisions made following the judgment in MH to identify anyone who may be entitled to more as a result of the judgment. We will then write to those individuals affected, and all payments will be backdated to the effective date in each individual claim.
I hope that by making this statement it is clear that the Government are committed to improving the lives of people with mental health conditions.
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Social Security Advisory Committee
Esther McVey Excerpts(11 years ago)
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The Minister for Employment (Esther McVey)
My noble Friend the Under-Secretary of State for Work and Pensions, Lord Freud, has made the following written statement:
Today, I will publish the outcome of the review of the Social Security Advisory Committee (SSAC). I am pleased to announce that the Government support the continuation of the committee in its current form. The Department for Work and Pensions has completed a robust examination of the committee’s functions, delivery arrangements and governance structure. The review was carried out in line with the Cabinet Office’s key principles for reviews of non-departmental public bodies (NDPB). The SSAC is a cost-effective advisory NDPB whose functions are integral to improving the quality of policy making and of secondary legislation in the Department for Work and Pensions. I attach a copy of the review report to this statement and will place a copy in the Library of the House.
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Employment, Social Policy, Health and Consumer Affairs Council
Esther McVey Excerpts(11 years ago)
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The Minister for Employment (Esther McVey)
The Employment, Social Policy, Health and Consumer Affairs Council met on 9 March 2015 in Brussels. Shan Morgan, Deputy UK Permanent Representative to the EU, represented the UK.
The Council held a policy debate on the European semester 2015. The UK, supported by Poland, the Netherlands, Slovenia and Czech Republic, welcomed the early publication of the country reports and the additional time for engagement ahead of the publication of the country specific recommendations (CSRs) in May. The UK with the support from Hungary and Austria stated that the Commission should not be prescriptive on policy implementation and should recognise the role of member states in deciding the best course of policy action. Within this, the Council adopted both the JER and Council conclusions on the 2015 AGS.
Ministers agreed two revised Council decisions aimed at strengthening the roles of both the Employment Committee (EMCO) and Social Protection Committee (SPC) in the European semester process.
The Council adopted draft Council conclusions on moving towards more inclusive labour markets; and the EU strategic framework on Health and Safety at Work 29014-2020: adapting to new challenges.
Ministers endorsed the key messages on financing, effectiveness and efficiency of social protection systems in the joint SPC and Commission report.
Under any other business, the Latvian presidency outlined details of the Tripartite Social summit and the Commission outlined the success of the re-launching of the social dialogue. The respective Chairs of the EMCO and SPC presented their annual work programmes for 2015. Finally, the Commission presented details of its proposal on the Youth Employment Initiative, which would see the Commission pre-finance up to €1 billion to help ease budget constraints, which had stopped the initiative fully getting off the ground.
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Remploy Employment Services
Esther McVey Excerpts(11 years ago)
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The Minister for Employment (Esther McVey)
The commercial process for the exit of Remploy employment services as announced to the both Houses in July 2014 is now complete.
The Remploy board and DWP have agreed that Remploy employment services will be established as a new company, free from Government control in partnership with Remploy’s employees and Maximus.
The exit has been led and shaped by Remploy and has the full support of Remploy’s trade unions and their key stakeholders. Over the last few years Remploy employment services has gone from strength to strength in the support it provides to disabled people to find and remain in work. It is one of DWP’s key providers of specialist support for disabled people. Since 2010, Remploy employment services has supported over 100,000 disabled and disadvantaged people into work. This opportunity, based on a strong partnership, provides the freedom and flexibility the business needs to continue to grow and increase the support it already provides disabled people to find and remain in work.
Remploy’s employees will be a fundamental part of this new partnership with 30% of shares held in an employee benefit trust. Employees will positively influence the operation of the company through the board and through an employee council. This will enable employees to have more direct control and influence on the operation of the company, and for the first time give employees a significant ownership stake in the business which will help to increase the quality of the services and protect and expand the delivery of Remploy’s social mission.
Remploy’s national delivery of Work Choice and other departmental contracts and agreements will transfer into the new company as a part of this process.
Remploy, Maximus and the Department will now work together to establish the new company, which we expect to be fully operational during April. The priority will be to transition the service smoothly and to deliver the best service possible for customers in partnership with Remploy. Current Remploy employment services employees and contracts will transfer to the new company.
The Department will also work with the current Remploy board to manage the remaining activities of Remploy Ltd as a non-trading company.
The Department will ensure that the Remploy pension scheme continues to be funded and that the accrued benefits of members are protected.
This is an historic moment that Remploy has been working towards with its staff and stakeholders and which we are pleased we have been able to deliver by working with them, which will enable the company to continue to help disabled people to find and stay in work for many years to come.
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Oral Answers to Questions
Esther McVey Excerpts(11 years ago)
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Mr Henry Bellingham (North West Norfolk) (Con)
1. What change there has been in the level of unemployment in North West Norfolk constituency since 2010.
The Minister for Employment (Esther McVey)
The claimant count in my hon. Friend’s constituency has fallen by nearly 60% since 2010, to just over 900.
Mr Bellingham
That is encouraging and unemployment in my constituency has come down by a staggering 908 in the past year, giving hope to a large number of families. Following the story in The Sunday Times last weekend, will the Minister tell the House what support her Department is giving to people seeking employment?
Esther McVey
I read the article in The Sunday Times about an episode of “Dispatches” that is being filmed in contact centres. Contact centres do not handle emergency hardship payments, as those are dealt with by Jobcentre Plus. Jobcentre Plus staff are fully trained and no one is sanctioned without being told about hardship payments. Awareness about benefit advances is being raised at the moment, and new posters and leaflets will be coming out in March once claimants have passed on their opinions and worked with the Department to get them right.
Stephen Metcalfe (South Basildon and East Thurrock) (Con)
2. What support his Department provides to young people seeking employment or education.
Rehman Chishti (Gillingham and Rainham) (Con)
11. What support his Department provides to young people seeking employment or education.
The Minister for Employment (Esther McVey)
Work coaches offer all claimants tailored support from day one of their claim. Claimants in need of experience are guided towards work experience or sector-based work academies, and those who require more focused training are supported through traineeships and apprenticeships.
Stephen Metcalfe
One barrier to young people seeking employment is that they do not necessarily have the correct skills required to take up the opportunities on offer. Will my right hon. Friend work with colleagues in the Department for Education and across the Jobcentre Plus network to ensure that local schools and colleges are aware of the skills that local employers need?
Esther McVey
My hon. Friend is right and we must make sure that young people are properly equipped for the world of work. I know of an ex-business man who ran a family business in printing. He knew who came through his door, which included young people who he wanted to give a job to, but they needed what people call “soft skills” and I like to call “core skills” for employability. We are working with the Department for Education on a new careers and enterprise company, and through the Inspiring The Future initiative young people are meeting business people to get a feel for what business and employment is all about, and we must support them as best we can. As my hon. Friend will know, we have increased work experience considerably and introduced sector-based work academies to that end.
