Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, what recent assessment she has made of the factors that contribute to long-term unemployment; what assessment she has made of the effect of long-term unemployment on (a) families, (b) communities and (c) the economy; and what steps her Department is taking to tackle long-term unemployment and its effects.

DWP is committed to supporting everyone who has been affected by the unprecedented impact of Covid 19 on the economy and the labour market. Unemployment is at 5% (3 months to January 2021) and the Universal Credit Intensive Work Search Regime (IWSR) caseload has risen to almost 2.4 million (February 2021). We have seen historically that where unemployment rises, we can also expect long-term unemployment to increase.

DWP recognises the negative impacts of long-term unemployment for individuals, families, communities and the economy. At the 2020 Spending Review, the Chancellor confirmed A Plan for Jobs, which placed DWP at the heart of providing significantly expanded employment support to people becoming newly unemployed and those falling in to long-term unemployment, investing £33bn in measures to create, support and protect jobs.

This included £2bn for the Kickstart scheme, £2.9bn for the Restart scheme, funding to increase the number of Jobcentre Work Coaches by 13,500 and a range of other measures focussed on boosting work search and skills (Job Entry Targeted Support; Job Finding Support; Sector Based Work Academy Programme).

The Restart Scheme will give Universal Credit claimants who have been out of work for at least 12 months enhanced support to find jobs in their local area. Restart will offer intensive and tailored guidance to this group of claimants, working with local employers and partners, to help support claimants in removing any barriers that prevent them from re-entering work.