(10 years, 5 months ago)
Lords ChamberThe noble Lord makes a good point. It is fair to say that Labour’s plan for encouraging tax breaks to encourage employers to pay the living wage applies for 12 months only and will cover less than one-third of the increased cost to the employer. Increasing the cost of employment could encourage businesses to employ fewer people. Labour’s estimates of the cost of this policy ignore these issues, and the party has considered only potential benefits to the Exchequer.
My Lords, I do not think any of the Minister’s replies have explained how his strategy will take out of poverty the millions of children who have just been illustrated in the report of one of the Government’s own commissions. It recognises that many families where there is childhood poverty, even though someone in the household is employed, are not being helped. What strategy do the Government therefore have to reach the jointly agreed target to take children out of poverty in the next decade?
Several strategies are in place, but above all the main point is to encourage more jobs. We have created many millions of jobs and encouraged apprenticeships over the past few years since 2010. That is the way forward: to increase employment and job security for all in the UK.
I wonder if the Minister would say more about the report today from the social—
My Lords, the Government will provide an extra contribution of £40 million to deliver an additional 20,000 higher apprenticeship starts in the 2013-14 and 2014-15 academic years. Professional bodies are playing a key role in developing a professional apprenticeship route. The changes we have made to higher apprenticeships now provide a clear, work-based progression pathway from an apprenticeship through to higher education and professional careers.
My Lords, the Minister recognises that the north-east is a very strong manufacturing area but has continuing unemployment. Will he guarantee that the Government will eventually support the UTC that Hitachi wants to sponsor in Newton Aycliffe in order to get a highly skilled workforce for train building in the north of England?
I will need to write to the noble Baroness about that specific example, but I hope she will be greatly encouraged by the huge amount of work going into progressing the UTCs. There are 50 of them, creating 30,000 opportunities for young people to train as engineers and scientists for the future. These are the skills that we need to build up.