Rehman Chishti
Will the Minister welcome the initiative that has been set up in my constituency with support from DWP and the local Gillingham football club, along with Medway Watersports, to provide young people with skills and positive experiences to assist them in securing employment or further training?
Esther McVey
I welcome the fact that my hon. Friend is working closely with Gillingham football club and its chairman, Paul Scally, who recently launched that help for young people, which is key. Various community and sports groups up and down the country are helping young people through the flexible support fund, and that should be highlighted. As many people as possible coming together to support young people into employment is key.
Mr David Hanson (Delyn) (Lab)
If things are going so well, will the Minister explain why youth unemployment has risen by more than 33,000 in the last two months, including a 10% rise in my constituency, which is not too far from hers?
Esther McVey
I would like to get the record straight for the right hon. Gentleman because youth unemployment has fallen on the year, and has fallen considerably since 2010 by nearly 200,000. That is down to the work of this Government. There was a small rise of 3,000 in the last month, but the trend for unemployment is consistently downwards and the claimant count has fallen every month for the past 38 months—the Opposition would die to be able to deliver youth unemployment like that.
Seema Malhotra (Feltham and Heston) (Lab/Co-op)
This week, at an event in my constituency, young people will be talking about how the world can improve for them, especially in terms of access to work. Why does the Minister think that youth unemployment has been rising while overall unemployment has been falling in recent months?
Esther McVey
Again, I need to correct the record. It would be helpful if Opposition Members looked at the true youth unemployment numbers, which are down on the year and down nearly a fifth since 2010. Opposition Members delivered an increase in youth unemployment of 45%. Please stop scaremongering, get the facts right and go and help young people into jobs.
Stephen Timms (East Ham) (Lab)
I hope the Minister will at least take some note of her own UK Commission for Employment and Skills, which points out that the UK now has German levels of adult unemployment, but eurozone levels of youth unemployment. Some 40% of unemployed people in the UK are under 25. Youth Contract wage incentives failed and were scrapped eight months early last summer. Does she have any new plans to tackle the very high level of youth unemployment—nearly three times the level of adult unemployment—which, as my hon. Friends have rightly pointed out and contrary to what she has been telling us, has gone up in the past couple of months, not down?
Esther McVey
What can I say to Opposition Members? They seem blind to the truth. The fact of the matter is that youth unemployment was going through the roof—there was an increase of 45%—and this Government have brought it down by nearly 200,000 since 2010. Working with businesses, we brought in an array of support, from work experience to sector-based work academies and wage incentives. We brought in a whole plethora of support. Some worked better than others—that is correct—but the aim and the outcome remains: youth unemployment is down by nearly 200,000 since Labour left office.
Stephen Timms
There is not much evidence of soft skills in that answer. The part of the UK where we have seen real progress on youth unemployment has been Wales. Youth unemployment used to be higher in Wales. Thanks to Jobs Growth Wales it is not higher any longer. Is it not now clear that for young people to benefit fully from the recovery that is under way, we need the young people’s job guarantee right across the UK?
Esther McVey
I am afraid it is the right hon. Gentleman who has soft skills. I have core skills in telling the truth: youth unemployment is down 200,000 since he left office. We do not need a job guarantee scheme, which does not work and costs an incredible amount of money. The work experience scheme we brought in is delivering better results at a twentieth of the cost. You bring in Labour, you pay a lot more for a lot less results.
Adam Afriyie (Windsor) (Con)
3. What assessment he has made of the effect of the benefit cap on long-term unemployment.
Mr Frank Field (Birkenhead) (Lab)
4. What the average monthly value has been of benefit sanctions imposed since May 2010.
Esther McVey
The Department does not make an estimate of the amount of benefit withheld as a result of sanctions. The sanctions system is in place to ensure claimants comply with reasonable requirements in order to move off benefits and into work.
Mr Field
Although the Department might not make estimates, outside experts do, and they now calculate that the amount of sanctions applied is greater than all the fines that magistrates courts in this country impose, but a fine in a magistrates court is imposed only after someone has been able to put their case. Might not the Government consider something like a yellow card system so that before a fine is exercised, people have the chance to bring in outside advisers to help them put their case more effectively?
Esther McVey
The Government do not make estimates because they would be wildly inaccurate, like the figures that the right hon. Gentleman has given. That is because only a maximum figure could be given that did not take into account hardship payments, which could be 80%, or that people already had a job, and there would be so many inconsistencies. The last Government—he was a Minister in the Department—did not make such estimates either.
Andrew Bridgen (North West Leicestershire) (Con)
Does the Minister agree that it is important for us to acknowledge the role that sanctions play as the ultimate backstop in support of our welfare system, particularly as 70% of claimants say that they are more likely to abide by the rules when they know that their benefits are at risk if they do not?
Esther McVey
Sanctions have been around since the benefit came into being, to ensure compliance, to enable the Government to have a backdrop to the social security they provide, and to enable the support to be matched by work to enable people to go into a job. As the secretary-general of the OECD said:
“The United Kingdom is a textbook case of best-practice on how good labour and product markets can support growth and job creation.”
Debbie Abrahams (Oldham East and Saddleworth) (Lab)
Freedom of information requests to the Department for Work and Pensions have revealed that of the reviews of 49 deaths of social security claimants, 33 called for improvements into how the DWP operates nationally and locally. What changes have been introduced, and how have they been associated with sanctions on claimants?
Esther McVey
As the hon. Lady will know, we are always improving what we do and always making things better. We brought in the Matt Oakley review to look at better communications, and we work with claimants always to ensure that sanctions are applied only correctly. We know that the vast majority of people work within the system. For employment and support allowance claimants, over 99.4% work within the rules, and with jobseeker’s allowance claimants, it is over 94%. It has to work, but we always look to see how we can get it better.
Paul Burstow (Sutton and Cheam) (LD)
Given how poorly served people with mental health problems are by the Work programme, and given the fact that the Minister told me in an answer that the Department does not currently have available to it information about the proportion of people with a mental health problem who are sanctioned, is it not time that the Government did that research and made sure that we had back-to-work programmes to help people with mental health problems?
Esther McVey
We know that over 99.4% people on ESA and with a mental health condition are not sanctioned, so only 0.6% are. Again, we look to see how we work with people; and for very vulnerable people there is clear guidance on what counts as good cause, so they would know how and why they would not be sanctioned. We always know we need to do more. We have various pilots going on that seek better to understand people with mental health conditions.
Mr Speaker
I am reminded of the feeling when one thinks the washing machine will stop—but it does not!
Dr Eilidh Whiteford (Banff and Buchan) (SNP)
Over 143,000 benefit sanctions were imposed in Scotland in the two years from October 2012, and one in four food bank users is using them because of delays in the benefit system. Yet today we read in the Financial Times that the Tories are planning to cut 30,000 jobs from the Department for Work and Pensions if they win the next election, most of them in the nations and regions. Is this not a recipe for further chaos and misery? Do not both claimants and DWP staff deserve better?
