Jobcentre reform will be at the centre of the Labour government’s plans to “get Britain working again”.
Tackling the increasing number of people out of work and relying on the state for income has become a major priority of the state, with welfare costs taking up a sizeable portion of government spending.
According to the government, more than nine million people are economically inactive, with 2.8 million on long-term sickness – a number which has risen significantly since the pandemic.
The government will today be publishing its plans to get more people into employment in the form of the Get Britain Working white paper.
The government says its main aim is “to target and tackle the root causes of unemployment and inactivity, and better join up health skills and employment support based on the unique needs of local communities”.
Ill health is noted as the “biggest driver to inactivity”, and “fixing the NHS” is identified as a key task to get people back into work.
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The government also points out that £22.6bn was promised in the budget for the health and social care system, with hopes that clearing NHS backlogs will return unwell people to the workforce.
The government says it will in future announce measures to “overhaul the health and disability benefits system so it better supports people to enter and remain in work and to tackle the spiralling benefits bill”.
As part of this, the 20 NHS trusts in England with the highest level of economic inactivity will be given extra capacity to reduce waiting lists.
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‘The benefits system can incentivise and disincentivise work’
Liz Kendall, the secretary of state for the Department for Work and Pensions (DWP), said: “To get Britain growing, we need to get Britain working again.
“Our reforms will break down barriers to opportunity, help people to get into work and on at work, allow local leaders to boost jobs and growth, and give our children and young people the best opportunities to get on in life.”
Key among the plans announced today are changes to Jobcentres – with a potential for the service to be rebranded and the name changed down the line.
The “outdated” system will be changed into a “national jobs and careers service”, according to today’s announcement.
The government says staff will be allowed more flexibility to help users of the service, moving away from the current “tick box” culture.
Some £55m will be spent on the transition – linking the scheme with the National Career Service – with the government hoping to use AI to help work coaches, and move more services online.
This package forms part of a greater £240m being pledged by Labour for reform.
A £125m tranche of this will be used to invest in eight areas in England and Wales to provide work, health and skills support, which will then be used as blueprints for the rest of the country.
Those not part of these schemes will be able to claim part of a £15m pot, with the government aiming to hand local authorities more power in employment.
Image: Sir Keir, centre, and Ms Kendall, second left, say they want to get more people into work. Pic: PA
Some £45m will be spent on eight “trailblazer” youth schemes in areas like Liverpool, Tees Valley and the East Midlands.
This is part of the government’s plans to increase the number of young people in work or education, and will target “those most at risk of falling out of education or employment and match them to opportunities for education, training or work”.
There will also be a “youth guarantee” – with 18 to 21-year-olds in England all having access to apprenticeship, education or help to find a job. As part of this, the apprenticeship levy will be reformed.
A review will also be launched into how employers can be better supported to employ people with disabilities.
‘An end to blaming and shaming’
Prime Minister Sir Keir Starmer said: “Our reforms put an end to the culture of blaming and shaming people who for too long haven’t been getting the support they need to get back to work.
“Helping people into decent, well-paid jobs and giving our children and young people the best start in life – that’s our plan to put more money in people’s pockets, unlock growth and make people better off.”
Helen Whately, the Conservative shadow work and pensions secretary, said Labour had made “no attempt to match the £12bn in welfare savings we promised in our manifesto”.
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Paul Nowak, the general secretary of the Trades Union Congress, backed Labour’s plans – but said: “Success will also depend on ministers making the investment that’s needed in health services and quality training.
“Jobcentre staff must have a central role in redesigning their services, and devolution must never come at the cost of staff terms and conditions.”
Louise Rubin, who is head of policy at disability equality charity Scope, said the government must understand the “lack of trust between disabled people and the DWP” – and the potential this has to undermine the reforms.
A minister has defended Sir Keir Starmer’s decision to discipline rebellious MPs, saying they would have used “stronger” language against those who are “continually causing trouble”.
Home Office minister Jess Phillips told Sky News’ Matt Barbet that Labour MPs were elected “as a team under a banner and under a manifesto” and could “expect” to face disciplinary action if they did not vote with the government.
Image: Brian Leishman, Chris Hinchliff, Neil Duncan-Jordan and Rachael Maskell.
Pic: Uk Parliament
Brian Leishman, Chris Hinchliff, Neil Duncan-Jordan and Rachael Maskell all lost the whip, meaning they are no longer part of Labour’s parliamentary party and will sit as independent MPs.
Labour backbenchers lined up to criticise the move last night, arguing it was a “terrible look” that made “a Reform government much more likely”.
