Tag: Department for Work and Pensions

The press release issued by the Department for Work and Pensions on 1 September 2024.

The Department for Work and Pensions (DWP) to launch Pension Credit Week of Action to boost take-up of vital benefit.

• Joining forces with charities, broadcasters and a range of partners, the campaign will encourage pensioners to check their eligibility and apply
• Up to 880,000 pensioners could be missing out on this cash boost worth on average up to £3,900 per year

Hundreds of thousands of pensioners are being urged to apply for a benefit that could be worth on average £3,900 per year as the Department for Work and Pensions (DWP) is launching a campaign to increase Pension Credit take-up on Monday 2 September.

With as many as 880,000 pensioners missing out, the Pension Credit Week of Action aims to spread awareness and increase claims for Pension Credit, which from this year will also automatically passport eligible pensioners to receive the Winter Fuel Payment.

Joining forces with charities, broadcasters, Local Authorities, and a range of partners, the campaign will tackle myths that may prevent people applying, for instance having a small private pension, savings or owning their own home.

Families, friends and neighbours are being encouraged to reach out to retired family members to encourage them to check their eligibility and apply. 21 December is the last possible date to make a successful backdated claim in order to receive the Winter Fuel Payment.

While around 1.4 million pensioners are already receiving Pension Credit, up to an estimated 880,000 households are eligible for the support but are not claiming it.

Chancellor, Rachel Reeves, said:

The £22 billion blackhole inherited from the previous governments means we are having to take tough decisions now to fix the foundations of our economy – including making the Winter Fuel Payments available to those most at need.

1.3 million pensioners are already going to get help with fuel bills this year because they’re claiming pension credit – but thousands more are eligible. So, if you know someone who could get pension credit and help with their fuel bills, now is the time to help them apply for pension credit.

Work and Pensions Secretary, Liz Kendall said:

Thousands of pensioners are missing out on Pension Credit worth on average £3,900 per year. That needs to change.

It’s easier than ever to check if you are eligible, including with our online calculator, and if your circumstances have changed since the last time you looked – I urge you to check again.

Friends, families and neighbours can also encourage their loved ones to apply, so that they are not missing out on this vital benefit.

Energy Secretary Ed Miliband said:

The legacy of failure on energy policy we have inherited means energy prices are set to rise in autumn. We must ensure that pensioners in the greatest need get access to help with rising bills.

We will do everything in our power to increase take up of Pension Credit to the 880,000 households who are yet to claim – opening the door to other vital support such as the Winter Fuel Payment.

The government will also continue our mission to deliver clean power by 2030, helping to finally give families the energy security they deserve and our country the energy independence we need.

Pensioners whose weekly income is below £218.15 for a single person or £332.95 for a couple should check to see if they are eligible for this support which is worth £3,900 a year on average, using DWP’s online calculator.

People with a severe disability, carers and those who are responsible for a child or young person who lives with them could get more. Pension Credit can also include extra amounts for certain housing costs, such as ground rent or service charges.

This work is part of a wider plan to ensure economic stability for pensioners by protecting the Triple Lock and supporting households with their energy bills through the £150 Warm Home Discount and the Warm Homes Plan – upgrading millions of homes this Parliament.

Over the next five years, more than 12 million pensioners could see their State Pension increase by over a thousand pounds as a result of the commitment to the Triple Lock.

Background

• Applications for Pension Credit can be made:
  • On the How to Claim page
  • Over the phone by calling 0800 99 1234 (Monday to Friday 8am to 6pm)
  • By printing out and filling in a paper application form
  • For more information visit the Pension Credit GOV.UK page.
• The Winter Fuel Payment is worth £300 for households with someone aged 80 or over. Households with someone aged 66-79 will receive £200.
• We will work with Local Authorities to bring together the administration of Pension Credit and Housing Benefit as soon as operationally possible.
• People who have reached State Pension age before September 23, 2024 and are in receipt of Pension Credit, Income Support, Income based JSA, Income related ESA, Universal Credit, Child Tax Credit or Working Tax Credit, will be entitled to a Winter Fuel Payment – subject to eligibility conditions.
• The regulations to means-test the Winter Fuel Payment will be laid on 22 August 2024. The qualifying week in 2024 for Winter Fuel Payments will be from 16 to 22 September.
• Pensioners need to be entitled to Pension Credit for at least one day in week September 16 to 22 to be eligible for a Winter Fuel Payment for this winter.
• 21 December is the last date for backdating a claim for Pension Credit to 22 September, assuming the claimant met the Pension Credit entitlement conditions throughout the previous three months.
• Anyone who is entitled to Pension Credit for at least one day of the Winter Fuel Payment qualifying week will have automatic entitlement to Winter Fuel Payment. There are some exceptions which are detailed on GOV.UK: https://www.gov.uk/winter-fuel-payment/eligibility
• People do not have to do anything extra to backdate their claim. If they make their application online, they will automatically be asked if they would like to backdate it. If they make their application over the phone the advisor will talk them through this.
• Around 1.3 million households in England and Wales will continue to receive Winter Fuel Payments due to some other pensioner households being eligible and expected extra Pension Credit take up due to this reform.