The Minister for Employment (Esther McVey)
With record employment and vacancy levels, the “Not Just For Boys” campaign is intended to encourage young girls and women to consider a career in an industry where they are traditionally under-represented. After just under a month, some of the UK’s and the world’s leading businesses are on board, as are schools, business women, companies such as BT, Microsoft and Diageo and organisations including Opportunity Now, the Construction Industry Training Board and Be Onsite. I could continue, but for the sake of brevity, I will sit down.
George Hollingbery
A recent OECD report made it clear that gender differences among high-performing students remain stubbornly high in science, technology, engineering and maths—the STEM subjects. In 2012, only 12% of women entering university chose to study in science-related fields, compared with 39% of men, with all that that entails for women’s long-term job security and levels of pay. Does my right hon. Friend agree that this simply underlines how incredibly important it is that campaigns such as her “Not Just For Boys” campaign should succeed?
Esther McVey
I do indeed agree with my hon. Friend. The campaign came about after we looked at where the jobs were going to be over the next decade. There will be 12 million jobs in fields such as IT, engineering and manufacturing, yet only 7% of girls were going into those subjects, so we knew that we had to do more—hence the campaign. Businesses came on board, as did women wanting to be role models. The Department for Education should also take some credit here, because there are now 10,000 more girls studying STEM subjects at A-level than there were in 2010.
Nigel Mills (Amber Valley) (Con)
10. What progress his Department has made on the roll-out of universal credit.
Bridget Phillipson (Houghton and Sunderland South) (Lab)
12. What proportion of people over the age of 50 who have been referred to the Work programme have found work as a result.
The Minister for Employment (Esther McVey)
The objective of the Work programme is to move more people into sustainable employment, and so the available data relate to people’s job outcomes, not starts, which means they have been in work for three or six months. To September 2014, there were 300,410 referrals of people aged 50 and over, resulting in 42,750 job outcomes.
Bridget Phillipson
The Work programme is failing older people, with the figures the Minister has just given meaning that only 13% of people aged 55 to 59 have found a lasting job as a result of the programme. What would she say to the constituents I meet, who are desperate to work and doing all that is asked of them yet feel badly let down by her Government?
Esther McVey
The Work programme is the largest programme of its kind, helping people into work on an unparalleled scale. It is superseding all the expected levels and targets; it is better than anything that has gone before it.
Sir Tony Baldry (Banbury) (Con)
With the Banbury and Bicester job clubs, we seek to help people who are out of work to get back into the world of work, irrespective of age. Am I not right in thinking that 50,000 over-50s who are in work now were not in work last year? So 50,000 over-50s have found work in just the past year, and it is right that we should not write anyone off simply because of their age.
Esther McVey
My right hon. Friend is correct about that. We are seeing what extra support we can give to the over-50s, which is why, with my right hon. Friend the Minister for Pensions, we have brought together the “Fuller Working Lives” document. It is also why we are looking at: how we can do extra IT; how we can do extra CVs and résumés; and how we can have older worker champions going into business to really sell the benefits of older employees, because it is key that they should be there to share their experience.
Fiona Mactaggart (Slough) (Lab)
Can the Minister explain why the Work programme works less well for women over 50 than for any other group in the community? According to her Department’s own figures, just over one in 10 women over 50 actually finds work as a result of the Work programme.
Esther McVey
I am not really sure where the hon. Lady has got her figures from. I have the figures in front of me and the one in 10 would refer to the number of employment and support allowance new claimants who found lasting work—that compares to a figure of one in 25 when they first joined and is well above the expected average, which would have been about one in 14. But we must remember that these people are some of the most difficult and hardest to help into work, which is why we have put this in place to support them. [Laughter.]
Nick de Bois (Enfield North) (Con)
When the Minister joins me on Wednesday in my constituency for her meeting with employers at my jobs fair, she will learn that many of them have started and wish to continue apprenticeships for the over-50s. Does she see a role for the Government in extending the programme to over-50s, with sufficient demand?
Esther McVey
I do indeed, and what my hon. Friend is doing there is incredible, supporting people of all ages through job fairs. As there were peals of laughter from Opposition Members, they obviously do not understand how the Work programme works and who goes on it, because it is there specifically to help those who are the hardest to help into work and to give them extra help and support.
Mrs Mary Glindon (North Tyneside) (Lab)
13. How many disabled people have moved into work as a result of the Work programme.
The Minister for Employment (Esther McVey)
The objective of the Work programme is to move people into sustainable employment, and so the available data relate to people’s job outcomes, not starts, which means they have been in work for three or six months. As of September 2014, there were 596,640 referrals for people with a disability indicator and 78,480 job outcomes paid.
Mrs Glindon
What does the Minister have to say in response to the recent Mind report, which stated:
“Current government back-to-work schemes are failing people with mental health problems because they are not built on a proper understanding of why people have ended up out of work and what support they will need to move closer to work.”?
Esther McVey
Mind also looked at the fact that all previous job schemes did not do enough for those with mental health conditions, who are the hardest to help and support. The Work programme tailors support to the individual, looking at an individual’s barriers into work. We have helped thousands of people with mental health conditions into work, instead of writing them off. There is more to do, so we are working and doing extra pilots to see how we can better engage with people with mental health conditions.
Henry Smith (Crawley) (Con)
I was very grateful to the Secretary of State for visiting Crawley last month to see how successfully the Work programme was operating. Will my right hon. Friend join me in paying tribute to the staff of Royal British Legion Industries who deliver the Work programme in my constituency for paying great attention to getting disabled people and people with mental health conditions back into work?
Esther McVey
Indeed I will join my hon. Friend in celebrating the work of the Royal British Legion and all the other charities and voluntary groups up and down the country as they try to ensure that there is a personalised plan and support for people looking for work. They do an invaluable job, and the people who go into such a field have a passion for getting people into work.
Mr Barry Sheerman (Huddersfield) (Lab/Co-op)
19. One of the greatest disabilities that stops young people getting a job is autism. Is the Minister aware that autism is predicted to cost this country £32 billion a year? Will she stop for a moment being the “hard-hearted Hannah” of the Front Bench and be a little more compassionate about disabled young people looking for work?
Esther McVey
I understand a lot about autism and the extra support, help and work that we need to do. That is why the Secretary of State and I introduced the campaign, Disability Confident, which reaches out to employers and says, “Listen to the needs of the people and find out what we can do and how we can best work with these people.” I do hope that the hon. Gentleman’s comment was not sexist, as I have had very many such comments from the Opposition Benches.
Stephen Mosley (City of Chester) (Con)
One highlight from my first term in Parliament was meeting a gentleman who had spent 10 years out of work on disability benefits because of depression. Through the Work programme, he got a full-time job. Does my right hon. Friend agree that the Work programme can give disabled people hope and opportunities for the future, whereas, in the past, they were left on benefits for life?
Esther McVey
I totally agree with my hon. Friend. What this is all about is understanding how we can help people, especially those with disabilities, and getting them into work. I am glad to say that, over the past year, employment for people with disabilities has risen by 141,000. Nearly half a million people with disabilities have set up their own business. That is what a Conservative Government and a coalition Government can do.
