Welfare Reform and Work Bill (Second sitting)

Priti Patel Excerpts

Thursday 10th September 2015 Public Bill Committees

[Stephen Timms]

Q 22 One of the interesting things about this discussion in the context of the Bill is the Government’s objective to halve the disability employment gap. Is it not clear that we would have to do much better than the 10% that has come out of the Work programme if we were to get anywhere close to halving that gap?

Kirsty McHugh: It is a hugely positive move from the Government to say that they want to do that. It is hugely ambitious. At the moment that means an additional 1.1 million people with disabilities into work. That means looking at the assessment regime, the interaction of the assessment regime with the employment support regime and the finances. It also means looking at the demand side from employers. There is some interesting work going on with the behavioural insights unit and others about how we actually change the mindset and de-risk it, potentially, in their minds—it should not be risky but sometimes it is perceived as being so—so that they are more likely to take on people with disabilities. It is not just one thing, but a whole series of things. It is a huge cultural shift but I am very pleased that the Government have said that they want to do it.

[The Minister for Employment (Priti Patel)]

Q 23 Kirsty, you have touched on a broad range of themes, in particular on the Work programme and ESA. I know from discussions within the Department and, you will be aware, with Work programme providers, that this is a challenging area but one that we are ambitious about. Do you have any learnings or thoughts from the providers that your organisation represents? For ESA claimants in particular, what are those game-changing interventions? What else do you think the Government could focus on in terms of spending for support—bringing people closer to the labour market but, importantly, helping them to continue their journey of long-term sustained employment, not just getting them into work? What kind of health interventions could we look into? Do you have any insight or experience of seeing fruitful outcomes?

Kirsty McHugh: We did a piece of work for the Department bringing together a range of our members looking at ESA. We have actually done that more than once over the course of the past few years, as you can imagine. We have a lot of the big disability charities in membership—last year it was two-thirds not-for-profit—but we also have all the Work programme primes and Work Choice primes. A lot of the best practice comes from the other programmes, not just the Work programme.

The big thing is staff skills and confidence. For somebody who is presenting to them, it is them knowing about that right mix of support and challenge as a front-line adviser. They may have been out of work for 11 or 12 years so their confidence is on the floor. They have a huge gap in their CV and the mindset is not there in terms of, “I want to work and I can work.” Often, the providers say that once you switch that mindset it is almost job done.

How do you get to that attitudinal change so that people feel really positive about themselves and want to change their lives and those of their families and communities? It takes a while. It is about one-to-one relationships with front-line staff—none of this is rocket science. It is about long-term relationships and trust. Therefore, lower case load is really important for people with disability and health conditions. There has been a lot of investment in cognitive behavioural therapy-type approaches and talking support. Group therapy seems to work very well. There is never one magic bullet. A lot of this will be quite familiar to you. The good adviser will have a personalised referral to a range of different services in that area but staff skills are more important than anything else.

It is then about selling in—a horrible term—that individual to an employer. If somebody has a big gap in their work history, that can be quite an ask of an employer. Therefore, getting them work experience, or something that fills the hole in the CV that proves to them and to the employer that maybe they are a bit less of a risk, is really important. We know a lot now about the prevalence of mental health difficulties, which often co-exist with other physical conditions. It is often not just one condition. Often, the barrier to work is not health but the fact that they have got a lack of work history and a lack of skills.

I think there is a good consensus between the officials and the sector about what has worked and what has not worked and what we want to do going forward. As I said, there is quite a lot of evidence that the sustainment rates for people on ESA who get into work are high. What we definitely need to do is bring more money up front, which then means the specialist providers, charities and so on can do more up front with that individual and maybe we will have less on sustainment payments than we have currently. It is not about increasing the overall unit cost but about remodelling it.

[Emily Thornberry (Islington South and Finsbury) (Lab)]

Q 24 You gave a long, interesting and detailed answer to the question asked, which is essentially about how we get people on ESA into work. You have not said—I wonder if you overlooked this—that it might be an incentive and make it more likely for those on ESA in the support group to get into work if their benefits are cut by £36.20 a week, which is what is said in the Bill.

Kirsty McHugh: You are talking about the work-related activity group changes at this point in time. Again, to be up front, we are concerned about that. One of the issues is that if somebody has been through the work capability assessment and they have been put into WRAG, often they appeal. When they are going through the appeal, they are not actually engaging with the Work programme or Work Choice or whatever they have been put on. We have got to get to the stage where, actually, it is a really positive thing for somebody to think, “Work is an option for me.” If they are worried about their benefit levels, often that can get in the way of having that discussion. I understand that there are macro issues that the Government are facing in relation to that and we do not know quite what the impact of the measure will be at this point in time, but it is a concern.