Tag: Department for Work and Pensions

  • PRESS RELEASE : Record pension scheme funding means up to £160 billion ready to boost growth [May 2025]

    PRESS RELEASE : Record pension scheme funding means up to £160 billion ready to boost growth [May 2025]

    The press release issued by the Department for Work and Pensions on 21 May 2025.

    The reforms will support the Government’s Plan for Change by boosting economic growth and securing the financial future of millions of UK savers.

    • Funding levels in the Defined Benefit (DB) pension sector have hit a record high, with three in four now in surplus and deficit payments down by over £10 billion a year
    • Increased resilience follows years of businesses creating security for members through building a larger surplus.
    • New freedoms to safely release surplus funding will unlock investments and benefit savers as part of the Government’s Plan for Change.

    Working people, pension scheme members and businesses are set to benefit from record highs in pension scheme funding.

    The majority of DB schemes are now running at a surplus which means the value of their assets exceed that of the promised pension benefits due to members.

    Thanks to the forthcoming Pension Schemes Bill – trustees and employers will soon be able to safely release part of this surplus to boost investment and benefit scheme members.

    Funding levels for DB pension schemes, sometimes known as “Final Salary” pensions, are current in their strongest ever financial position with the number of DB schemes sufficiently financed tripling since 2010.

    Minister for Pensions, Torsten Bell, said:

    The record funding levels for Defined Benefit pension schemes is excellent news for Britain’s employers and workers.

    Fast falling deficit payments offer employers a cashflow boost of over £10 billion a year, that can support higher wages and investment.

    And growing scheme surpluses can also be used productively. Currently some trustees are held back from sharing the benefits of a surplus, but our plans will allow all schemes to safely do so, delivering greater investment across firms and benefits for savers.

    In 2019, just 600 Defined Benefit schemes were financed sufficiently, meaning businesses could meet the costs associated with their schemes without dipping into operational budgets – by 2024 that figure had tripled to over 1,800.

    Because of this robust financial position, the additional payments businesses have had to pay to plug pension deficits has fallen from £16 billion in 2010 to under £5 billion in 2024. This is delivering an immediate cashflow benefit to firms and should support higher levels of investment and wages.

    The funding position of schemes in deficit has improved significantly, from a collective deficit of £500bn in 2019 to a deficit of just £140bn in 2024. Schemes running at a surplus have seen their collective surplus now rise to more than £160bn. Currently, many schemes cannot access their surplus – but the forthcoming Pension Schemes Bill will allow Pension trustees and the sponsoring employers to safely release some surplus to invest back into their businesses and unlock more money for pension scheme members. The upcoming changes will focus on member protection, and trustees will continue to be required to fulfil their duties towards scheme beneficiaries.

    These changes form part of a package of reforms in the upcoming Pension Schemes Bill that will secure the financial future of millions of UK savers and drive long-term economic prosperity.

    Additional Information

  • PRESS RELEASE : £25 billion powered Wales Pension Partnership pool to deliver growth and jobs for Wales [May 2025]

    PRESS RELEASE : £25 billion powered Wales Pension Partnership pool to deliver growth and jobs for Wales [May 2025]

    The press release issued by the Department for Work and Pensions on 9 May 2025.

    People from Cardiff to Carmarthen will see a boost to their local communities and job opportunities, thanks to the Wales Pension Partnership (WPP) launching a new investment company that pools £25 billion of assets.

    • Biggest ever Welsh pension fund to be established with £25 billion pooled into a new investment company that can deliver growth as part of our Plan for Change
    • The Wales Pension Partnership is being transformed – by pooling the pension funds of 22 Local Authorities it will unleash the full potential of the Local Government Pension Scheme to act as an engine for growth in Wales
    • Success of the Partnership is reflected in schemes like Uskmouth Power Station in Newport – supporting 300 jobs with benefits to the local community and economy

    The WPP is being transformed so that the Local Government Pension Scheme (LGPS) pool, which will consolidate the assets of 22 Local Authorities’ schemes representing 412,000 members, will be the biggest pension fund in Welsh history, capable of delivering huge investments felt first-hand by businesses and communities in Wales.

    By setting up this investment company in Wales, the investment decisions the fund makes can reflect the unique cultural and economic climate of Wales, collaborating with local businesses to invest in communities and delivering growth – making sure the LGPS is delivering for those whose hard-earned money it guards, and their communities.

    To see an example of this, Minister for Pensions Torsten Bell today visited Uskmouth Power Station which has benefited from £6.5 million of investment from the WPP for its redevelopment from a coal fired power station into a sustainable energy site –supporting 300 new full-time jobs during construction driving economic growth and prosperity for the community.

    UK Minister for Pensions Torsten Bell MP said:

    Pensions are a massive part of the economy – and we’re seeing this brought to life here in Wales, where a successful Local Government Pension Scheme is investing in the right places to drive opportunity and growth for the local community.