Pension Credit recipients by region (as of February 2024):

North East	73,883
North West	175,179
Yorkshire and The Humber	118,633
East Midlands	95,767
West Midlands	130,427
East of England	110,017
London	190,496
South East	147,763
South West	111,251
Wales	80,927
Scotland	125,136

Further Information

Supportive statements:

• Martin Lewis, founder of MoneySavingExpert, said:

It’s a national tragedy that nearly a million eligible low-income pensioners who’ve paid into the system for years are still missing out on the crucial Pension Credit financial lifeline – a better name for it would be the State Pension Top Up.

So whatever your age, take a second to understand how it works, so we can all ensure the message is spread to every nook and granny (and grandpas too).  Especially as the government has just severed Winter Fuel Benefits eligibility for millions, yet if you claim Pension Credit you’ll still get it.

While for most single pensioners, you need total weekly income, including from savings, under around £218 (pensioner couples under £333) to be very likely to qualify, my rule of thumb is spend a few minutes to check even with weekly income up to £235 (pensioner couples £350) as there’s still a chance some may be eligible.

Pension Credit can pay out £1,000s a year, but even if it’s only going to pay you thruppence, still claim it! As once you get it, it’s a gateway benefit that opens the door to other entitlements – including council tax reductions, free TV licences (if age over 75) dental and optical support and more.

• Sir Steve Webb, Partner at pension consultants LCP and former Pensions Minister, said:

I would encourage anyone on a tight budget to consider an application for Pension Credit.

It can be claimed over the phone and could be the gateway to a range of valuable additional benefits, including reductions in energy bills, extra support when the temperature drops, free TV licences for those aged 75+ and continued receipt of the Winter Fuel Payment.

Even if you are not sure if you will be entitled, it is worth putting in a claim, especially for those who are disabled or carers and might be entitled to additional amounts.

• Juliet Tizzard, Director of External Relations at Parkinson’s UK said:

Parkinson’s UK is pleased to support the DWP in raising awareness of Pension Credit,  which is a vital resource for older people on low incomes living with conditions like Parkinson’s.

We know that very few people with Parkinson’s and their carers who are entitled to Pension credit, actually claim it. Our recent survey found that only 6% of eligible respondents received Pension Credit, leaving many without access to additional entitlements that could ease the financial strain of living with Parkinson’s.

With the Winter Fuel Payment soon only being granted to those receiving Pension Credit, it’s more important than ever for everyone of pension age and above to check whether they are eligible to claim it.

This Week of Action is crucial to raise awareness of Pension Credit and we urge everyone of pension age to check their eligibility to ensure they can access the support they are entitled to.

• Sarah Pennells, Consumer Finance Specialist at mutual pensions provider, Royal London, said:

Pension Credit is a valuable benefit for anyone over State Pension age who is on a low income. But with an estimated 880,000 people missing out, it’s important that anyone who thinks they may qualify for it, or anyone who thinks a family member may qualify, puts in a claim.

Pension Credit not only provides additional tax-free income, but, because it’s a ‘gateway’ benefit, means that people who are eligible may also qualify for help with housing costs such as rent and council tax, as well as energy bills through the Winter Fuel Payment and Cold Weather Payment.

Our research shows that one in five people over State Pension age are living on the State Pension alone, with many thousands not entitled to the full amount for a variety of reasons. Pension Credit could make a big difference to their standard of living in retirement.

If you have a family member or friend over State Pension age, they could be missing out on tax-free payments worth thousands of pounds a year.

• Nigel Peaple, Director of Policy and Advocacy at the Pensions and Lifetime Savings Association (PLSA), said:

Pension Credit can provide vital support to low-income pensioner households, but many people don’t claim it.

If you think you, or someone you know, might be eligible, call the Pension Credit claim line, write to the Pension Service or put in an application on the Government website. Help spread the word; it could make a world of difference to someone.

• A British Gas spokesperson said:

Pension Credit Week of Action is the perfect opportunity to remind our customers of the vital support available to them. We are committed to ensuring pensioners are informed about their eligibility for Pension Credit and the additional help it provides. Our ‘You Pay: We Pay’ initiative further supports this by doubling contributions to help manage energy costs. By reaching out directly to customers who may be struggling, offering access to grants through the British Gas Energy Trust, and offering face-to-face advice through our Post Office partnership, we aim to make it easier for pensioners in need to access essential support.

• Jackie Spencer, Head of Money and Pensions Policy at the Money and Pensions Service, said:

One in three people who are entitled to Pension Credit don’t claim and, if you’re one of them, you could be missing out on extra income per year.

