Social Mobility and the Economy

Lyn Brown Excerpts

Wednesday 28th March 2018 Westminster Hall

[Lyn Brown (West Ham) (Lab)]

It is an absolute pleasure to serve under your chairmanship, Mr Davies. I think we would all agree that we have heard some excellent contributions today from both sides of the Chamber. I thank the right hon. Member for Putney (Justine Greening) for securing this debate. She knows that I have a very high regard for her, and that I think she is a real loss to the Government. I agree with much of what she said. In her creditable time as Secretary of State for Education, she set out a genuinely engaged geographical disadvantage agenda, for which the former social mobility commissioners argued. She deserves our thanks for moving the debate forward in that way.

I have been in my job for only a few short weeks, and I will admit that this debate is a little early for me, but it gives me an opportunity to say a little about where our work on social mobility is going. This week, the Children’s Commissioner for England released a report called “Growing up North”. She argued that regional development plans, such as the northern powerhouse, must consider necessary infrastructure such as good schools and appropriate post-16 routes to be just as important as rail and roads. I want to quote what she said, because it expresses a broader truth about social mobility:

“Children growing up in the North love and are proud of the place they live. They want a future where they live near their family and community and they want jobs and opportunities to rival anywhere else in the country.”

She is right. For too long, in too many places, social mobility has meant literally moving away. It is a hard truth, but if young people do not have the opportunity to realise their potential in their home towns, many will go away to university or find jobs elsewhere, and will stay away. We do not have an economy that works for all parts of our country. We force people to move out of their communities, because the basic infrastructure to enable economic growth is lacking in our regions.

[Rachel Maclean]

I very much agree with what the hon. Lady is saying. As a representative of a midlands constituency, I have personally seen that exact pattern. Does she agree the Government could look at further devolving spending on further education, higher education and apprenticeships to local areas to address those challenges?

[Lyn Brown]

Talking about the education brief is a bit beyond me this morning. I am sure the hon. Lady will understand if I just duck that and move on. I think honesty is always the best policy.

As this is a Treasury debate, I will start with a bit of Treasury stuff. May I gently say that the Government’s record on the economy, and certainly on social mobility, is not at all good? Average pay is still £15 a week lower in real terms than it was before the financial crisis. Not long ago, the Government confidently predicted a minimum wage of £9 an hour by 2020, but downgrades to economic forecasts have taken their toll, and the Office for Budget Responsibility now expects it to be just £8.57. A real living wage—one based on what people actually need to live—is already higher than that. Planned statutory wage increases will not meet the burden of rising living costs. Two thirds of the children living in poverty today have parents in work.

I know this has been said before, but it is true nevertheless. In the 20th century a contract was understood in this country: each generation was better educated, and had higher incomes, greater home ownership and a longer, healthier life than the previous generation. Even if working class kids—I am grateful to the right hon. Member for Putney for introducing class into the debate—did not succeed educationally, they could still expect higher incomes than their parents, and the dream of home ownership coming into reach. That is clearly no longer the case.

The housing crisis is now one of the biggest barriers to social mobility in our big cities. My borough of Newham is ranked second worst of all local authorities in England and Wales for adult social mobility indicators, a consequence of low pay, high living costs and insecure rented housing. The most recent quarterly statistics show, for the sixth time running, an increase in the number of households in England living in temporary accommodation and, since the end of 2010, a 75% increase in the number of children living in temporary accommodation to 120,000. Hon. Members know what a problem that is: a safe, warm, healthy and secure home is so important to childhood.

I was privileged to live in a council flat in east London.

[David Linden]

rose—

[Lyn Brown]

It provided my family with an affordable home, and we were secure in the knowledge that if we were responsible tenants who paid their rent, it was a forever home. That security provided me with the space to learn, thrive and strive, to do as well as I could. My little sister has massively achieved and is a well-respected solicitor, and I am in this House. We could not have done that without the security of an affordable property behind us. Today, far too few of my constituents have that benefit. They live in private, insecure and expensive tenancies, with their children forced to move schools often or to travel long distances for their education. Such conditions make it so much more difficult for them to fulfil their potential.

[David Linden]

I realise now that the hon. Lady was just getting into her flight there. The whole issue of housing is something that we have not explored in the context of social mobility. I am very conscious that in the past few years in Scotland we have abolished the right to buy. That seems to be a major issue. Governments will build social housing, council housing, but it is then sold off. Does she agree with me that it is time in England for Governments and parties of all colours to look at abolishing the right to buy, just as the Labour Government are doing in Wales?

[Lyn Brown]

I am going to duck that one.

Studies at Harvard University show that growing up with the toxic stress of economic hardship in the family can be severely damaging for a child, and they conclude that it has life-long effects similar to those caused by parental drug abuse or exposure to violence in the home.

I have been in this job for a few short weeks. One of the things exercising me is the very notion of social mobility itself. I am not sure that it is the right concept, and perhaps the Education Committee is on to something with its report that stated that we need a broader concept such as social justice. I fear that the concept of social mobility can be used to promote what I call a grammar school society, where a few of us can get on but most cannot, where the few of us that succeed are held up as a beacon of equal opportunity, whereas in fact those lucky few are a testament to hard work, yes, but often quite a bit of luck, frankly. A society where a few kids from deprived families get to the Cabinet table but the vast majority face daily hardship is simply not an opportunity society.

[David Evennett]

I know that the hon. Lady is very passionate because I have worked with her on many campaigns in the past, but would she endorse today’s pledge? What she is saying might be a debate for another day, but today we are trying to get bipartisan agreement on the pledge so that we can go forward on that front.

[Lyn Brown]

I assure the right hon. Gentleman that I will work with anyone in order to improve social mobility in our country, because it is something I am absolutely passionate about.

Many of us will have seen the new research from Durham University confirming that grammar school pupils do better because they are more likely to have social advantages, not because selective education is superior. If we are to have a just society, a society in which all our talent and hard work allow us to fulfil our potential, we need to have a comprehensive and co-ordinated approach to tackling today’s challenges. We cannot be satisfied with a few token programmes to help a small number of children from disadvantaged backgrounds into institutions and professions that are as dominated by privilege as ever. We cannot pretend that a few programmes amount to a strategy.

Social mobility, social inclusion or social justice are not just about school attainment and university access; as we have talked about today, unfairness persists into the workplace even for university graduates. Graduates with rich parents can earn as much as 60% more than those who have lived with the disadvantages of poverty. The gap is smaller for graduates from the most prestigious universities but, as we know, those institutions have the least inclusive intakes.

What about those who do not go to university? Where are the essential high-grade apprenticeships that this country needs, ones that mean we can be equally proud of the graduates of apprenticeships as of academia? Do we not need to challenge the bias that pervades post-16 education and learning so as to secure social mobility and inclusion to provide the skills base that this country needs for the 21st century?

Any social inclusion, social justice or social mobility policy must address increasing wealth inequality. It must also address the shocking gap in productivity and economic opportunities between our global cities and our smaller towns and coastal and rural communities which have been held back by our existing economic model. As a society, we cannot afford to continue with an economic model that promotes a minority of our people while the rest are denied investment. Labour is determined to embed greater equality, wider opportunity and shared prosperity right across the country. Shared prosperity is our goal—to coin a phrase—to create a society for the many and not the few.