    I’m delighted to visit Uskmouth Power Station in Newport, which has had a £6 million boost from the Wales Pension Partnership, creating 300 jobs which mean opportunity and prosperity at a local level.

    Making sure everyone can benefit from the potential of larger pension pools ties into the ambitions of our Plan for Change to boost investment in communities across the country, bringing long-term economic benefits.

    The Wales Pension Partnership said:

    The Wales Pension Partnership investment in Uskmouth Battery Energy Storage Systems demonstrates our ambitions to attract investment into crucial Welsh infrastructure and secure national energy supplies.

    This investment shows our commitment to working with Quinbrook and our strategic partner GCM Grosvenor to: deliver strong investment returns for our pensioners, ensure long-term energy security, reduce carbon emissions, provide jobs and regeneration opportunities across Wales. This is one of many projects that we have in our investment pipeline and will be unveiling over the next 12 months.

    Cabinet Secretary for Economy, Energy and Planning, Rebecca Evans MS said:

    We have long recognised the benefits of a strong single Welsh Local Government Pension Scheme pool.  We want to see the Wales Pensions Partnership continue to go from strength to strength delivering returns for members and able to invest in economic growth for Wales and the UK.

    UK Minister of State for Local Government and English Devolution, Jim McMahon OBE MP said:

    We are determined to get the best value out of taxpayers’ money, which is why we are reforming the Local Government Pensions Scheme pools in Wales and England to be more efficient, fit-for-purpose and deliver for public servants and their communities.

    The scheme plays a vital role in boosting investment and growth across Wales and ultimately putting more money in working people’s pockets as part of our Plan for Change.

    The site, once a coal fired power station, is being repurposed to provide up to 460 megawatt hours of electricity storage capacity for the National Grid and bring a retired rail line back into service to deliver materials, saving nearly 8,400 heavy good vehicles from the local road network.

    The investment embraces the spirit of change the government has asked to see from LGPS pools with the wider pooling process for the UK’s world-class LGPS set to conclude in March 2026. Reforms will see the LGPS punching its weight globally, while bringing benefits to local communities through dedicated investment strategies and improving transparency for its members.

    These reforms will ensure the Local Government Pension Scheme is fit for the future, and boost investment to drive the economic growth and prosperity promised by the Plan for Change.

  • PRESS RELEASE : Fraud Bill to save £1.5 billion progresses to the Lords [April 2025]

    PRESS RELEASE : Fraud Bill to save £1.5 billion progresses to the Lords [April 2025]

    The press release issued by the Department for Work and Pensions on 30 April 2025.

    Plans to recover stolen cash and impose driving bans on those who repeatedly fail to pay back taxpayer money moved a step closer today, as Ministers vowed “to address the unacceptable levels of fraud and error we’ve inherited”

    • The Public Authorities (Fraud, Error, and Recovery) Bill, set to save £1.5 billion over the next five years, progresses to the Lords
    • The Bill follows the biggest welfare fraud and error budget package in recent history
    • Changes could help boost investment in public services and protect the public purse, as part of the Plan for Change

    New souped-up powers from the Department of Work and Pensions (DWP), which will allow DWP to recover money directly from the bank accounts of fraudsters who can repay but are wilfully gaming the system in order not to, passed an important stage in the House of Commons as it had its Third Reading.

    The Public Authorities (Fraud, Error, and Recovery) Bill, which could put these measures into law, will help DWP to catch fraudsters, prevent overpayments and protect taxpayer’s money.

    The Bill will save the taxpayer £1.5 billion over the next five years and is part of wider plans set out in the Autumn budget and Spring Statement to save £9.6 billion by 2030. This means taxpayer’s money can be invested in public services as part of the government’s Plan for Change.

    Minister for Transformation, Andrew Western said:

    Enhancing our powers is essential to fulfilling our commitment to the public, as they will enable us to address the unacceptable levels of fraud and error we’ve inherited and better protect public funds.

    By strengthening our ability to catch criminals and prevent overpayments, we can keep up with the evolving nature of welfare fraud while reducing the risk of people falling further into debt, ensuring that more resources are directed towards improving the lives of people across the country.

    The new legislation comes as the government is dealing with the broken welfare system it inherited, with out-of-control levels of fraud and error costing the taxpayer around £10 billion a year – with a total of £35 billion of taxpayers’ money incorrectly paid to those not entitled to the money since the pandemic.

    The Bill will also give powers to the DWP to get data from banks and other financial institutions to help verify the eligibility of those who receive certain benefits to make sure they are getting the correct payments – this will help to stop people falling further into debt because of incorrect payments and help the DWP spot fraudulent claims.