It’s important to find out if you’re eligible for Pension Credit as it can not only help with your day-to-day living costs, but it can also entitle you to other grants, benefits and discounts. For example, households claiming Pension Credit can get a Winter Fuel Payment and Housing Benefit.

• Jonathan Bland, Head Geek at Pension Geeks and founder of the Pension Awareness Campaign, said:

With the Pension Season upon us, there is never a more fitting time to check whether or not you could be eligible for Pension Credit.

You might be surprised – if you own a home, or have savings – you could still be entitled to the payment. It can also open the door to additional help with housing costs and heating bills, etc. Hundreds of thousands of people of people are missing out, so I’d urge everyone to take a few moments to check.

• Dr Suzy Morrissey FCA, Deputy Director, Pensions Policy Institute, said:

The PPI is excited to see that start of the Pension Credit Week of Action. This is a great initiative to help people become better informed about pension credit and their retirement income.  It is important that people receive all their entitlements and this Week of Action will help raise awareness.

• Rachel Fletcher, Director of Economics and Regulation at Octopus Energy, said:

We know many people are worried about the impact of rising fossil fuel prices this winter. Support is available, but often goes unnoticed – for example, 1 in 4 eligible pensioners currently don’t claim Pension Credit.

Companies can help to make sure every pensioner gets the assistance they need. We are not only offering our own Winter Fuel Payments to pensioners this winter, but also training staff to spot when customers are missing out and help them get the benefits they deserve.

• Pete Glancy, Head of Pensions Policy, Scottish Widows, said:

Scottish Widows’ latest Retirement Report told us that the State Pension plays a vital role in meeting day-to-day costs for 75% of current retirees – and that future retirees are worried how they would get by if it wasn’t there.  That underlines how important it is that people understand what they are entitled too – and that pension credit gives you extra money to help with your living costs if you’re over State Pension age and on a low income. It’s separate from the State Pension and you can get it even if you have other income, savings or own your own home.

We welcome the Government’s efforts to draw attention to this important benefit.

The press release issued by the Department for Work and Pensions on 20 August 2024.

Pensioners urged to check if they could be eligible for Pension Credit to secure the Winter Fuel Payment, worth up to £300 per household.

• Claiming Pension Credit can also passport pensioners to additional help with housing costs, council tax, and heating bills
• Comes as Deputy Prime Minister and Work and Pensions Secretary write to Local Authorities to boost uptake of pension credit in their local areas

The Department for Work and Pensions is today urging pensioners to check their eligibility for Pension Credit in order to secure this year’s Winter Fuel Payment.

It comes as the government has had to make some difficult decisions to fix the foundations of the economy due to the dire state of the public finances, with the Winter Fuel Payment – worth up to £300 – set to be means-tested and delivered to those on Pension Credit to ensure it is targeted towards those in most need.

Around 1.3 million households in England and Wales will continue to receive Winter Fuel Payments, but the government is determined to boost take-up of Pension Credit to ensure low-income pensioners continue to get this help.

The Deputy Prime Minister and Work and Pensions Secretary are writing to Local Authorities and will join forces with them, older peoples’ charities, and other groups this September for its annual Pension Credit Week of Action.

The government’s Pension Credit awareness drive will help identify households not claiming the benefit, and encourage pensioners to apply by 21 December, the last date for making a backdated claim for Pension Credit, in order to receive the Winter Fuel Payment.

While around 1.4 million pensioners are already receiving Pension Credit there are up to an estimated 880,000 households eligible for the support who are yet to claim.

Work and Pensions Secretary, Liz Kendall said:

The £22 billion black hole in the public finances we have inherited has required us to take difficult decisions, but I am determined to ensure low-income pensioners are supported.

That’s why I urge any pensioner, or their loved ones, to check if they could get Pension Credit.

This government remains completely committed to pensioners which is why we’re protecting the income of over 12 million pensioners through the Triple Lock.

Chancellor of the Exchequer, Rachel Reeves said:

The dire state of the public finances we inherited from the previous government means we’ve had to make some very difficult decisions.

Our commitment to supporting pensioners remains, which is why we are maintaining the triple lock.

We want pensioners to get the support they are entitled to. That’s why I urge all pensioners to check whether they are eligible for Pension Credit.

Energy Secretary Ed Miliband said:

Everyone has paid the price for over a decade of energy insecurity, which is why we are getting on with delivering clean power by 2030, alongside our ambitious Warm Homes Plan.

It is imperative that those eligible get the support they need this winter, which is why the government will do everything it can to roll out Pension Credit, making sure as many people as possible qualify for the up to £300 Winter Fuel Payment.

During the Week of Action, set to commence in September, the DWP and its partners will be tackling some of the myths that may stop people applying, such as how having savings, a pension or owning a home are not necessarily barriers to receiving Pension Credit.

This work builds on last year’s Invitation to claim pilots, where letters and leaflets were targeted at households already in receipt of Housing Benefit, but not claiming Pension Credit in ten local authorities.

