(12 months ago)
Commons ChamberMy right hon. Friend is attempting to tempt me into matters that I know are under discussion at the highest levels of Government at the moment around the policy that we should adopt on immigration, but I will not be drawn immediately in that direction.
I am grateful to my right hon. Friend for giving way. Let me return to the record of the past 13 years. At various points in that time, there has been no shortage of people in this House and outside who have been very quick to predict an explosion in unemployment—whether that was when we were introducing the public spending restraint under the coalition Government or when we were coming out of the covid pandemic. Does not the fact that those predictions were wrong demonstrate two things? The first is the underlying resilience of the British economy and labour market, and the second is the success of the measures taken by numerous Ministers in his Department over the years always to make work pay and to make sure that our welfare system is reformed to encourage work incentives?
As usual, my right hon. Friend makes characteristically insightful remarks about the UK economy, not least about unemployment, where he is right: the expectation during covid was that unemployment would rocket up to the kind of levels that we last saw in the 1980s. The fact that no such thing happened is a testament to many of the Ministers, as my right hon. Friend suggests, and not least to our current Prime Minister, who as Chancellor came forward with the furlough scheme and the support for business.
Our commitment to supporting the most vulnerable is clear, including in the substantial the Government have provided to help families with the cost of living. That includes the millions of cost of living payments, landing directly into the bank accounts of those on the lowest incomes, as well as to millions of pensioners and disabled people. Of course, one of the most important actions that we have taken to help families is to deliver on the Prime Minister’s pledge to halve inflation. A compassionate Government recognise that, for the poorest families, cost of living pressures remain, which is why we are increasing universal credit and other benefits by 6.7% from next April in line with September’s inflation figure.
A compassionate Government recognise that rising rents are affecting private renters on the lowest incomes, which is why we are increasing the local housing allowance to the 30th percentile of local market rents from April next year. A compassionate Government back their pensioners, which is why we are honouring the triple lock, with an increase to the full state pension of 8.5 %. That is the second biggest ever increase, following last year’s increase of 10.1%.
(1 year, 10 months ago)
Commons ChamberI am pleased that the hon. Gentleman has raised the subject of this pilot, which I agree is hugely important. We are looking closely at the results, including the effect not only on mental health but on productivity. As he will know, £7 million has been invested so far.
I thank my right hon. Friend the Secretary of State and my right hon. Friend the Prime Minister for the leadership they are showing on this issue. They are exactly right: it is the increase in the number of, in particular, younger workers dropping out of the labour market owing to mental ill health that is driving the increase in economic inactivity. As he prepares the White Paper, will my right hon. Friend keep the focus on how a close link with the employment support agency and the labour market can be maintained? Once someone leaves the labour market and is out of work for an extended period, it becomes far less likely that they will ever make it back.
My right hon. Friend has great experience in these matters, and he too is entirely right. It is essential for the Department to do whatever it can at the early stages to support those with mental health issues who are already in work, particularly those who are in danger of falling out of work, so that we do not end up seeing more and more people experiencing longer-term absence from employment.
(2 years ago)
Commons ChamberI could not agree more with the hon. Gentleman. He is right to raise the issue of economic activity. That will be a major focus of mine as Secretary of State: we have 9 million people who are economically inactive, and we desperately need to get as many as we can into the workforce, not least because under this Government we have very low unemployment, very high levels of employment and 1.25 million vacancies in the economy.
I congratulate my right hon. Friend and send him my best wishes for his time in this important job. May I suggest that he has a look at some research published earlier this year by the Prince’s Trust, which found that there are hundreds of thousands of young people not in education, employment or training, many of whom are economically active? They want to work, but many of them are living with physical or mental disabilities. Does he agree that the right support would enable them to stay in touch with the labour market and prevent patterns of worklessness from setting in at a very young age?
I recognise the great work that my right hon. Friend did as a Secretary of State. There are 820,000 young people out of work and not in full-time education, and he is right that there are many things this Government can do, and indeed are doing, with our youth offer. That includes our youth employment programme, youth employability coaches and 150 youth hubs across Great Britain.