    No personal information will be shared by DWP to support financial institutions in the identification of these accounts, and DWP will not have access to people’s bank accounts in verifying eligibility and will not be able to see where people are spending their money.

    Protections are central to the Bill, making sure there is proportionate and effective use of the powers, and that DWP is protecting vulnerable customers. For example, people will only be disqualified from driving as a last resort when they don’t rely on their car for work or for caring responsibilities and where they continually avoid repayment. Staff will be trained to the highest standards on the appropriate use of new powers, and we will introduce new oversight and reporting mechanisms.

    On top of the Bill measures, the Chancellor announced in the Spring Statement a further commitment to recruit over 500 additional DWP fraud and error staff who will make better use of government data to correct errors in benefit claims, as well as increasing checks on potential Universal Credit claimants by introducing more ways to verify the amount of savings they hold, as well as their earnings and expenses.

    The Cabinet Office’s Public Sector Fraud Authority will also be given more powers under the legislation, allowing the department’s investigators to detect and recover fraud in other departments and bodies across the public sector.

    Minister in the Cabinet Office, Georgia Gould said:

    This Bill will save taxpayers’ money. People are currently getting away with stealing vast sums of cash because our investigators don’t have the powers they need to detect and recover fraud across the public sector.

    We’re giving our investigators new powers to tackle fraud wherever they find it – as well as doubling the time available to bring pandemic fraudsters to justice.

    An additional new measure will see the time limit for civil claims against Covid fraud doubled from six to twelve years. This step change in the ability to fight fraud committed during the pandemic will give the Covid Corruption Commissioner and the Public Sector Fraud Authority more time to investigate complex cases and apply their new powers retrospectively – including the ability to raid properties and retrieve money from Covid fraudsters’ bank accounts.

    The Bill measures will now progress to the House of Lords to be debated further.

    Additional Information

    • The Fraud, Error and Recovery Bill forms part of wider government plans to save a total of £8.6bn over 5 years in the biggest welfare fraud and error budget package in recent history.
    • Since the pandemic, a total of £35 billion of taxpayers’ money has been incorrectly paid to those not entitled to DWP benefits.
  • PRESS RELEASE : Universal Credit change brings £420 boost to over a million households [April 2025]

    PRESS RELEASE : Universal Credit change brings £420 boost to over a million households [April 2025]

    The press release issued by the Department for Work and Pensions on 30 April 2025.

    More than one million households struggling with debt will get to keep an average £420 more of their benefits each year, under a change to Universal Credit coming into force today.

    • Around 1.2 million of the poorest households – including 700,000 with children – will keep an extra £420 a year on average, due to Universal Credit change.
    • New Fair Repayment Rate – which comes into force today – caps Universal Credit deductions at 15%, down from 25%.
    • Comes as part of the Government’s Plan for Change to make working people better off by helping them into jobs and extending support for low-income families.

    More than one million households struggling with debt will get to keep an average £420 more of their benefits each year, under a change to Universal Credit coming into force today [Wednesday 30 April 2025].

    The Fair Repayment Rate places a limit on how much people in debt can have taken off their benefits to pay what they owe. The maximum amount that can be taken from someone’s Universal Credit standard allowance payment to repay debt has been 25% – but from today this is reduced to 15%.

    This will mean an average £420 extra a year for 1.2 million of the poorest households, including 700,000 households with children, while helping people to pay down their debts in a sustainable way.

    It forms part of the Government’s Plan for Change to put more money into people’s pockets and boost living standards and marks the Government’s first step in a wider review of Universal Credit to ensure it is still doing its job.

    The Fair Repayment Rate was introduced by the Chancellor at the Autumn Budget, as part of broader efforts to raise living standards, combat poverty, and tackle the cost-of-living crisis.

    Chancellor of the Exchequer Rachel Reeves said:

    As announced at the budget, from today, 1.2 million households will keep more of their Universal Credit and will be on average £420 better off a year. This is our plan for change delivering, easing the cost of living and putting more money into the pockets of working people.

    With as many as 2.8 million households seeing deductions made to their Universal Credit award to pay off debt each month, the new rate is designed to ensure money is repaid where it is owed, and people can still cover their day-to-day needs.

    Work and Pensions Secretary Liz Kendall said:

    As part of our Plan for Change, we are taking decisive action to ensure working people keep more of the benefits they’re entitled to – which will boost financial security and improve living standards up and down the country.

    We’re delivering meaningful change to ensure everyone has a fair chance, the support they need, and real hope for the future.

    The Fair Repayment Rate is one of a number of bold measures the Government is taking as part of its Plan for Change to kickstart growth and spread prosperity across the country.

    Viewing work as a key route out of poverty, the Government set out the Get Britain Working White Paper – aiming to achieve its target 80% employment rate by overhauling Jobcentres, introducing a new jobs and careers service, and launching a youth guarantee so every young person is earning or learning. This comes on top of increasing the National Minimum and National Living Wage to ensure being in work pays.