Kate Green (Stretford and Urmston) (Lab)
A moment ago, in response to my hon. Friend the Member for Houghton and Sunderland South (Bridget Phillipson), I heard the Minister say that the Work programme was exceeding all its targets. Just 7% of those on employment and support allowance in the Work programme have got into jobs, compared with the tender document that said that, by year two, a 15% success rate would be achieved. The programme is not achieving even half that. Meanwhile, hundreds of thousands of people are stuck in a queue waiting for a work capability assessment with no idea when they will be reassessed. The Access to Work programme, which should help people get into work and get on at work, is supporting fewer people today than when Labour left office in 2010. It is no wonder that the bill for disability benefits is set to be as much as £10 billion higher, according to the Office for Budget Responsibility. Is the Minister satisfied with that catalogue of failure and waste?
Esther McVey
Once again, let me give the Opposition the latest and correct figures. One in 10 of ESA new claimants has found lasting work, which is above anything achieved in the past. What we expected was a level of one in 14, which was already there. Disability employment is up by 141,000 in the past year, and it now stands at more than 3.1 million. We are supporting disabled people into work and into education, and we are proud of our record.
Meg Munn (Sheffield, Heeley) (Lab/Co-op)
14. What assessment he has made of the performance of the Health and Safety Executive in reducing road traffic accidents at work.
Mr Philip Hollobone (Kettering) (Con)
T4. Since 2010, unemployment has halved in Kettering. Which Minister is responsible month on month for announcing the big reductions in unemployment we have seen and will she step forward to the Dispatch Box to accept the thanks of a grateful nation?
The Minister for Employment (Esther McVey)
Obviously, I would like to thank my lovely assistants, who are sitting behind me, in a bit of a role reversal. We are led by the Secretary of State, who 10 years ago wrote about “Breakdown Britain” and “Breakthrough Britain”, and about what a compassionate Conservative Government would want to do by providing a ladder to help people who might have been left in despair to come forward, get a job and prosper. So, to him!
Rachel Reeves (Leeds West) (Lab)
Since our last oral questions, the time it will take fully to roll out universal credit on the basis of the latest figures has increased from 1,571 years to 1,605 years, an increase of 34 years in just 42 days. Let me ask about the effect of the policy. In its original impact assessment, the Department for Work and Pensions said that 2.8 million households would be worse off when the policy is fully rolled out. Will the Secretary of States give us his latest assessment of how many households will be entitled to less support under universal credit?
Mr Russell Brown (Dumfries and Galloway) (Lab)
Responding on the issue of youth unemployment, the Minister for Employment painted a rosy picture, but she needs to take additional action in rural areas, especially those such as mine, where youth unemployment continues to rise month on month and the whole economy is based on agriculture and tourism. What additional support does she think she can genuinely give to areas such as mine?
Esther McVey
We have provided a whole array of support. We measured what was working best and asked how we would roll that out. By working with businesses, we found that the answer was work experience, the sector-based work academies, and apprenticeships; we have introduced 2 million of those—and it is national apprenticeship week. Getting young people into a job is about skills, including employability skills, and we are doing as much as we can.
Andrew Griffiths (Burton) (Con)
T8. My constituents in Burton and Uttoxeter welcome people coming to this country who want to work hard, pay their taxes and contribute, but they are concerned about those who come to take advantage of our benefits system. Will the Secretary of State reassure my constituents that this Government take that seriously, and will he outline what we will do about it?
Andy McDonald (Middlesbrough) (Lab)
Some 35% of appellants succeed in overturning erroneously imposed JSA sanctions, yet the Minister denies setting sanction targets or expectations. If that is true, how does she explain such appalling performance statistics—a 35% failure rate that masks untold misery and grinding poverty for thousands of our fellow citizens?
Esther McVey
I have repeatedly made it clear that there are no limits, no levels and no targets for sanctions. That is the case. We ensure that quality is correct so that people get this right. There will be quality assurance targets and measures that are put in place. The figures that the hon. Gentleman quotes are not correct. Somebody might be told that they have a doubt raised against them, and from that doubt, though they have not been sanctioned, 50% will end up never having a sanction, less than 10% will go on to reconsiderations, and much less than that will go to appeal.
Chloe Smith (Norwich North) (Con)
T10. Very good progress has been made both nationally and locally in getting unemployment and youth unemployment down. The answers today show that we should not stop there and put all that at risk. Instead, we should go further. Does the Minister agree that we should be doing even more to help, in particular, young people with disabilities or mental health conditions into work?
Chi Onwurah (Newcastle upon Tyne Central) (Lab)
For international women’s day I visited Westgate community college to see the fantastic work that it is doing to improve the skills of women of all ages and backgrounds, but I was told that this Government’s sanctioning policy means that many women cannot feed their children, and also that some women have to come to mandated courses within two weeks of giving birth for fear of losing benefits. Is this how the Government treat women?
Esther McVey
I would like to meet the hon. Lady about these cases because I do not believe they are true. They certainly should not be true because if people had good reason, they would not be sanctioned. People have to take reasonable steps to get a job. We will need to get to the bottom of these cases because that would not be the case. We would not preside over a system where that was the case.
Steve Brine (Winchester) (Con)
The jobless count among 18 to 24-year-olds in my constituency is down 79% since 2010. Does the Employment Minister agree that a degree from a good university is one route into work—and someone who goes to the university of Winchester will be among the 92% who are in employment or further education six months after graduating—but just one route, because one of this Government’s great achievements has been to give young people hope that there are other routes?
Esther McVey
My hon. Friend is quite right. University is one route into work, and if it works for people that is great, but apprenticeships are another route, and this Government have done more than any other to get young people into apprenticeships—there are now more than 2 million apprentices—and into work. I know that my hon. Friend works closely with his university and local businesses to make that happen.
Mr Speaker
We are running late, but this is the last Work and Pensions Question Time of the Parliament and there are two colleagues I wish to accommodate.
Points of Order
Esther McVey Excerpts(11 years ago)
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Mr Speaker
Order. All I need say is twofold. First, the hon. Gentleman has put his point on the record. Secondly, the way I would prefer to characterise it—I am not arguing with the hon. Gentleman—is that the Minister of State is an extremely robust character who can make her own case with force and skill, as she has done on several occasions today, and indeed at all times. If the Minister, who felt aggressed against and to an extent aggrieved, wishes to speak briefly on the matter, I would of course give her that opportunity.
The Minister for Employment (Esther McVey)
Further to that point of order, Mr Speaker. The reason I want this put on the record is that it is not the first time Opposition Members have been like this to me. John McDonnell came to my constituency and asked people—I know this is unparliamentary language—to “lynch the bitch” live in Wirral West. That is what Labour Members ask people to do in other people’s constituencies. The Opposition have form. [Interruption.]
Mr Speaker
Order. My role is to seek to defuse this. There are strongly held views on both sides. I asked the hon. Member for Huddersfield (Mr Sheerman) to raise his point of order and he did, and I thought it right that the Minister of State should have a right of reply and she has had it. I understand there are strong feelings. Let us try to preserve the courtesies as best we can in the days and weeks ahead. In all sincerity, I thank—and I mean that—both Members for having made their contribution. We will leave it there.