This work comes alongside wider plans to ensure economic stability for pensioners by protecting the Triple Lock, improving energy security and keeping energy bills low through the Warm Homes Plan and cutting NHS waiting lists.

Over the next five years over 12 million pensioners will see their State Pension increase by thousands of pounds as a result of the commitment to the Triple Lock.

And the Warm Homes Plan which will support investment in insulation and low carbon heating – upgrading millions of homes over this Parliament. This government’s long-term plan will protect billpayers permanently and reduce fuel poverty.

Pensioners whose weekly income is below £218.15 for a single person or £332.95 for a couple should check to see if they could be eligible. It is worth on average £3,900 a year and can also open doors to further financial help, such as housing costs, council tax, and heating bills, and the Winter Fuel Payment worth up to £300.

And, pensioners who own their own home or have savings or a private pension income could still be eligible – with DWP’s online calculator able to work out how much an individual could get.

The press release issued by the Department for Work and Pensions on 15 August 2024.

Urgent work on tackling one of Britain’s biggest social injustices begun yesterday [Wednesday 14 August] as the government’s Child Poverty Taskforce met for the first time.

• Cabinet ministers across government joined Work & Pensions and Education Secretaries in first Child Poverty Taskforce meeting
• taskforce will put the direct testimony of children, families and organisations at the heart of their work
• Child Poverty Strategy will be published in spring next year

Cabinet ministers including the Deputy Prime Minister, Chief Secretary to the Treasury as well as ministers for the devolved nations have joined the taskforce’s co-chairs, the Work & Pensions and Education Secretaries, to confront the wide-ranging and deep-rooted causes of child poverty.

With a broken housing market, millions waiting for medical treatment and families continuing to struggle with the cost of living, ministers set out the huge scale of the challenge in their inaugural meeting, examining why there are 700,000 more children living in poverty compared to 2010.

The Ministerial taskforce will harness all available levers to drive forward short-term and long-term actions across government to reduce child poverty, by:

• supporting households to increase their income including considering social security reforms that support people into work and alleviate poverty
• helping to bring down essential household costs, build savings and tackle problem debt
• alleviating the negative experience of living in poverty, including through supporting families and the role of public services

The taskforce will also hear directly from struggling families and children, front-line staff and leading campaigners, charities and organisations across the UK to shape the strategy.

It comes as the latest data shows that over four million children are now growing up in a low-income family. This not only harms children’s lives now, but it also limits their future prospects and it holds back our economic potential as a country.

Tackling child poverty across the United Kingdom is at the heart of the government’s mission to break down barriers to opportunity and improve the life chances of every child. That’s why we’re committed to delivering an ambitious strategy to reduce child poverty, tackle the root causes, and give every child the best start at life.

Work & Pensions Secretary Liz Kendall MP said:

Child poverty is a scar on our society. It harms children’s life chances and our country as a whole. That is why tackling child poverty is a top priority for this government.

We will take action in every department, with a comprehensive strategy to drive down poverty and drive up opportunity, building a better future for us all.

Education Secretary Bridget Phillipson MP said:

Child poverty is a scar on our country, which holds back children’s lives and life chances at home, in school and across our communities.

The scale of the challenge cannot be overstated. That is why this taskforce, working across government, is essential to ensure all departments are supporting this ambition and delivering on our mission of breaking down the barriers to opportunity for every child.

We will work with stakeholders, families and crucially children themselves so that our approach is guided by those impacted most.

As part of their work to develop the strategy, ministers on the Taskforce will also visit cities and towns across the UK, working closely with local and devolved government leaders to hear how child poverty devastates local communities and what can be done to combat it.

Co-chairs Liz Kendall and Bridget Phillipson will meet with the key charities and organisations to kick off regular engagement sessions in the coming weeks.

The taskforce will be supported by a new Child Poverty Unit in the Cabinet Office, drawing together experts from within and outside government, to help co-ordinate the development of the strategy.

The vital work of the taskforce comes alongside our commitments to roll out free breakfast clubs at all primary schools, create 3,000 additional nurseries, as well as deliver our plan to make work pay to turn the minimum wage into a real living wage.

Further Information

• Read the (Child Poverty Taskforce’s terms of reference)https://www.gov.uk/government/groups/child-poverty-taskforce
• Departments represented in the Child Poverty Taskforce include:
• Department for Work and Pensions
• Department for Education
• Department for Housing, Communities and Local Government
• HM Treasury
• Department for Culture, Media and Sport
• Department for Business and Trade
• Department for Energy and Net Zero
• Department for Environment, Food and Rural Affairs
• Department for Health and Social Care
• Wales Office
• Northern Ireland Office
• Scotland Office

The press release issued by the Department for Work and Pensions on 31 July 2024.

Child maintenance consultation extended to allow more time for engagement from external organisations.

The Government has today extended a consultation on the Child Maintenance Service to ensure there is suitable time for feedback from external organisations.