    To support those in greatest need, the Household Support Fund has been extended another year – backed by £742 million, so local councils can continue to support low-income households with energy bills, food and essential items, while also funding long-term solutions, like home insulation, to help people at risk of falling into poverty.

    The Government is also working to tackle child poverty, rolling out free breakfast clubs in all primary schools in England as the dedicated ministerial taskforce builds its ambitious strategy to ensure every child has the best start in life.

    Additional information:

    • The change will be applied to all assessment periods that start on or after 30 April.
    • The 15% deductions cap continues to support customers to repay their debts at a sustainable rate.
  • PRESS RELEASE : Innovative ‘collective’ pension funds to deliver higher incomes and lower risks for future pensioners [April 2025]

    PRESS RELEASE : Innovative ‘collective’ pension funds to deliver higher incomes and lower risks for future pensioners [April 2025]

    The press release issued by the Department for Work and Pensions on 29 April 2025.

    Pensioners of the future will benefit from innovative ‘collective’ pension schemes to boost their income in retirement and productive investment across the economy, under plans announced today.

    • Wide reaching reforms to make innovative “collective” pension funds more commonplace will reduce risk and volatility for savers.
    • Collective Defined Contribution (CDC) schemes pool investment and longevity risks, unlocking productive investment potential as well as supporting more predictable returns for savers at no extra cost for employers.
    • With new regulations to allow for multiple employer CDCs planned for the Autumn, more savers are set to benefit from CDCs as part of the Government’s Plan for Change.

    More people than ever are saving into a workplace pension – £28 billion more in 2020 than in 2012 – with most of these pension pots being Defined Contribution (DC) schemes, where the employee is automatically enrolled to save a proportion of their salary tax-free and the employer contributes at least 3% of their salary to the pot too.

    But a lack of innovation and reform of the DC savings landscape risks some future pensioners bearing large risks, in terms of the value of their investments and whether their savings will provide an income throughout their retirement.

    Collective Defined Contribution (CDCs) are a new type of pension scheme that sees both the employer and employee contribute to a collective fund. Due to the scale of these funds and the pooling of risk for members, they can aim to provide a target pension income for life – similar to Defined Benefit (DB) schemes, sometimes called an average or final salary pension, but without the risk of significant unexpected bills for employers.

    In the UK, Royal Mail have already launched a CDC scheme for their employees which has over 100,000 members who are offered a combination of a cash lump sum and an income for life in retirement.

    Speaking at the LCP Conference in London today, the Minister for Pensions confirmed new regulations, set to be laid in the Autumn, will allow for multiple employer CDC schemes to be established, so that a range of unconnected employers can pool their employees’ pension pots into a collective fund, boosting returns for savers.

    These pooled pension investments will mean higher incomes in retirement, and help individuals manage the uncertainty about how long that retirement will be. These measures will provide more options for savers and employers to choose between and are part of wider reforms to the pensions landscape, as part of our Plan for Change to put more money into people’s pockets.

    Minister for Pensions, Torsten Bell said:

    Success in the world of pensions isn’t just about getting people saving, it’s ensuring their savings work as hard as possible for them.

    Making sure more employers and savers have the option of an innovative Collective Defined Contribution Pension scheme is an important part of making that happen.

    Too often at present we are leaving individuals to face significant risks, about how their individual investments perform and how long their retirements last. Pooling some of those risks will drive higher incomes for pensioners and greater investments in productive assets across the economy.

    The Minister also confirmed his desire to deliver decumulation only CDC schemes. These schemes would allow certain savers with DC schemes to access CDCs, offering retirees the chance to buy longer term, pooled retirement products that deliver stability for pensioners.

    Modelling from the PPI suggests that single employer CDCs could deliver a significantly greater average replacement rate (47%) than currently delivered through annuities (40%) with even higher benefits seen for multi-employer CDCs as longevity risks are pooled. (69%).

    And due to their size, CDCs can also be a more efficient vehicle for economic growth, with similar collective funds in Canada and Australia having proved an efficient way of supporting economic growth, investing in a wider range of sectors and assets.

    CDC schemes can invest in illiquid and more productive investments over the long term, including in UK businesses and infrastructure projects, supporting the Government’s growth mission while providing employers with greater freedoms as well as reducing the risks of over or under spending in retirement by paying pensioners based on life expectancy.

    These measures aim to drive economic growth and improve retirement outcomes for working people as part of the Plan for Change.

    Today’s announcement will provide clarity to the industry ahead of the upcoming Pensions Investment Review and Pension Schemes Bill, and in time give working people and employers a new option when considering what pension scheme works best for them

  • PRESS RELEASE : £1,000 retirement savings boost from plans to bring together small pension pots [April 2025]

    PRESS RELEASE : £1,000 retirement savings boost from plans to bring together small pension pots [April 2025]

    The press release issued by the Department for Work and Pensions on 24 April 2025.

