(1 year, 11 months ago)
Commons ChamberKarl MᶜCartney is obviously not here. Can the Secretary of State answer as though he is present?
(2 years, 9 months ago)
Commons ChamberIn April 2021, we updated the offer in our jobcentres, boosting our network of armed forces champions to 50, supported by 11 area leads. They are focused on providing key support to our veterans and other members of the armed forces community to ensure that their talents and abilities are recognised and that they can move quickly on to their next step. I saw that in action on Thursday at the military careers fair in Aldershot with the Veterans Minister, my hon. Friend the Member for Aldershot (Leo Docherty).
Yes, I can confirm that they will. The great work that is being done by our DWP armed forces champions in my hon. Friend’s constituency is playing out, for example, in how the local champion from High Riggs jobcentre has already been working with the local council to secure bus passes for veterans, alongside providing veterans with direct employment support.
With Lincoln and Lincolnshire continuing to have a growing armed forces community—with RAF Waddington playing a national role and the Royal Anglian Regiment 2nd Battalion celebrating its freedom of the city last Friday—delivering the champions scheme along with other important parts of the armed forces covenant is important to my constituents, not least Councillor Bill Mara in Witham ward. What more can be done in respect of the scheme to signpost veterans to these services?
I absolutely agree with my hon. Friend. In Lincoln, the armed forces champion is already receiving good feedback in their role. They work with several councils and local homeless veterans to make sure that those veterans get suitable housing. In fact, in the case of West Lindsey council, they worked with adult social care to get permanent housing for a claimant with a history of alcohol addiction. They are also helping claimants who are veterans back into work, using the flexible support fund and working with local employers and employment agencies.
(2 years, 10 months ago)
Commons ChamberI understand that it is around 60% of the median wage. The reality is that through kickstart, there will be young people in the hon. Gentleman’s constituency who will have got on the jobs ladder sooner and earlier than ever before in sectors that one could not have believed, from viticulture to digital marketing to working in architecture—all different areas. That is because of the Government intervening in jobs and opportunities that can lead to apprenticeships, traineeships and progressing in work.
The reduction in the taper rate and increase in the work allowances mean that 1.9 million households will keep on average an extra £1,000 a year, representing an effective tax cut for low-income working households in receipt of universal credit that will be worth £2.2 billion a year in 2022-23. We are allowing working households to keep more of what they earn and strengthening incentives to move and progress in work.
Unlike the legacy system, which has in-built cliff edges, universal credit ensures that it always pays to take on more hours. Will my hon. Friend commit to working with employers, especially those in my constituency of Lincoln, in low-pay sectors to ensure that they can help their employees understand that?
Throughout our job network, our employer partnership teams and employment advisers are working closely with local employers to ensure that they help claimants understand how best to benefit from the recent positive changes to universal credit taper rates and work allowances. I am sure that my hon. Friend, with his fantastic shirt, will assist with his characteristic energy with this important task.
(3 years, 5 months ago)
Commons ChamberWe are doing it non-stop, as my hon. Friend will be pleased to know. The DWP Lords Minister —my noble Friend Baroness Stedman-Scott—and I regularly attend stakeholder and outreach events to promote kickstart to employers. Last week, I spoke to more than 90 employers at an event partnering with MyKindaFuture, a mentoring platform. The team in my hon. Friend’s local jobcentre are working with local employers to support those most at risk of long-term unemployment through the new opportunities they need. I am pleased to share with my hon. Friend that they recently helped a young man who was struggling with attention deficit hyperactivity disorder to find a new kickstart job as a green keeper.
I have recently received correspondence from the learning and skills lead for automotive engineering at Lincoln College in my constituency, which is shortly due to hold Autoinform 14-19, a practical taster event that aims to allow young people to spend time in workshops with local employers and industry specialists looking at electric cars, acoustic vehicle alerting systems, diagnostic methods and the MOT test. One difficulty is securing schools’ buy-in with the scheme. How does my hon. Friend believe the Government can support organisations such as Lincoln College to ensure that we help as many young people into employment as possible?
