PARLIAMENTARY DEBATE
Unemployment Levels - 13 May 2024 (Commons/Commons Chamber)
Debate Detail
Contributions from Alison McGovern, are highlighted with a yellow border.
Craig Tracey
North Warwickshire
Dr Jamie Wallis
Bridgend
Mel Stride
The Secretary of State for Work and Pensions
We are bearing down on unemployment, not least through the sterling work of our JCP work coaches, as well as through the back to work plan that my right hon. Friend the Chancellor recently announced.
Craig Tracey
This Friday, I will be hosting my next jobs fair in Atherstone, along with the local DWP. While these events have been successful, with more than 30 businesses typically on hand with live jobs on offer, one of the regular bits of feedback I get is that access to transport is often a barrier to people taking up jobs, particularly where those jobs might be out of the town centre or in industrial parks, and particularly before that first pay packet comes in. Will the Secretary of State set out what if any support is available to help as many people get into some of the fantastic opportunities we have in North Warwickshire and Bedworth?
Mel Stride
I thank my hon. Friend for the extraordinary work that he does locally to support people into work. He asks what support there is for those with travel challenges. The flexible support fund is there for a variety of different uses, but one is to help with exactly the issue he raises for the first three months of employment.
15:09:57
Dr Wallis
We have successfully halved inflation, but we must get people back into work. In Bridgend, we have lost the Ford factory and Biomet. It is about local jobs. I have always said that maintaining close contact with local employers and working with businesses on the ground is the way to do it. Could the Secretary of State tell the House what his Department is doing to work with employers to get people back to work?
15:10:29
Mel Stride
We do a huge amount with employers both at national level and at local jobcentres. If my hon. Friend has not already engaged with his local jobcentre staff, I strongly recommend that he does so. The results speak for themselves. Unemployment is around half the level in 2010 under the last Labour Government. We have near record levels of employment. Youth unemployment under this Government has fallen more than 40%; under Labour, it went up by almost 45%.
15:10:59
Sarah Dyke
Somerton and Frome
More than 39,000 south-west companies are classed as being in significant economic distress, according to Begbies Traynor’s “Red Flag Alert” report. The loss of those businesses would deepen regional economic inequality and increase regional unemployment. What steps is the Minister taking with Cabinet colleagues to ensure that those businesses, which provide vital jobs, find a way out of significant economic distress?
Mel Stride
As we have set out, there is a clear and detailed back to work plan, which is working for the reasons that I have given. If the hon. Lady has examples of specific employers under the distress that she outlined, the Minister for Employment will be happy to look at what we may be able to do as a Department in her constituency.
15:11:24
Mr Speaker
I call the shadow Minister.
15:12:15
Alison McGovern
Wirral South
The Prime Minister said this morning, and the Secretary of State just repeated it, that the Government introduced universal credit to help people into work. That is not a real account of the situation. The truth is that not only do we have record sickness-related inactivity, but young people are faring the worst. I know what Ministers will say—the questionable allegation that Labour Governments leave office with unemployment higher has already been trotted out. Actually, Full Fact found that that is particularly true of post-war Conservative Governments. So will the Minister acknowledge what is going on today: for the first time ever, we have 3 million inactive 16 to 24-year-olds? That’s true, isn’t it?
15:12:48
Mel Stride
I have already set out that we have universal credit, as the hon. Lady identified, as well as WorkWell and universal support to address exactly the individuals to whom she referred. On the general point, it should be pointed out that economic inactivity is below the OECD, G7 and European Union average, and lower than in France, Italy and the United States and in every year under the last Labour Government.
15:13:29
Alison McGovern
I said they would and I hear what the Secretary of State said about scheme after scheme and initiative after initiative, but what have the results been? If the Tory plan was working, the OBR would have forecast an increasing employment rate, wouldn’t it? But what is the truth? Not only is employment forecast to go down, but the forecast was downgraded in response to the Government’s policies. That’s the truth, isn’t it?
Mel Stride
Our record speaks for itself: 4 million more people in work since 2010. Unemployment has halved since the last Labour Government, on the hon. Lady’s watch. Youth unemployment has fallen by more than 40%; under her watch it rose by more than 40%. As I have stated, the last Labour Government’s record on economic inactivity is that it was higher than today every single year.
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