The consultation, launched 8 May 2024, is a chance to discuss ways the CMS can help to increase the number of children being kept out of poverty.

DWP Lords Minister, Baroness Maeve Sherlock said:

This government is committed to tackling child poverty and ensuring children get the support they need to have the best start in life. Child maintenance is important to this goal.

The extension of the consultation into the Child Maintenance Service that we’ve announced today will ensure that we provide the best possible opportunity to hear the concerns and thoughts of expert groups and individuals.

DWP’s proposals, launched under the previous government, include:

• Stopping the Direct Pay service and deal with all cases via Collect and Pay with CMS collecting and transferring all payments. This would allow the CMS to tackle non-compliance faster and, when necessary, take enforcement action more quickly.
• Exploring the best way to support family-based arrangements with an enhanced calculation tool, along with signposting to conflict resolution support.
• Asking how the CMS can better support victims of domestic or economic abuse, building on recommendations from Dr Samantha Callan’s 2023 Independent Review of the Child Maintenance Service.

The extension will now close on 30 September 2024.

It comes as the government launched the Child Poverty Taskforce, chaired by the Work and Pensions and Education Secretaries, part of the ambitious strategy to reduce child poverty and give children the best start in life.

Additional Information:

• In the 12 months to March 2024, the CMS arranged over £1.4 billion in child maintenance payments and was managing 722,000 arrangements for 658,000 paying parents and 986,000 children.
• The consultation will run until 30 September 2024.
• Child maintenance payments from both CMS and family-based arrangements help to keep 160,000 children out of poverty each year.
• 100,000 through non-statutory arrangements and 60,000 through the Child Maintenance Service.
• More information for parents on how to make arrangements for maintenance payments can be found on the Get Help Arranging Child Maintenance tool:  https://child-maintenance.service.gov.uk/get-help-arranging-child-maintenance

Where family-based arrangements are not appropriate, the CMS provides parents with two options for organising payments:

• Direct Pay: Once the CMS has calculated maintenance payments, both parents agree how the money will be paid and when.
• Collect and Pay: CMS collects the money from the paying parent and sends it directly to the receiving parent.

The press release issued by the Department for Work and Pensions on 23 July 2024.

Liz Kendall will today set out how Britain’s system of employment support must be fundamentally reformed to tackle the “most urgent challenge” of spiralling economic inactivity.

• Work and Pensions Secretary Liz Kendall will use landmark first speech to set out the Government’s plans to reverse dire labour market inheritance and drive up Britain’s employment
• Major new reforms will be at heart of Government’s ambition to reach an 80% employment rate, with a white paper on getting Britain working again
• Kendall set to empower local leaders to tackle economic inactivity, alongside a new Labour Market Advisory Board to help drive change and get Britain working again.

At the launch of the “Pathways to Work” report in Barnsley Ms Kendall will lay the path for a new Government white paper to get Britain working. This is central to delivering the Government’s first mission – to kickstart economic growth; making everyone, not just a few, better off.

She will set out the dire inheritance from the last 14 years including:

• Britain remaining the only country in the G7 whose employment rate has still not returned to pre-pandemic levels.
• 2.8 million people out of work due to ill health or disability
• 1 in 8 young people not in education, employment or work
• Spending on sickness and disability benefits is set to increase by £30bn over the next five years according to the OBR
• Too many people trapped in low paid, poor quality work, with little prospect of improving their lot in life. Of those in low in pay in 2006, only one-in-six escaped it a decade later.

Ms Kendall will argue:

The fundamental problem we face is that the current system of employment support is designed to address the problems of yesterday – not today, tomorrow and beyond.

She will say over the last 14 years the DWP has focused almost entirely on the benefits system, and specifically on implementing Universal Credit, and that “nowhere near enough attention has been paid to the wider issues – like health, skills, childcare and transport – that determine whether people get work, stay in work and get on in work.

She will call time on the approach of the previous government and instead seek “employment opportunity unleashed for all” as part of the government’s long-term ambition to reach 80 per cent employment, with better quality of work, and higher earnings.

The Secretary of State will set out bold plans to tackle economic activity by enabling local leaders to tailor schemes to get people back into work – and to prioritise good, rewarding, well paid work. She will say:

I can confirm today that we will empower local leaders and local areas to tackle economic inactivity and open up economic opportunity.

We will give local places the responsibility and resources to design a joined-up work, health and skills offer that’s right for local people.

DWP will support local areas to make a success of this new approach.

And we will devolve new powers over employment support to catalyse action and change.

Setting out her vision for reform, the Work and Pensions Secretary is also expected to say:

Over the last 14 years millions of people have been denied their rightful chance of participating in the labour market, and the hope of a brighter future. They’ve been excluded, left out, categorised and labelled. Britain isn’t working.

We need fundamental reform so the department for welfare becomes a genuine department for work.