The DWP’s partnerships on the ground with local labour markets are key to these new employment opportunities. I am pleased that Lincoln JCP is working in partnership with the Network, a charity that aims to prevent young people from becoming NEET—not in education, employment or training—and engages with and connects to wider support. Customers will also benefit from a key partnership locally with the DWP, Lincolnshire Chamber of Commerce and the Lincoln College Group, which have created many new opportunities for our young people within the new kickstart scheme.
(3 years, 8 months ago)
Commons ChamberAlongside our plan for jobs, Burnley JCP recently held a virtual careers event for jobseekers, which I know my hon. Friend was brilliantly a part of. In Cumbria and Lancashire we have recruited almost 400 extra work coaches to assist customers, with a further 90 due to join in the next three months. We have also set up a DWP youth hub in partnership with Burnley Borough Council and Calico, and we are working with local employers to provide local kickstart placements such as with the East Lancashire Hospitals NHS Trust and Stanley Black and Decker.
We stopped regular assessments for people with severe conditions for work capability assessment and personal independence payment claimants with the highest level of needs which will not improve. We are continuing to remove pensioners on PIP on to ongoing awards at their award review, and the upcoming health and disability Green Paper will consult on further improvements to the assessment process.
As we move towards the end of this difficult period, what lessons can be taken forward regarding the simplification of the benefit process for those in my constituency and across the nation with confirmed severe conditions?
My hon. Friend raises an important point. One lesson we can take from these unprecedented times is to look to extend the principle of the severe conditions criteria and, where possible, use clear evidence to remove unnecessary assessments. We will explore that further, working with disabled people and health and disability charities, in the upcoming health and disability Green Paper.
(4 years, 8 months ago)
Commons ChamberThe Department is working with a range of organisations to support claimants who are transitioning to universal credit. Help to Claim, which is being delivered by Citizens Advice, is working effectively for claimants, and we are in the concluding stages of detailed discussions for a second year of delivery.
Universal credit has been designed to be as quick and easy as possible for the user, ensuring claimants receive money at the earliest available opportunity. It is designed to be a digital-first service, ensuring we make the best use of technology to design a modern and effective working-age welfare system. It is important to note that our UC claimant survey found that 98% of claimants have internet access and have claimed online.
I thank my hon. Friend for his answer. Is he aware that in Lincoln we are pleased that the claimant rate is as low as 4.4%, which is a vast improvement on what it was when I was first elected in 2010? Will he outline what other initiatives his Department is undertaking, as well as the local jobs fairs that Conservative MPs organise in their constituencies, to assist the 2,500 or so claimants in my constituency?
I thank my hon. Friend for his question and for all the work he does in this area, and I welcome him back to his place. In recent years, the Government have made significant investment to improve work incentives, including the reduction in the UC taper rate from 65% to 63% and an extra £1.7 billion a year put back into UC to increase work allowances for working parents and disabled claimants by £1,000 a year from April 2019. That provides a boost to the incomes of the lowest paid and results in 2.4 million families keeping an extra £630 a year of what they earn.
(11 years, 8 months ago)
Commons ChamberIt is a pleasure to follow the other Back-Bench contributions in this somewhat sparsely attended debate, particularly the hon. Member for Hayes and Harlington (John McDonnell), who always speaks with consistency and clarity on these issues. Like him, I very much regret that the motions have been grouped in such a way that voting against the egregious real-terms cut in working-age benefits would potentially jeopardise the essential support to some of the most disadvantaged people in our society. I regret that it is not possible to vote against part of the measures.