    Millions of Brits will find it easier to track their pension savings with the creation of a small pensions pot consolidator, in reforms unveiled by the pensions minister today.

    • Government unveils reforms to combine small pension pots to make working people better off as part of Plan for Change
    • Move is set to boost retirement savings for the average worker by around £1000 and save businesses £225 million a year in unnecessary admin costs
    • Comes as part of Pension Schemes Bill which will drive investment in pensions industry and deliver on the government’s growth mission

    This new initiative will tackle the growing problem of small, forgotten pension pots that many people accumulate as they move between employers over their working lives. There are now 13 million of these small pots, holding £1,000 or less, with the number increasing by around one million a year.

    This is a hassle for savers and can stop them getting a good return on their savings if they have to pay multiple flat rate charges. Overseeing all these small pots also costs the pensions industry around £225 million in unnecessary admin costs.

    Under reforms introduced by this government as part of the Pension Schemes Bill, each individual’s small pots will be brought together into one pension scheme that is certified as delivering good value to savers. Individuals will retain the right to opt out.

    This will cut costs for savers and make it easier to keep track of their pensions while boosting living standards and make working people better off. It will also cut red tape for businesses managing the schemes and unlock economic growth as part of the Plan for Change.

    This announcement will reduce costs as well as hassle for savers, in time increasing the pension pot of an average earner by around £1,000 – boosting living standards and making working people better off. It will also cut red tape for businesses managing the schemes and unlock economic growth as part of the Plan for Change.

    Minister for Pensions Torsten Bell said:

    It’s great news that more people are saving for their retirement. But I want to make pension saving as simple and rewarding as possible.

    There are now more small pension pots in the UK than pensioners – raising costs and hassle for workers trying to track their savings. It also costs the pensions industry hundreds of millions of pounds every year.

    We will automatically bring together people’s small pots into one high performing pension, reducing costs as well as hassle for savers. In time this could boost the pension of an average earner by around £1,000 as part of our Plan for Change to put more money in people’s pockets.

    The announcement follows the work of the Small Pots Delivery Group. Their findings, aimed at supporting the design and implementation of the new small pots consolidator scheme, include:

    • A Small Pots Data Platform to identify and source the pension pots that could be consolidated.
    • A framework setting out the rules a scheme would need to follow to become a consolidator scheme. These would include already being in an Automatic Enrolment qualifying scheme, having a specified level of scale to manage expansion, providing good value for money for their members and providing additional protection for members from flat fee charges.
    • Safeguards for savers whose pension pots would be consolidated which include a member op-out option.

    Transforming the pension landscape through the Pension Schemes Bill, set to be introduced in Parliament later this Spring, will deliver on the government’s manifesto commitment to boost investment and returns for savers and make working people better off.

    The Bill will help over 15 million people, boost pension pots by £11,000 and spur on greater investment in productive assets.

    Zoe Alexander, Director of Policy and Advocacy at the Pensions and Lifetime Savings Association, said:

    The accumulation of small pots creates unnecessary cost and complexity for savers and schemes alike. The PLSA has worked extensively with industry and the DWP to propose solutions and supports the model being proposed by the Government.

    We look forward to working on delivering the recommendations of the Small Pots Development Group and are pleased the Government is tackling this long-standing issue in the Pension Schemes Bill.

    Rocio Concha, Which? Director of Policy and Advocacy, said:

    Which? called for the consolidation of small pots under £1,000 before the election, so we are delighted that the government is committing to doing this – a move that will provide greater value for savers and support them to keep track of their pensions.

    Which? looks forward to working with the government to ensure the pensions system is fit for the modern age.

    Gail Izat, Workplace Managing Director at Standard Life, part of Phoenix Group said:

    The number of small pots in the system is growing at a rate of knots and ultimately heightens the risk that people will lose track of their hard-earned savings.

    The introduction of consolidators that can administer these pots effectively and invest them dynamically will be a step forward and when combined with pension dashboards will empower people to take control of their savings. We look forward to working with government on the creation of this new system.

    Additional Information

    The Delivery Group was chaired by the DWP and had representation from:

    • The Financial Conduct Authority
    • The Pensions Regulator
    • Pension and Lifetime Savings Association
    • Association of British Insurers
    • Pensions Administration Standards Association
    • Chartered Institute of Payroll Professionals
    • Association of Pensions Lawyers
    • Which?
    • Federation of Small Businesses
    • Confederation of British Industry
    • Chair of the industry led Small Pots Coordination Group
    • Pensions Policy Institute
  • PRESS RELEASE : £10 million boost to employment support in Wales to Get Britain Working again [April 2025]

    PRESS RELEASE : £10 million boost to employment support in Wales to Get Britain Working again [April 2025]

    The press release issued by the Department of Work and Pensions on 22 April 2025.