Armed Forces (Service Complaints and Financial Assistance) Bill [Lords] (Programme) (No. 2)
Ordered,
That the Order of 2 February 2015 (Armed Forces (Service Complaints and Financial Assistance) Bill [Lords] (Programme)) be varied as follows:
(1) Paragraphs (4) and (5) of the Order shall be omitted.
(2) Proceedings on Consideration shall (so far as not previously concluded) be brought to a conclusion, at today’s sitting, two hours after the commencement of proceedings on the motion for this order.
(3) Proceedings on Third Reading shall (so far as not previously concluded) be brought to a conclusion, at today’s sitting, three hours after the commencement of proceedings on the motion for this order.—(Anna Soubry.)
Employment, Social Policy, Health and Consumer Affairs Council
Esther McVey Excerpts(11 years ago)
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The Minister for Employment (Esther McVey)
The Employment, Social Policy, Health and Consumer Affairs Council will take place on 9 March 2015 in Brussels. Shan Morgan, deputy permanent representative to the EU, will represent the UK at the meeting.
There will be a policy debate on the European semester 2015; As part of the discussion, the Council will seek the Adoption of Draft Council conclusions on the 2015 Annual Growth Survey and Joint Employment report; and will also seek Adoption of the Draft Joint Employment Report. The commission will present a proposal for a Council decision on guidelines for the employment policies of the member states; and seek endorsement of key messages on the social situation in the EU: SPC report.
The Council will seek a general approach on the proposals for a Council decision establishing the Employment Committee and repealing decision 2000/98/EC; and establishing the Social Protection Committee and repealing decision 2004/689/EC.
The Council will also seek to adopt draft Council conclusions on moving towards more inclusive labour markets; and the EU strategic framework on Health and Safety at Work 29014-2020: - Adapting to new challenges.
Ministers will be asked to endorse key messages on financing, effectiveness and efficiency of social protection systems in the Joint SPC and Commission report.
Under any other business, the Latvian presidency will inform on the tripartite social summit; the respective Chairs of the EMCO and SPC will provide information on their work programmes for 2015. The Commission will provide information on the re-launching of the social dialogue, presentation of country reports from the European 2015 semester, and the Commission proposal on the youth employment initiative.
[HCWS353]
Compulsory Jobs Guarantee
Esther McVey Excerpts(11 years, 1 month ago)
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The Minister for Employment (Esther McVey)
With only three months to go until the general election, I was intrigued to hear what the Opposition would put forward today to help people into work. What was this compulsory jobs guarantee? What we have learnt today is that there is no real commitment and no real understanding of what would happen. As my hon. Friend the Member for Reading West (Alok Sharma) said, it is unfunded, un-thought-through and unworkable.
Many questions remain about the jobs guarantee. Which businesses have signed up to it? How many jobs would it provide? What would happen if someone refused to do it? What would happen to apprenticeships if people did it? How would it be funded? None of those questions has been answered adequately. What we do know is that it is important to distinguish between proposals that have not been thought through, prepared or funded and what this Government have done.
Members spoke today about what has happened in their constituencies—and those are facts. In Aberdeen South the claimant count is down 56% since 2010, and in Stroud it is down 56% since 2010. I congratulate my hon. Friend the Member for Stroud (Neil Carmichael) on setting up the festival of manufacturing and engineering in his constituency. When it comes to building infrastructure and helping business, we know that we have put forward £12 billion for the growth fund. We are putting £15 billion into roads and infrastructure. We have the northern powerhouse, bringing together science, manufacturing and infrastructure and absolutely turbo-charging our northern cities.
In Ealing North the claimant count is down 38%, and in Nuneaton it is down 46%—the same is true for every Member who has spoken today. We are seeing employment going up and unemployment going down. We need this clear distinction: should people go forward with a party that does not know what it is doing or what the outcome would be, or should they go forward with a Government who have a tried and tested record—1.75 million more people in work and the biggest fall in youth unemployment since records began?
Esther McVey
I will not take any interventions, as the shadow Minister did not do so, but I will get through this in plenty of time for Members to speak—[Interruption.] Okay, I will take two interventions later.
What does the OECD have to say about Labour’s compulsory jobs guarantee? It says that there would be “displacement and substitution effects” and that it would not get anyone into permanent jobs. What did the Institute of Directors say? Like my hon. Friend the Member for Enfield North (Nick de Bois), it said:
“Wage subsidies for employers are not the source of sustainable jobs. Government must focus on creating the conditions for growth, as only businesses know when consumer demand will allow them to create more positions.”
That is exactly what we are doing, with business tax support, welfare changes, infrastructure and true fiscal discipline. I work with businesses pretty much every day, and we know that over the next 10 years, as a result of what this Government are doing, there will be 12 million new jobs created, fundamentally in science, engineering and IT. We have to ensure that our young people can take up those jobs, and that is what we are doing, with increased support for training and increased support for schools, for example through the pupil premium. We will help those who have been left on the unemployment list for so long and tackling the long-term youth problems and family problems through support for troubled families. We are systematically tackling unemployment and working with people to ensure that they are in work.
It is really important that we draw a clear distinction between what is working under this Government and what never worked under the Labour Government. My hon. Friend the Member for Selby and Ainsty (Nigel Adams) said that when Labour leaves office, it always does so with higher unemployment than when it came into office, and that is absolutely true. So why would anybody choose to move forward with this jobs guarantee without knowing where these guaranteed jobs are coming from?
Interestingly, even the European Commission, which likes to foist initiatives on people, has said that
“the draft Country Specific Recommendations published 2 June call for commitment to the UK’s Youth Contract to be maintained.”
In other words, it would not pursue Labour’s proposal on guaranteed jobs, and what we did was correct. We supported people and put money in place to create work experience, sector-based work academies, and incentives.
Kate Green
I am grateful to the Minister for giving way; this must be one of the two interventions that she is going to accept. Given that she is speaking of the European Commission’s comments on the youth jobs contract with such approval, why did her Government decide to scrap it, and how can it have been such a failure in delivering the outcomes it was promising?
Esther McVey
No, it is still going ahead. As I said, we have had the biggest falls in youth unemployment since records began. The Commission agreed that we are creating the right conditions, with more jobs being created in the UK than in the rest of Europe put together. That is why we have been having meetings with it to explain what we are doing rather than what the Opposition would do. The key point is that of course people would stay with those who have ensured that 1.75 million more people are employed.
I want to read out some of the predictions that Labour Members have made. They said that 1 million more people would be unemployed if we followed what we are doing. [Hon. Members: “Wrong!”] As all my Back Benchers are saying, that was wrong. In fact, nearly double that number of jobs were created. Labour Members said that what this Government were doing would lead to out-of-control inflation. [Hon. Members: “Wrong!”] That did not happen—we have brought it down. They said that there would be a double-dip recession. [Hon. Members: “Wrong!”] That never happened. No—the only recession was under Labour, and it was the longest and deepest since the war. They said that it was a fantasy that the private sector could create more jobs than were lost in the public sector. [Hon. Members: “Wrong!”] That was never the case; in fact, the private sector created over 2 million more jobs.