When we debated the issue a few weeks ago, I raised a number of concerns. What I have heard this evening has done nothing to assuage those concerns. A below-inflation rise and a real-terms cut over three years will do nothing except pile on the pain for low and middle-income households that are already paying the price of the recession. The cap of 1% on the uprating of working-age benefits will drive low-income families into real hardship, increase levels of deprivation, and accentuate the gross inequalities that plague our society. It will hit parents especially hard, particularly those in low-paid or part-time work. Given the extremely short time that we had to debate this a few weeks ago, with strict time limits, it would be utterly wrong to allow this debate to end without challenging those points and reiterating the key issues.
It is fair to say that low-paid workers have already borne the brunt of the economic downturn. Many people have seen their working hours cut. Increasingly, we find people, especially women, working part-time when they really want a full-time job. Those who have child care and caring responsibilities, as the hon. Member for Edinburgh East (Sheila Gilmore) mentioned a moment ago, often find themselves in seasonal, temporary, part-time, insecure and sometimes zero hour contract work. It is extremely difficult for them to juggle the competing demands on their time if they have caring responsibilities or children to look after.
We should not forget that unemployment is still unacceptably high and concentrated geographically in certain parts of the UK. It is neither fair nor accurate to lay responsibility for high unemployment solely on people who are unemployed. Although it may be easier for us to abdicate responsibility for economic policies and political decisions and blame unemployed people for their own plight, we should acknowledge the role of the wider economy, the climate we are living in, our political response to it and the inadequacies of that in creating the present high levels of unemployment.
The key point is that it is not just the unemployed who are hit by a freeze and a cut in working-age benefits—it is people in work who will pay the highest price. The Resolution Foundation has said that around 60% of the cuts will fall on people in work. It is important to see the impact of the autumn statement in the round, looking at the freeze on benefits alongside other measures. According to Citizens Advice, a family of two parents both working in full-time low-paid jobs, with two children, paying a modest rent of £130 a week, will be more than £12 a week worse off by 2015. A similar family with one full-time earner on minimum wage will be about £13 a week worse off by 2015.
A disabled lone parent of two children receiving the support component of employment and support allowance will see a comparable net loss of income in real terms. This does not take account of the cuts that such families have already experienced through last year’s changes to the tax credit system and child care support. The distributional analysis of the Government’s own impact assessment shows that the Government’s reforms will hit the lower half of the income spectrum hard. The analysis by the Institute for Fiscal Studies shows that the pain of the austerity measures is being felt in the lower five income deciles, with the biggest losses in the lowest deciles.
The point that I have made previously in debates on this subject is that although these distributional analyses can be helpful, they do not tell the human story. More than that, they do not show the disproportional impact that the rising cost of living has on low-income households. In the context of today’s inflation forecasts that show that high inflation is set to be with us for several years, this point becomes even more acute. Whether it is hikes in domestic fuel prices or rises in the price of staple foods, it is the things that lower income households most depend on that are going up in price most quickly. I have said before that I do not think the retail prices index or the consumer prices index is a particularly good measure for assessing the experience of inflation in lower-income households, but the CPI for sure underestimates the real impact of those real-term cuts in support.
This is not just abstract economic theory. We are talking today about the difference between a 1% rise of about 71p and an inflationary rise of a meagre £1.50 a week. It is important that we bear in mind what we are doing. Abandoning any link with earnings or prices sends a strong signal that the Government are abandoning any support for citizens going through tough times. It undermines the social contract that most of us thought we had.
The 4% cut in real terms to low and middle-income families will have material consequences for thousands of families right across the UK. These are deeply regressive measures. They are mean and miserable. They will affect 30% of all households in Scotland. They will affect the vast majority of families with children. Given the importance of the issue, the consequences that it will have for our constituents, and the lack of time that we have had to debate it, it is a scandal that the Government Benches are so empty this evening. No one has risen from the Back Benches to defend this egregious policy. I urge the Government to think again.
I am just concluding, and the hon. Gentleman was absent for most of the debate, so I do not think it is fitting that he should try to get in at the last gasp.