    People in Wales are set to benefit from a £10 million investment aimed at improving local work, health, and skills support as part of the UK Government’s initiative to tackle inactivity and Get Britain Working.

    • First Wales trailblazer launches to tackle economic inactivity, with new tailored support to be rolled out including one-to-one mentoring, counselling, wellbeing services, and condition management for health issues.
    • Comes as part of UK Government’s drive to Get Britain Working again to unlock growth and deliver Plan for Change.

    The first trailblazer programme in Wales, launched in Denbighshire by UK Minister for Employment Alison McGovern and Welsh Government Minister Jack Sargeant, will for the first time provide targeted interventions tailored to local needs, rather than the current “one size fits all” approach.

    This includes help with CV writing and job searching, one-to-one mentoring, counselling services, wellbeing provision, and access to condition management services for those with health conditions.

    Trailblazer areas are specific places selected to trial out new and innovative approaches to employment support – these areas receive targeted funding and resources to roll out new strategies for reducing unemployment, tackling inactivity and improving job opportunities.

    During their visit to Working Denbighshire yesterday, both Ministers witnessed the support available, including meeting Work Coaches who offer expert, tailored assistance.

    Wales is one of nine places receiving support through the UK Government’s £125 million economic inactivity trailblazer programme, targeting areas with the highest levels of inactivity.

    Local leaders in Denbighshire, Blaenau Gwent, and Neath Port Talbot will design employment support schemes tailored to their community’s unique challenges.

    This localised, multi-agency approach aims to help people back into work, which is one of the most important ways to put extra money in people’s pockets and unlock growth as part of the UK Government’s Plan for Change.

    UK Government Minister for Employment, Alison McGovern said:

    Everyone deserves to thrive, including people suffering from long-term health conditions.

    No one will be written off and left on the scrapheap. That’s why we’re allocating the Welsh Government a £10 million boost to shake-up and connect health and employment services, delivering on the Plan for Change.

    Everyone deserves to benefit from the security and dignity that good work affords, and this trailblazer will help people to access this support.

    Welsh Government Minister for Culture, Skills and Social Partnership, Jack Sargeant said:

    This £10 million investment is an instrumental step in our collaborative approach to supporting people across our nation back into good employment. By working in partnership with the UK Government, Wales trailblazers will create a tailored approach that meets the unique needs of the three communities it is aiming to help in its first year.

    Our focus is on delivering integrated services that truly connect health support with employment opportunities, recognising that good work is fundamental to wellbeing. The Welsh Government is committed to ensuring no one is left behind, and this trailblazer programme demonstrates how devolved employment support can be responsive to local needs while contributing to our wider economic ambitions for Wales.

    Secretary of State for Wales, Jo Stevens added:

    This £10 million programme to get people into work will deliver tailored support where it is most needed. Blaenau Gwent, Denbighshire and Neath Port Talbot have been selected as areas where we can make the most difference.

    It’s an approach that we know works and builds on the success of the Welsh Government’s Young Person’s Guarantee which already provides support for young people to gain skills or get into work.

    Work improves physical and mental health and raises people’s standard of living. The trailblazer scheme ensures that anyone who’s able to work is helped into employment.

    The trailblazers are the latest milestone in the UK Government’s £240 million Get Britain Working reforms which includes transforming Jobcentres to focus on people’s skills and careers, guaranteeing young people the chance to earn or learn and providing mental health support to help people to start and stay in work.

    Yesterday’s launch in Wales follows the launch of the first trailblazer in South Yorkshire earlier in April, which plans to deliver a new service working with employers to hire those with health conditions – with both programmes focused on boosting growth by getting communities back to health and back to work.

    In the coming weeks, similar trailblazer schemes will launch in Greater Manchester, the North East, York and North Yorkshire, West Yorkshire and three in London.

    In addition to inactivity trailblazers, the UK Government has boosted the National Living Wage, increased the National Minimum Wage and is creating more secure jobs through the Employment Rights Bill to support people into good work and get Britain growing again.

    Funding provided to the Welsh Government for this programme also delivers on the Prime Minister’s promise to kickstart a new era of devolution, resetting relationships with devolved Governments so they have the support they need to play their part in delivering economic growth as part of the Plan for Change.