But speaking to Sky News, Ms Phillips said: “We were elected as a team under a banner and under a manifesto, and we have to seek to work together, and if you are acting in a manner that is to undermine the ability of the government to deliver those things, I don’t know what you expect.
“Now I speak out against things I do not like, both internally and sometimes externally, all the time.
“There is a manner of doing that, that is the right way to go about it. And sometimes you feel forced to rebel and vote against.”
Referring to a description of the rebels by an unnamed source in The Times, she said: “I didn’t call it persistent knob-headery, but that’s the way that it’s been termed by some.”
She said she would have described it as “something much more sweary” because “we are a team, and we have to act as a team in order to achieve something”.
More than 100 MPs had initially rebelled against the plan to cut personal independent payments (PIP). Ultimately, 47 voted against the bill’s third reading, after it was watered down significantly in the face of defeat.
Three other MPs – who also voted against the government – have had their trade envoy roles removed. They are Rosena Allin Khan, Bell Ribeiro-Addy and Mohammed Yasin.
However, it is understood this was not the only reason behind the decision to reprimand all seven MPs, with sources citing “repeated breaches of party discipline”.
Mr Hinchliff, the MP for North East Hertfordshire, proposed a series of amendments to the flagship planning and infrastructure bill criticising the government’s approach.
Mr Duncan-Jordan, the MP for Poole, led a rebellion against the cut to the winter fuel payments while Alloa and Grangemouth MP Mr Leishman has been critical of the government’s position on Gaza as well as the closing of an oil refinery in his constituency.
Ian Byrne, the Labour MP for Liverpool West Derby, wrote on X on Wednesday that the prime minister’s actions “don’t show strength” and were “damaging Labour’s support and risk rolling out the red carpet for Reform”.
Leeds East MP Richard Burgon added that “challenging policies that harm our communities” would “make a Reform government much more likely”.
Ian Lavery, Labour MP for Blyth and Ashington, warned the suspensions were “a terrible look”.
“Dissatisfaction with the direction the leadership is taking us isn’t confined to the fringes,” he wrote.
I’m going to level with you – I am very, very confused.
In fact, I’ve got five reasons why I’m very confused.
The first reason I’m confused is because this is meant to be a show of strength, but most people have literally never heard of these four individuals.
Rachael Maskell is a bit well-known, but if this is intended to impress the public, then I’m not sure the public will notice.
Secondly, if it’s about installing discipline in the parliamentary Labour Party, I’m confused about that. Surely Sir Keir Starmer‘s aim right now should be to unite the parliamentary Labour Party rather than divide it.
After the welfare rebellion, the promise was to listen. Starmer gave interviews saying he was going to create policy more sympathetic to his party.
It was only yesterday morning that Work and Pensions Secretary Liz Kendall said the government’s welfare reforms were in the “right place” – yet the people who helped get them there are suspended.
Suspended for agreeing with what is now government policy is an odd look.
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Sir Keir Starmer has suspended four MPs from the parliamentary Labour Party for ‘repeated breaches of discipline’.
Fourth, I’m confused at who the most prominent individual to be suspended is – Rachael Maskell.
She was on Sky News within minutes of the suspension looking genuinely surprised and really rather upset.
Now, there’s absolutely no doubt she was a ringleader in this rebellion. Eight days ago, she authored an article in the New Statesman discussing how to organise a government rebellion – so I think that’s pretty much case closed.
But Rachael is of the soft left, not the hard left. And who else is on the soft left? It’s Starmer.
It does feel as if the prime minister is slightly coming for people who have dangerously similar views to him.
I understand this is all about drawing hard lines and showing who’s on your team and who isn’t.
But some of that line looks like it goes awfully close to people that you really wouldn’t want to be on the wrong side of if you’re prime minister.
And finally, three other MPs – Rosena Allin-Khan, Bell Ribeiro-Addy and Mohammed Yasin – have been sacked from their trade envoy jobs. They do retain the party whip.
But here’s the thing that hurts your head: if you are a Lib Dem trade envoy, like Sarah Olney, or if you’re a Tory trade envoy, as George Freeman was until a couple of weeks ago when he was suspended, you do not have to obey the whip – and you can continue to keep your trade envoy role.
But if you’re in the Labour Party and you’re a trade envoy, you do have to obey the whip.
And it’s just one of those mad inconsistencies where if you’re in another party, you can keep your trade envoy role, if you’re in the governing party, you can’t. That just doesn’t make sense at all.
So there are my five reasons why I’m completely confused.