We’ll pursue an ambitious plan alongside the government’s goals to raise productivity and living standards and to improve the quality of work. To get Britain growing again, get Britain building again and get Britain working again.

As part of her drive to tackle economic inactivity, the Secretary of State will also announce a new group of external experts who will provide labour market insight and advice to drive change throughout the system.

The Labour Market Advisory Board, which will be chaired by Paul Gregg – Former Director of the Centre for Analysis of Social Policy at the University of Bath – is expected to meet quarterly and will provide advice to the Work and Pensions Secretary and offer insight, expertise, and challenge to the department’s plans.

The speech follows the announcement by the Work and Pensions Secretary, that the Government will, as part of the Growth Mission, publish a White Paper which will build on manifesto commitments of a three-pillared approach to support people into work:

• A new national jobs and career service to help get more people into work, and on in their work.
• New work, health and skills plans for the economically inactive, led by Mayors and local areas.
• A youth guarantee for all young people aged 18 to 21.

It forms part of a cross-government approach to help people into work, including the launch of Skills England, and cutting NHS waiting lists to build the healthy society needed for a healthy economy.

The press release issued by the Department for Work and Pensions on 18 July 2024.

The ‘truly dire’ state of the labour market has been revealed today with the number of people classed as economically inactive has spiralled to 9.4 million, as the Work and Pensions Secretary reaffirms her Plan to Get Britain Working again.

• New labour market data shows economic inactivity at near record high with the UK the only G7 country whose employment rate is not back to pre-pandemic levels.
• Work and Pensions Secretary Liz Kendall says people have been ignored and denied the support they need to get into work and get on at work.
• Plan to Get Britain Working again and deliver growth includes overhauling jobcentres, delivering a youth guarantee, and new work, health, and skills plans.

Data published by the Office for National Statistics (ONS) this morning also shows the percentage of people employed has fallen to 74.4%, while a near record 2.8 million people are now out of work due to long-term sickness.

Today’s figures come a week after the Secretary of State set out how the Government’s plan to get Britain working will tackle economic inactivity and drive growth in every corner of the country.

Alongside action to make work pay, overhaul skills and address the root causes of worklessness, including poor physical and mental health, the plan will deliver:

A new national jobs and career service to help get more people into work, and on in their work.

New work, health and skills plans for the economically inactive, led by Mayors and local areas.

A youth guarantee for all young people aged 18 to 21.

Work and Pensions Secretary, Liz Kendall MP said:

Spiralling economic inactivity, rising unemployment and the UK standing alone as the only G7 country where the employment rate is still not back to pre-pandemic levels. This is a truly dire inheritance which the Government is determined to tackle.

Behind these statistics are real people, who have for too long been ignored and denied the support they need to get into work and get on at work.

It’s time for change – in every corner of the country. That is why we are taking immediate actions to deliver on our growth mission, and spread jobs, prosperity, and opportunity to everyone, wherever they live.

Our Plan to Get Britain Working again will overhaul jobcentres, deliver a youth guarantee, and give local areas the power they need to tackle economic inactivity and break down barriers to a brighter future.

In the first few days in office the Chancellor, Rachel Reeves, unveiled the Government’s first steps to securing economic growth as the only route to improving the prosperity of the country and the living standards of working people.

Chancellor of the Exchequer, Rachel Reeves MP added:

Economic growth is our national mission and getting people back into work is central to that. It is the best way to improve living standards for everyone which is why I have already taken action to fix the foundations of our economy so we can rebuild Britain and make every part of our country better off.

The plan to deliver growth, get people into work, and improve the labour market will be a truly cross-government effort, with the Health Secretary setting out how cutting NHS waiting times will get Britain back to health and back to work.

The press release issued by the Department for Work and Pensions on 11 July 2024.

On a visit to Leeds Work and Pensions Secretary Liz Kendall will today (Thursday 11 July) confirm the Government’s commitments to its manifesto Back to Work Plan, and say tackling economic inactivity is central to the Government’s number one mission of growing the economy.

• New Work and Pensions Secretary today sets out how the Government’s Back to Work Plan is critical to growing the economy
• On a visit to Leeds with Ministerial team, Liz Kendall identifies tackling economic inactivity as top priority, saying Mayors and local areas will be in the driving seat of change
• Visit follows Chancellor’s speech earlier this week setting out immediate action to fix the foundations of the economy, rebuild Britain and make every part of the country better off

The visit comes days after the Chancellor, Rachel Reeves MP, unveiled the Government’s first steps to securing sustained economic growth as the only route to improving the prosperity of the country and the living standards of working people.

Ms Kendall said rising levels of economic inactivity are unacceptable and that immediate action must be taken. 9.4 million people are now economically inactive, a record 2.8 million people are out of work due to long-term sickness, and 900,000 young people (1 in 8) are not in education, employment, and training.

