PARLIAMENTARY DEBATE
Ill Health: Economic Inactivity - 5 February 2024 (Commons/Commons Chamber)

There are, of course, significant costs related to an increase in long-term sickness and illness rates in work. That is why we have our £2.5 billion back to work plan, to help 600,000 disabled people and people with health conditions start and stay in work. That approach, along with others, has seen economic inactivity reduce by 330,000 since its peak during the pandemic.

On NHS waiting lists, there has been progress, in that the two-year waiting lists have almost been entirely dispensed with and those of 18 months have been very substantially reduced. Our Department recognises that work is part of the solution to improving people’s health, which is why we are putting forward the WorkWell service, bringing together medical input and work coach input; fit note reform to help at an earlier stage of the journey; and the reforms to the work coach assessment. All those things are moving towards getting more people into work, which is good for their health.

In Barrow and Furness, an estimated 4,000 people who could be contributing to the labour market are not doing so. I am incredibly grateful to my right hon. Friend and his team, in the Barrow jobcentre and centrally, who, alongside Team Barrow, have worked with local employers and skills providers to help get those people back into our incredibly tight labour market. Will he pass my thanks on to those teams? May I also encourage him to visit to see their good work?

I thank my hon. Friend for highlighting all the good work that has gone on in his constituency. I believe he opened a jobcentre only as recently as 30 January in his constituency. He is a doughty campaigner for and supporter of employment in his patch. He asks whether I will visit his constituency. I would certainly like to consider that, but my hon. Friend the Employment Minister might also visit, because she just said she was particularly keen to do so.

There we are.

Burnley and Padiham has so much going for it—with the rest of Lancashire, our area is the manufacturing powerhouse of the United Kingdom—but still has stubborn levels of economic inactivity among people who could be contributing to economic growth and having financial security, which we all want them to have. What more can we do to help those people? In particular, can my right hon. Friend do more to join up with other Departments so that areas such as Burnley, which might have structural problems, get more intensive support?

My hon. Friend asks what approach we can take to resolve the issues that he has raised. We have announced a doubling of universal support, a scheme with which he will be familiar; WorkWell, to which I just referred, bringing together medical support and work coaches; and reform of the fit note system so that we get involved earlier in the journey that many people experience when they fall out of the workforce into longer-term sickness and disability benefits. Overall, the evidence is clear: economic inactivity is down by 268,000 on the year, and by more than a third of a million since its peak during the pandemic—a 52% reduction.