    Additional Information

    • The nine economic inactivity trailblazers, backed by £125 million of UK Government funding, is giving power to the Welsh Government and some Mayoral Authorities to design joined up work, health and skills offers.
    • Funding for Scotland and Northern Ireland has been devolved in the usual way.
    • Employment support measures are fully transferred to Northern Ireland. Jobcentre Plus services is reserved in both Scotland and Wales, but the Scottish Government and the Welsh Government also deliver other forms of employment support.
    • The UK Government also plans to establish new governance arrangements with the Scottish and Welsh Governments to help frame discussions around the reform of Jobcentres and agree how best to work in partnership on shared employment ambition across devolved and reserved provision.
    • In April, UK Government increases to the National Minimum and National Living Wage came into effect, putting more money into people’s pockets. Full-time workers on the National Living Wage will get a £1,400 annual boost, while full-time workers on the Minimum Wage could see a £2,500 annual boost.
    • Details of the first inactivity trailblazer, in South Yorkshire, is available here: https://www.gov.uk/government/news/south-yorkshire-kicks-off-125-million-plans-to-get-britain-back-to-health-and-work
  • PRESS RELEASE : Sarah Newton Reappointed as Chair of the Health and Safety Executive [April 2025]

    PRESS RELEASE : Sarah Newton Reappointed as Chair of the Health and Safety Executive [April 2025]

    The press release issued by the Department for Work and Pensions on 14 April 2025.

    The Department of Work and Pensions has confirmed the reappointment of Sarah Newton as Chair of the Health and Safety Executive (HSE). Her reappointment will run from 1 August 2025 to 31 July 2027.

    Sarah Newton has led HSE since 01 August 2020, overseeing its critical role in ensuring the health, safety, and welfare of workers across Great Britain. During her tenure, she has driven strategic improvements, strengthened regulatory frameworks, and championed HSE’s mission to protect people and places.

    Minister for Social Security and Disability, RT Hon, Sir Stephen Timms said:

    I am pleased to confirm Sarah Newton’s reappointment as Chair of the Health and Safety Executive. Her leadership and expertise have been invaluable in driving forward HSE’s important work. I look forward to seeing her continue to lead the organisation in ensuring high standards of health and safety across the country.

    Sarah Newton said:

    I am honoured to have been re-appointed Chair of HSE. It is a privilege to work with colleagues who are passionate about our mission and dedicated to protecting people and places.

    This reappointment has been made in accordance with the Governance Code on Public Appointments and follows an open and transparent process.

  • PRESS RELEASE : Rollout begins on new Employment Support programme with £40 million boost to West London [April 2025]

    PRESS RELEASE : Rollout begins on new Employment Support programme with £40 million boost to West London [April 2025]

    The press release issued by the Department for Work and Pensions on 9 April 2025.

    West London will today become the first of 47 areas across England and Wales set to receive dedicated five-year funding aimed at helping disabled people and those with health conditions and additional support needs into work.

    • West London becomes first area granted funding as part of DWP’s ‘Connect to Work’ programme, which will ultimately support 100,000 people per year.
    • The £42.8 million cash injection will fund five years of support for local disabled people and those with health conditions, and complex barriers to employment to find a suitable pathway into a job.
    • Follows record £1 billion employment support package, announced by Work and Pensions Secretary last month, to unlock work for sick and disabled people, encourage financial independence, and boost living standards as part of the government’s Plan for Change.

    West London will today become the first of 47 areas across England and Wales set to receive dedicated five-year funding aimed at helping disabled people and those with health conditions and additional support needs into work.

    As many as 100,000 people a year are set to receive tailored support nationally – including one-to-one employment advice and skills development – as rollout begins of Connect to Work, a new programme dedicated to help those facing some of the greatest barriers to work.

    Over the next five years, a partnership of Local Authorities in West London will receive a total of £42.8 million to provide targeted help to up to 3,500 people per year by:

    • matching people with job opportunities that suit their needs and circumstances,
    • providing essential skills training to help people get into and on at work,
    • working with employers to recruit and retain disabled workers.

    West London will receive almost £9 million of the £115 million already committed to run the programme in its first year – a downpayment on their full five-year deal, allowing local leaders to hit the ground running on tackling inactivity in their area.

    Work and Pensions Secretary Rt. Hon Liz Kendall MP, said:

    As part of our Plan for Change we are fixing the broken welfare system – getting more people into work, putting more money in people’s pockets, and putting the benefits bill on a sustainable footing.

    The welfare system we inherited has shut too many talented people out of the workplace – with no support, no prospects, and no opportunities.

    We are changing this. That’s why I’m delighted to see our Connect to Work programme kick off, with over £40 million of funding so local leaders in West London can give people in their area the tools they need to get in and on at work in a way that’s right for them.

    The Work and Pensions Secretary is set to visit a community hub in Shepherd’s Bush to meet people already helped into work by West London’s existing support offer, including:

    • Arman who had to step away from his job as a bookmaker due to his mental health. With support from West London Alliance Programme, he attended mental health workshops, got help to boost his CV, and found volunteering opportunities, before ultimately landing a new job.
    • Midula who has learning and speech difficulties. West London Alliance Programme is improving her prospect of getting into work through tailored interview prep and giving her the confidence boost she needs to succeed.
    • Bill who has been able to keep working at Harrow Council for 40 years, despite his physical heath deteriorating, thanks to adjustments made so he could stay in his job.