On her first visit as Secretary of State, with the rest of the Ministerial team, Liz Kendall MP will confirm the three pillars of the Government’s Back to Work Plan:

• A new national jobs and career service to help get more people into work, and on in their work.
• New work, health and skills plans for the economically inactive, led by Mayors and local areas.
• A youth guarantee for all young people aged 18 to 21.

Work and Pensions Secretary, Liz Kendall MP, said:

Growth is our number one mission and, as the Chancellor said, our Back to Work Plan is central to achieving our plans.

Economic inactivity is holding Britain back – it’s bad for people, it’s bad for businesses, and it’s bad for growth.

It’s not good enough that the UK is the only G7 country with employment not back to pre-pandemic levels.

It is time for change in every corner of the country.

We’ll create more good jobs, make work pay, transform skills, and overhaul jobcentres, alongside action to tackle the root causes of worklessness including poor physical and mental health.

Change delivered by local areas for local people, driving growth and delivering opportunity and prosperity to everyone, wherever they live.

Earlier this week the Health Secretary set out how cutting NHS waiting lists will get Britain back to health and back to work, and how by taking bold action on public health we can build the healthy society needed for a healthy economy.

Under the DWP’s plan, Jobcentre Plus and the National Careers Service will be merged to get more people into work and to support those seeking better opportunities with the means to find better paid work.

The Youth Guarantee will mean more opportunities for training, an apprenticeship or help to find work for all young people aged 18-21 years old, to prevent young people becoming excluded from the world of work at a young age.

More disabled people and those with health conditions will be supported to enter and stay in work, by devolving more power to local areas so they can shape a joined-up work, health, and skills offer that suits the needs of the people they serve.

On their visit to Leeds today the DWP’s new ministerial team will visit a jobcentre to see first-hand how they’re supporting people with health conditions, and those aged 18 to 24 and over 50.

They will then be joined by Tracy Brabin, West Yorkshire Mayor. They will visit Smart Works – a charity who work to build the confidence of clients and help prepare for interviews by providing free clothing ahead of interviews.

The press release issued by the Department for Work and Pensions on 13 May 2024.

New rules meaning over 180,000 Universal Credit claimants will have to look for more work have come into force today (Monday 13 May), as the Government helps people progress in work and off welfare.

• Universal Credit claimants working less than half of a full-time week will have to look to increase their hours, benefitting from extra work coach support.
• 400,000 to receive more help to progress in work, as Mel Stride says “I want to help thousands of people on their journey off benefits”.
• Changes come as the PM announces once a generation welfare reforms to help people find work, boost their earnings, and grow the economy.

Before 2022, someone could work only nine hours a week and remain on benefits without being expected to look for more work.

The latest rise in the Administrative Earnings Threshold (AET) means someone working less than 18 hours – half of a full-time week – will have to look for more work.

These Universal Credit claimants will move into the ‘Intensive Work Search group’, meeting with their work coaches more regularly to plan their job progression, boost their earnings and advance the journey off welfare altogether.

Combined with previous increases, 400,000 claimants are now subject to more intensive Jobcentre support – and with that the expectation that those who can work must engage with the support available or face losing their benefits.

The move comes as last month the Prime Minister announced a once in a generation package of welfare reforms to help thousands more people benefit from employment, building on the Government’s £2.5 billion Back to Work Plan providing extra help to over a million people to break down barriers to work.

Prime Minister Rishi Sunak said:

Welfare should always be a safety net, and not a lifestyle choice which is why we’re ushering in a new era of welfare reforms to help more people progress off benefits and into work.

Today’s changes will help more people on Universal Credit move into well paid jobs and progress towards financial independence – which is better for them and for the economy.

Secretary of State for Work and Pensions, Mel Stride MP said:

We will always back those who want to work hard, and today we are radically expanding the support available to help people progress in work.

With the next generation of welfare reforms, I want to help thousands of people on their journey off benefits and towards financial independence.

Our plan is making work pay, with people in full-time work now £7,000 better off than on out of work benefits, and our tax cuts putting £900 back in the pockets of millions of workers across Britain.

The AET determines how much support an individual will receive to find work based on how much they currently earn and how many hours they work.

Together with the accelerated rollout of Universal Credit, even more claimants will benefit from the dedicated employment support offered through our Jobcentres like CV support and skills training, so people can take up better paid, higher quality jobs.

This builds on the significant steps already taken to break down barriers to work, with almost four million more people in employment compared to 2010.

The Government is clear those who can work to support themselves, should work, and they should feel better off for doing so.

That’s why the Government is getting tough, putting work at the heart of welfare and enforcing a stricter sanctions regime.

The PM recently announced a package of welfare reform measures, including exploring legislation to close the claims of those who don’t comply with conditions set by their Work Coach after 12 months.

With over 900,000 job vacancies in the economy, the Government makes no apologies for helping people achieve financial security through work, as we grow the economy and help people build a better life for themselves.