So why would anybody trust the Opposition with the economy, with jobs, and with the future of this country? The answer is that they certainly would not. That is why we are firmly saying today, three months before the general election, that their idea of how to create jobs is unfunded, ill thought through and unworkable, and we cannot find a business yet that wants to follow it. We reject the motion.
Question put.
UK Poverty
Esther McVey Excerpts(11 years, 1 month ago)
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Westminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
The Minister for Employment (Esther McVey)
It is a pleasure to serve under your chairmanship, Mr Crausby. This is an incredibly important debate, and I thank the hon. Member for Wigan (Lisa Nandy) for securing it. I begin by putting what I have heard today in context. Every story that has been brought here is important, and it is important that we listen to them, but let us look at the independent figures on inequality, which show us what is happening. Income inequality is lower now than it was at the election. There are 600,000 fewer people in relative poverty than at the election. Why do I use relative poverty? There are various measures, but relative poverty is Labour’s preferred measure against which it set its targets. Labour said that it would halve relative poverty by 2010, but it missed that target. [Interruption.]
Mr David Crausby (in the Chair)
Order. Ms Nandy, you have had your opportunity to speak. Let us listen to others who want to speak.
Esther McVey
I will not give way for a while, because I would like to put these figures on the record.
The top 1% of income tax payers will contribute nearly 30% of this year’s income tax bill. We talk about the richest helping most to get us out of the financial situation in which we found ourselves after Labour left office, and that is what is happening. The top 20% of income tax payers are paying 80% of the bill, which is key. We also have 390,000 fewer children living in workless households, and in-work poverty has fallen by 300,000. In fact, in-work poverty rose 20% between 1998 and 2008.
Esther McVey
I will not give way for the moment.
It is also key to know that 1.75 million more people are in work. When my hon. Friend the Member for Esher and Walton (Mr Raab) talked about what sorts of jobs those people are doing, he was right to say that, since the election, three quarters of them are full-time jobs. In fact, in the last year 80% are full-time jobs. What sorts of jobs are they? The vast majority, 75%, are skilled, managerial and professional. If we want to look at the figures from the other point of view, we could say that, at the election, 600,000 more people were in relative poverty and there were 670,000 more workless households. We could say that there were 300,000 more children and 200,000 more pensioners in relative poverty. We could also say that there were 50,000 more households in which no member had ever worked. That is what we were picking up. As my hon. Friend the Member for Daventry (Chris Heaton-Harris) pointed out—I hope this is a point of consensus for all of us—there had been a financial crash and the GDP of the whole country had shrunk by 7%. The truth of the matter is that everybody had to bear the brunt of the crash that we had from the Labour party, but we have ensured—[Interruption.]
Mr David Crausby (in the Chair)
Order. Please allow the Minister to respond.
Esther McVey
We have ensured that the richest are paying the most. We are ensuring that the richest people are now paying more than they ever paid under Labour. The hon. Member for Wigan talked about working for Barnardo’s, and I congratulate her because I am a child of Barnardo’s. When we talk about poverty and how we take people out of poverty, the key building blocks have to be education and employment, and the Government are creating those key building blocks.
When we look at this, what have we done? We have brought record rates of women into work. We are increasing and supporting lone parents into work. We have put £2.5 billion into the troubled families initiative, and we have put the same amount into the pupil premium. We have ensured that 3 million people are out of tax altogether and that 26 million people have had their tax reduced. We have increased the minimum wage to £6.50 an hour, which is the first real increase since 2008—a 3% increase—and which benefits more than 1 million people. People in full-time work on the national minimum wage are getting an extra £355 a year. All those things are key, and we are doing them.
Debbie Abrahams
Would the Minister like to comment on her point about the reduction in inequality? The OECD’s report before Christmas and the International Monetary Fund’s report from a similar time show that inequality has actually increased. In fact, we have the worst rate of inequality in 30 years. The reports show that inequality is harming growth and that the trickle-down economics to which the Government are absolutely committed does not work. It actually stifles growth and hurts human beings.
Esther McVey
I never recognise where the hon. Lady gets her figures. I have given the independent facts, which are correct. The only thing I will say is that here is a party that delivered the biggest financial crash in living memory. This is the party that said there would be 1 million more unemployed people now, but we are near to having 2 million more people in employment. [Interruption.] Labour Members would do better to listen for a change, rather than charging forward with things that really are not true. It is sometimes worth listening, rather than talking, especially when the Labour party delivered such a disaster for the UK, which we are all now having to cope and deal with. It is worth remembering that, because of our long-term economic plan, we are the fastest-growing developed nation. The UK has delivered more jobs than the rest of Europe added together. Those are the facts.
My hon. Friend the Member for Esher and Walton read out a list of facts about the constituency of the hon. Member for Wigan. He talked about the unemployment figures and the claimant count rising by 100% between 2005 and 2010, but let us look at what is happening in Wigan now: the employment rate is up by 7.9 percentage points; the claimant count is down by 49%; the long-term claimant count is down by 44%; the youth claimant count is down by 70%; and the long-term youth claimant count—[Interruption.]
Mr David Crausby (in the Chair)
Order. The Minister must be allowed to respond.
Esther McVey
The long-term youth claimant count is down 80% on the year. In fact, youth unemployment across the country has had its biggest fall in living memory. More than 170,000 more young people now have jobs. Those are just the facts. In the north-west region, the number of workless households is down by 41,000 since 2010, which is a decrease of 1.7%.
Last week, the local paper in Wigan stated that the number of apprenticeship vacancies in Wigan has hit a record high. There has been a 72% increase in the number of apprenticeship vacancies in Wigan posted online, and the paper said:
“An upsurge in firms willing to take on apprentices has been credited with bringing about a dramatic fall in young people not in employment”.
Lisa Nandy
One reason why we have managed to get young people into apprenticeships is because the council has taken exactly the opposite approach to the Government. The council pays the living wage, has stamped out zero-hours contracts and has created apprenticeships. If everything is going so well across the country, why does the Minister think that the incidence of scurvy and the number of hospital admissions for malnutrition have exploded under her Government?
Esther McVey
The numbers I have given are for private enterprise. Equally, I do not know what the answer was when the hon. Lady stood up to explain why there was a 100% increase in the claimant count between 2005 and 2010, but our claimant count has come down. The increase in malnutrition is a debate for another time.
Esther McVey
I think it is. Many people who have gone to hospital with malnutrition have actually put on weight, which is down to a poor diet. That is a much bigger debate for another time. What we can talk about is what is happening, how we are getting people into work and how worklessness is falling in the constituency of the hon. Member for Wigan. [Interruption.] Obviously she does not want to listen to these answers because they do not play to the things she was talking about. Equally, her local paper celebrated that Wigan has received the pupil premium award. A headmaster said:
“We couldn’t be more pleased to win the award”.
The award is key to helping young people to go forward.