(12 years, 6 months ago)
Commons ChamberI am sure the right hon. Lady is aware of the fact that when this Government took office we inherited an enormous deficit in the Remploy pension fund. We are trying to sort that out. I can absolutely give her the undertaking that pensions that are in place will be fully protected, as she would expect.
4. What progress he has made on the youth contract; and if he will make a statement.
18. What progress he has made on the youth contract; and if he will make a statement.
The youth contract was successfully launched on 2 April 2012. It builds on existing support available through Jobcentre Plus and the Work programme, enabling young people who are unemployed to look for work, gain work experience and skills, and find real, lasting jobs.
I thank the Minister for that illuminating answer. What assessment has been made of the impact of the work experience programme, which is being expanded under the youth contract?
We published the latest assessment of the effectiveness of the work experience scheme last week. It showed that the people who participated were 16% more likely to be off benefits 21 weeks after starting than a similar group who did not. It is worth stating that that is similar to the success rate of the future jobs fund, at a 20th of the cost.
(13 years ago)
Commons Chamber5. What his approach is to tackling youth unemployment.
13. What steps he is taking to reduce youth unemployment.
It is good to see so many people in the Chamber who have discovered an interest in work and pensions.
Work experience and apprenticeships are central to improving the prospects of young unemployed people. We are making up to 100,000 work experience placements available and strengthening the links between the work experience programme and apprenticeships. We are also providing additional Jobcentre Plus help for 16 and 17-year-old jobseeker’s allowance claimants and offering earlier entry into the Work programme. It is worth reminding ourselves that of the 991,000 16 to 24-year-olds who are unemployed under the International Labour Organisation measure, 270,000 are full-time students. Finally, my hon. Friend the Member for Harlow (Robert Halfon) will be aware that Harlow is one of the Government’s new enterprise zones.
As the hon. Gentleman should know, we made a commitment to complete the placements that had been committed to until March. That meant that there were nearly 64,000 additional places under the future jobs fund, bringing the total to 105,000 places. We believe that the future jobs fund was an expensive way to try to get people into employment. Almost half of those who went in have ended up back on benefits.
Is my right hon. Friend aware of research by the Chartered Institute of Personnel and Development which suggests that only 12% of employers planned to recruit school leavers aged 16 in the three months to September 2011, and that just 15% intended to recruit school leavers aged 17 to 18? That issue was raised during my visit to Lincoln college on Friday. I suspect that he is as concerned as I am by those statistics. Will he tell the House what the Government will do to encourage employers to invest further in our youth?
We are talking a lot to employers about that problem. My hon. Friend is right about it. I return to the answer that I gave my hon. Friend the Member for Central Devon (Mel Stride) about ending the training scheme. That really affected 16 to 17-year-olds. I have brought in the £30 million innovation fund to look at ways in which we can give people approaching the age of 16 better skills for the work force. Employers have told us that many people who leave school at that age are simply not ready for work. We have allowed jobcentres to work with many of those people to get them ready for work. My hon. Friend the Member for Lincoln (Karl MᶜCartney) is absolutely right that this matter is a priority for us.
(13 years, 3 months ago)
Commons ChamberWe believe that both the state and the private sector have an important part to play. We have published Green Paper proposals for state pension reform that would provide a firmer foundation, perhaps of the sort that the hon. Gentleman has in mind. We also believe that many people could be in decent-quality workplace provision with an employer contribution and that is why we will begin auto-enrolment as planned next year.
3. What recent progress he has made on delivering the Work programme.
5. What recent progress he has made on delivering the Work programme.
The Department for Work and Pensions completed the launch of the Work programme by the end of June and it is now operational in all parts of the country. I have now visited a number of the providers and their centres and I am pleased to see the progress they are making.
I welcome the Government’s measures to help unemployed people in my Lincoln constituency, but what assurances can my right hon. Friend give me that the Work programme will provide my constituents with sustainable, meaningful and long-term employment?