    David Francis, Director of West London Alliance, said:

    The West London Alliance Boroughs are proud to be at the forefront of the ‘Connect to Work’ initiative, demonstrating the strength of our partnerships and our dedication to improving employment outcomes for West London residents.

    This programme provides vital and tailored support to those facing challenges in the labour market, helping them to secure sustainable employment and build better lives.

    The Connect to Work Programme is one of a number of initiatives being launched to help towards the government’s aim for an 80% employment rate.

    Work has already begun on the plan to Get Britain Working, with South Yorkshire becoming the first of nine ‘inactivity trailblazers’ across the country to launch their community-led effort to help people into a job.

    This comes as the government unveiled sweeping welfare reforms – backed by a record £1 billion to deliver tailored job support for sick and disabled people – opening doors to opportunity, giving people a chance at financial independence, and boosting living standards, as part of the government’s Plan for Change.

    With 2.8 million people out of work due to ill-health – one of the highest rates in the G7 – the government is also combating health-related inactivity at its root by investing £26 billion in the NHS and delivering 2 million extra appointments to reduce medical waiting lists, giving people and the economy a chance to get back on track.

    Additional Information:

    • The West London Alliance Partnership covers Ealing, Barnet, Harrow, Hillingdon, Brent, Hammersmith and Fulham, and Hounslow Local Authorities. Their Connect to Work service will be delivered under contract by Shaw Trust.
    • The West Midlands and Greater Manchester Combined Authorities received a year’s funding for employment support as part of their Integrated Settlements – giving Mayors the power to make funding decisions in their area.
    • Guidance issued on 26 November 2024 invited areas covering all of England and Wales to develop their plans to deliver Connect to Work over the next 5 years. Last autumn’s Spending Review confirmed £115 million for year 1 (25/26), subsequent funding for the programme will be confirmed through Spending Review 2025.
    • Biggest shake up to welfare system in a generation to get Britain working – GOV.UK
    • Integrated Settlements for Mayoral Combined Authorities – GOV.UK
  • PRESS RELEASE : Over £35 million in Cold Weather Payments support paid this winter [April 2025]

    PRESS RELEASE : Over £35 million in Cold Weather Payments support paid this winter [April 2025]

    The press release issued by the Department for Work and Pensions on 9 April 2025.

    • Over 1.4 million Cold Weather Payments were made this past winter.
    • This represents around £35 million in support, in addition to other benefits.
    • Over £9 million of this was issued to those in receipt of Pension Credit.

    Over 1.4 million Cold Weather Payments – worth around £35 million in total – were paid this past winter to people in England and Wales, according to statistics released today [09 April].

    Cold Weather Payments are issued to vulnerable households when the average temperature in their local area is recorded as, or forecast to be, 0°C or below over seven consecutive days.

    Those eligible received £25 for each seven-day period of very cold weather between 1 November 2024 and 31 March 2025.

    Of those who received a Cold Weather Payment, 385,000 were also in receipt of Pension Credit – equating to around £9 million.

    It comes as the government’s drive to support low-income pensioners has led to around 50,000 extra Pension Credit awards since the summer – an increase of 64% compared to the same period last year.

    Minister for Pensions Torsten Bell said:

    We supported millions of households this winter through Pension Credit and Cold Weather Payments, alongside extending the Household Support Fund and the Warm Home Discount.

    For pensioners, this will have come on top of the State Pension which is set to increase by up to £1,900 over this parliament for millions, thanks to our commitment to the Triple Lock.

    Pensioners who receive Pension Credit automatically qualify for Cold Weather Payments. This is alongside extra support available such as the Household Support Fund, which was extended from 1 April 2025 until 31 March 2026, providing support with the cost of essentials such as food, heating and bills.

    Working age people who receive qualifying benefits such as Universal Credit and Jobseeker’s Allowance can also receive a Cold Weather Payment if they meet further criteria relating to employment, health conditions and caring responsibilities for young children or a disabled child.

    Additional Information

    • A breakdown of Cold Weather Payments issued can be found on GOV.UK: Cold Weather Payment estimates: 2024 to 2025 – GOV.UK
    • There have been an estimated 1,402,000 Cold Weather Payments in the year 2024/25.
    • There have been an estimated 220,000 more Cold Weather Payments in 2024/25 compared to the 2023/24 season, including an additional 21,000 to those receiving Pension Credit.
    • Eligibility criteria for Cold Weather Payments can be found on GOV.UK: Cold Weather Payment: Eligibility – GOV.UK