I listened to the hon. Lady’s stories about sanctions, and I would like to know about the specific instances. I replied to a letter the other week—I hear that she has sent me another, to which I will be writing back in due course—but if she gave me the names of the people, rather than keeping them anonymous, I could find out what happened at the jobcentre. If someone wanted to go to a funeral, it would be good cause. Somebody with learning difficulties is a vulnerable person and has good cause. There is a booklet that the hon. Lady can download from the website that outlines the guidance, which is substantial. It is a heavy document that says how people will be given good cause. Equally, there have always been sanctions in the benefit system. This is nothing new—
Mr David Crausby (in the Chair)
Order. I am pleased to say that we will now move on to the next debate.
Oral Answers to Questions
Esther McVey Excerpts(11 years, 2 months ago)
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Philip Davies (Shipley) (Con)
5. How many jobs were created in (a) Shipley constituency and (b) Yorkshire in 2014.
The Minister for Employment (Esther McVey)
In the year to September 2014, employment rose by 6,500 in Shipley and nearly 30,000 in Yorkshire.
Philip Davies
I congratulate my right hon. Friend on those great statistics. Late last year, I organised a jobs fair in Shipley that had employers there with more than 300 current vacancies. She will be aware that many Conservative MPs in Yorkshire have also held jobs fairs in their constituencies. Will she ensure that jobcentres always support jobs fairs, to ensure that as many jobseekers as possible come to them?
Esther McVey
I can absolutely give my hon. Friend that assurance. I congratulate him on holding a jobs fair. He is right to draw attention to the fact that Conservative MPs in Yorkshire have been putting the Labour MPs to shame for not holding as many job fairs. Because of those events and our welfare changes, and because of the success of our long-term economic plan, more jobs were created in Yorkshire last year than in the whole of France—something I am sure my hon. Friend is particularly pleased to hear.
Wayne David
I am an only child, Mr Speaker.
With regard to Shipley and Yorkshire, can the Minister say how many of the jobs she mentioned were part-time, on zero-hours contracts or on the minimum wage? If she is not sure of the figures, does she agree with me that a heck of a lot of jobs are in those categories?
Esther McVey
I thank the hon. Gentleman for asking that question, because I frequently hear the myths put about by the Opposition. I can assure him that 80% are full-time jobs and 75% are managerial and professional jobs. These are very good jobs for excellent people who are trying to support their families in Shipley and across the UK.
Mr Barry Sheerman (Huddersfield) (Lab/Co-op)
6. What steps he is taking to improve job opportunities in (a) Huddersfield and (b) the northern region.
The Minister for Employment (Esther McVey)
As part of this Government’s long-term economic plan, we are committed to developing the northern powerhouse. We are investing heavily in infrastructure, science and technology, and culture to rebalance the economy by closing the long-term gap between the north and south—something the Opposition did not manage to do.
Mr Sheerman
Some of us are a little wary of short-term gimmicks, especially short-term jobs fairs. In Huddersfield we have had an Enterprise Foundation promoting small business start-ups that last, and it continues to be very effective. Has the Minister seen the Centre for Cities report, which shows clearly that the investment and job growth seem to be largely, though not entirely, in London and the south-east? If she looks at the report, she will see that it is the great northern industrial cities that have suffered over a number of years. What is she doing about that?
Esther McVey
Again, I am delighted to answer the question; again, the information was out of date. The information for that report closed in 2013 and covered the previous 10-year period, when the Government whom the hon. Gentleman supported were in office. The latest figures would show that 60% of jobs created are outside London and the south-east. I know that the hon. Gentleman, as the previous Chair of the Education Committee, takes a keen interest in opportunities for young people, so I hope he will welcome the latest announcement from Yorkshire Water that it will create 160 apprenticeships.
Jason McCartney (Colne Valley) (Con)
Will the Minister join me in thanking Huddersfield job centre, which supported my jobs fairs in Holmfirth and Marsden last year, giving local people access to real jobs and apprenticeships? Will she note the 4,130 apprenticeship starts in my constituency since 2010?
Esther McVey
Indeed. I congratulate my hon. Friend’s local jobcentre and him on all the work he does. Those were over 4,000 apprenticeships in his constituency, but at the end of last year there were 2 million new apprenticeships for young people right across the country. That is why we have seen the biggest fall in youth unemployment since records began.
Mr David Nuttall (Bury North) (Con)
Does my right hon. Friend agree that the best way to improve job opportunities for people in the north of England is for Government to reduce tax and red tape on businesses to give them the opportunity to create new businesses, and to ensure that the Government always make it pay to be in work, not on benefits?
Esther McVey
Once again, my hon. Friend speaks sound sense. That is exactly what this Government have been trying to do. We have been working with businesses, finding out what they need to expand and grow and to take on young people. As we have seen, growth is increasing. We are now growing faster than any other country in the G7. We know that not only are wages going up by 2%, but they are destined to go up by 3.4%, and inflation has fallen by 0.5%. If anybody had a long-term economic plan, it is this Government.
Margot James (Stourbridge) (Con)
7. What recent assessment he has made of take-up of the new enterprise allowance (a) nationally and (b) in the Dudley metropolitan borough council area.
The Minister for Employment (Esther McVey)
The new enterprise allowance supports jobseekers who want to set up their own business through mentoring and a weekly allowance. Through the scheme over 60,000 businesses have been started nationally, including 640 within the Dudley metropolitan area.
Margot James
The new enterprise allowance is one of the many ways that the Government are supporting people into self-employment and running their own businesses. Does my right hon. Friend agree that this support has been essential to the thriving business environment which has seen over 2,000 new businesses start up in my constituency, Stourbridge, since 2010?
Esther McVey
My hon. Friend is right. When any new business sets up, it needs support, mentoring and access to finance, all of which we are providing. With her background, she knows exactly how to set up a business; she set up her own and won awards for it, and her dad set up his own business in the 1930s which went on to be an incredibly successful manufacturing company. That is what we need to do—support people, provide access to finance and mentoring, and ensure that they have a good business plan. I thank my hon. Friend for that question.
Nia Griffith (Llanelli) (Lab)
9. What assessment he has made of the views of Jobcentre Plus managers on the effectiveness of the Work programme.
The Minister for Employment (Esther McVey)
We have continued to drive improvements in providers’ results. Jobcentre Plus is integral to this, and we have implemented a closer working approach between jobcentres and providers. The evaluation indicates that the relationship between jobcentres and providers has strengthened over time—for instance, through the use of co-location and enhanced information sharing.
Nia Griffith
The serious concerns of jobcentre managers expressed in a report published in December should come as no surprise to the Minister given the latest dismal figures showing that barely 7% of people on employment and support allowance have moved into sustained employment. What is the Minister going to do to tackle the problems that jobcentre managers identify, such as the lack of work placement opportunities, infrequent contact with participants, and lack of explanation to participants about why sanctions have been requested?
Esther McVey
First, I would like to remind everybody that the Work programme is the most successful scheme of its kind in getting people from long-term unemployment into work. Some 1.75 million people are now being helped and over 600,000 have got a job. In feedback, participants are saying that they are happy with the frequency of contact and think that that works with them and helps overcome the barriers to finding work. The number of people on ESA shows that it is actually performing well above what was expected. It was expected to apply to only one in 14 people and the figure is now one in 10. All the extra work that we have done on the communications between Jobcentre Plus and work providers is obviously showing results.
Nigel Mills (Amber Valley) (Con)
What more can the Minister do to get a better relationship between jobcentres and Work programme providers so that they can provide a warm handover when claimants move into the Work programme and when they return from the programme at the end of their two-year period?
Esther McVey
My hon. Friend is right. This is all part of the Oakley review. It is about ensuring that communications are better, that that hand-holding is understood, that people get a copy of the claimant commitment, and that they can understand a good cause and work together. At the end of the day, we are trying to get some of the most vulnerable people, who have been unemployed for a long time, into work. What is needed is that communication and that support from Jobcentre Plus and prime contractors.
Mr Frank Roy (Motherwell and Wishaw) (Lab)
My constituent, John McArthur, was laid off at the end of a temporary job that paid the national minimum wage. The DWP later tried to force him to work for the same company, in the same job, for six months. He subsequently got accused and lost his benefit. How can that sanction possibly be justified?
Esther McVey
This was a complicated case. I will obviously meet the hon. Gentleman to discuss it. His constituent had been laid off and then, as we were trying to support him back into work, he did work experience. It was in a different part of the business, and it was how we could best enable him to move from long-term unemployment into employment. If the hon. Gentleman would like to meet me, I am more than happy to do that, but I have already looked into this case.
Steve Baker (Wycombe) (Con)
Will my right hon. Friend confirm that the Work programme has helped hundreds of thousands of people out of the misery of long-term unemployment and into sustainable work?
Esther McVey
My hon. Friend raises yet another good point. Under Labour, the number of people living in households where nobody had ever worked doubled. We therefore needed not only to do a lot of work to bring us back to the regular standards of what we had before Labour came into office, but to build on that to get more people into work. That is exactly right. We have helped hundreds of thousands of those people who were left unemployed for a long time.
Rosie Cooper (West Lancashire) (Lab)
10. Whether universal credit will be available to migrants from the European Economic Area when it is fully rolled out.
Chris White (Warwick and Leamington) (Con)
13. What recent steps he has taken to support young people seeking employment or training.
The Minister for Employment (Esther McVey)
The youth claimant count is at its lowest level since the 1970s and this is due to the action that the Government have taken. Young persons entering a jobcentre will receive tailored support from their work coach and be directed to work experience, sector-based work academies or locally funded support.
Chris White
I am delighted to say that the number of 18 to 24-year-olds in Warwick and Leamington claiming JSA has fallen by 79% since April 2010. However, I recognise that there is still more work to do. Does the Minister agree that schools and businesses can develop strong partnerships, not least in terms of providing work experience? What incentives can the Government provide to encourage those relationships and highlight the benefits that they can offer?
Esther McVey
My hon. Friend is right—it is about building relationships between businesses and schools, and that is what we have done with some of the biggest businesses. We set up Movement to Work, which created 100,000 work experience schemes. Another scheme, Feeding Britain’s Future, provided another 15,000 work experience places and, in the west midlands alone, there are more than 16,000. Last week, my right hon. Friend the Secretary of State for Education created the new careers support scheme, which is also working with companies, schools and individuals.
Adam Afriyie (Windsor) (Con)
23. It lifts my heart to see so many more people in employment across Windsor and the country. All hon. Members share the vision of a country in which the circumstances of our birth do not determine where we end up. I commend the Secretary of State on his work on welfare reform, and does the Minister agree that we must continue to push on with those changes so that social mobility in Britain is boosted once again?
Esther McVey
My hon. Friend is right about social mobility. He is also the living embodiment of it, as he comes from a council estate in south London, son of a single mum with many mouths to feed. He then set up a multi-million pound business and won young entrepreneur of the year from Ernst and Young. The Government have provided support and encouragement, creating the sort of environment in which people like my hon. Friend can develop their businesses and employ other people.
Kerry McCarthy (Bristol East) (Lab)
15. What plans he has to respond to the recent recommendations of the all-party parliamentary group on hunger and food poverty.
Jeremy Lefroy (Stafford) (Con)
T5. What measures have been taken to ensure that sanctions are not imposed inappropriately on jobseeker’s allowance claimants—if they unavoidably miss appointments, for instance?
The Minister for Employment (Esther McVey)
If somebody misses an appointment and has good cause for not being able to make it, they would never be sanctioned. I do not think that people quite follow the process of what happens. Should somebody not make an appointment or not take the steps to get work that they should have taken, they would have been told that it could be a sanctionable offence. That is what the adviser would say. It would then go to the decision maker, and if there is good cause, 50% will not be sanctioned. The vast majority will not be getting sanctioned because they will have good cause, but they need to be taking reasonable steps to get into work. In fact, monthly sanctions rates are at about 5% to 6% for JSA, and for ESA they are less than 1%. Those are the numbers.
Mrs Mary Glindon (North Tyneside) (Lab)
T2. Following my request for a rescheduled meeting about the independent living fund, the Minister kindly wrote to me on 15 January, but why did he make no reference to my request for a meeting and why did he refer me to post-ILF provision under Newcastle city council when my constituency is North Tyneside?
Paul Uppal (Wolverhampton South West) (Con)
As my right hon. Friend will know, a crucial aspect of tackling youth unemployment is ensuring that people have the right skill set. Will she commend the work of City of Wolverhampton college, which is in my constituency and which—following a very difficult starting point—has turned around the lives of many young people by working with local businesses and creating opportunity and employment, and creating opportunities for the local university as well?
Esther McVey
I will indeed praise that college, and I will praise my hon. Friend as well for all the work that he does in engaging with colleges and bringing businesses to them to support the young people so that they can get jobs.
Ann McKechin (Glasgow North) (Lab)
T7. Dr David Webster of Glasgow university has estimated that about £300 million is withheld in benefit sanctions each year. Is that figure correct?
Esther McVey
I apologise: I missed the question. What I do know, however, is that no one has any limits, or targets, or whatever it may be, for benefits or for sanctions. There are no targets for sanctions, and there will be no numbers.
Dr Julian Huppert (Cambridge) (LD)
Local housing allowance levels in Cambridge are far too low, and have been for years. In 2008, Shelter could find only four properties that were affordable, and the position is essentially unchanged. The Minister helpfully gave us an above-inflation increase, but it still has not solved the problem. Will he investigate further to check that local housing allowances match the cost of renting, and undo the legacy of the broad rental market areas?
Grahame M. Morris (Easington) (Lab)
T8. What steps is the Minister taking to tackle long-term youth unemployment in areas of high deprivation such as Easington? What specific measures has he identified to help my constituents?
Esther McVey
We have taken significant measures to help young people who are long-term unemployed. We have established sector-based work academies, and have provided work experience and traineeships. Obviously the hon. Gentleman will be pleased to know that, according to figures from the International Labour Organisation, youth unemployment is down on the quarter, on the year and since the general election.