Further information:

• We amended Regulation 99 (6) of the UC Regulations 2013 to raise the Administrative Earnings Threshold (AET) to £892 per calendar month for individual claimants and £1473 per calendar month for couples on 6th May 2024, with the change being in force from 13th May 2024.
• With this change, individuals earning below £892 a month or £1,437 for couples – so working less than half of a full-time week – will have to meet more frequently with their work coach to up their earnings. This is up from £617 for individuals and £988 for couples.
• Previously, the Administrative Earnings Threshold was increased in September 2022 to 12 hours per week at the National Living Wage, and again in January 2023 to 15 hours per week.
• Impacted claimants will receive a message in their Universal Credit journal and are encouraged to talk to their work coach to understand what it means for them and the help on offer.
• As with previous increases, claimant commitments will be tailored to personal circumstances and will take into account caring responsibilities as well as any health conditions.

The press release issued by the Department of Work and Pensions on 8 May 2024.

A clampdown on parents who refuse to take financial responsibility for their children has been set out by the government today.

• Changes will make system fairer by speeding up enforcement action and getting money to children
• New action to detect non-paying parents proposed as part of shakeup of Child Maintenance Service.
• Work and Pension Secretary Mel Stride: We are clamping down on those who try to shirk their financial responsibilities

In a shakeup of the Child Maintenance Service (CMS), the Department for Work and Pensions aims to improve the system so more children get the financial support they are due.

This includes ending the option of direct payments between parents through the CMS, meaning if parents do not pay it will be detected and enforcement action can be taken sooner.

It also asks what further support the CMS can provide to help separated parents make family-based arrangements, which are agreed by parents, without state intervention, and how the CMS can better support victims and survivors of domestic abuse.

The proposals come on the back of new laws which will fast track enforcement powers on wilfully non-paying parents including seizing cash and assets, forcing the sale of property and in the most serious cases, imprisonment – ensuring every child of separated parents is financially supported.

Work and Pensions Secretary Mel Stride said:

Most parents strive to give their children the best start in life, but sadly this isn’t always the case.

This is why we are clamping down on those who try to shirk their financial responsibilities. This and tough new laws will help ensure every child gets the financial support they deserve.

DWP Minister Viscount Younger of Leckie said:

The majority of parents want to do the right thing and support their children.

However, in the case of the minority of parents who fail to meet their responsibilities, avoiding paying what they owe, these plans along with new enforcement powers will enable us to act faster.

DWP’s proposals include:

• Stop the Direct Pay service and deal with all cases via Collect and Pay with CMS collecting and transferring all payments. This would allow the CMS to tackle non-compliance faster and, when necessary, take enforcement action more quickly.
• Exploring the best way to support family-based arrangements with an enhanced calculation tool, along with signposting to conflict resolution support.
• Asking how the CMS can better support victims of domestic or economic abuse, building on recommendations from Dr Samantha Callan’s 2023 Independent Review of the Child Maintenance Service.

This follows recent reforms to the liability order process, which will give the CMS more powers to recover money faster to crack down on parents who repeatedly fail to take financial responsibility for their children.

The Government has also removed the £20 application fee to use the CMS, making all applications to the CMS free, to ensure no child misses out on vital support.

Further information

• Our service is arranging more money than ever to support children of separated parents. In the 12 months to December 2023, the CMS arranged over £1.3 billion in child maintenance payments and in the quarter ending December 2023, managed 700,000 arrangements for 960,000 children.
• The consultation period begins on 08 May and runs until 31 July.  [LINK]
• Child maintenance payments from both CMS and family-based arrangements help to keep 160,000 children out of poverty each year
• 100,000 through non-statutory arrangements and 60,000 through the Child Maintenance Service.
• A minority of the maintenance arranged through the Child Maintenance Service is not paid.

The press release issued by the Department for Work and Pensions on 7 May 2024.

‘WorkWell’ pilots to provide tailored support for people in their local area so people can stay and progress in work.

• 15 areas including Greater Manchester, South Yorkshire, and Cornwall to become part of new £64 million pilot to deliver joined-up work and health support
• Builds on welfare reform package to tackle inactivity as fit note process to be integrated with WorkWell

A new work and health support service will be rolled out across 15 areas of England as part of the Government’s plan to help people with health conditions back to work, the Work and Pensions Secretary has confirmed today (Tuesday 7 May).

The WorkWell pilots – launched by the Department for Work and Pensions (DWP) and the Department for Health and Social Care (DHSC) – will connect 59,000 people from October to local support services including physiotherapy and counselling so they can get the tailored help they need to stay in or return to work.

It comes after the Prime Minister announced a sweeping package of welfare reforms to modernise the benefit system and help thousands more people into work, including a review of fit notes to consider how to relieve pressure on GPs and deliver personalised work and health plans that prevent people from falling out of work and onto long-term sickness benefits.

The WorkWell service provides a single, joined-up assessment and gateway into both employment support and health services locally to help people manage their conditions and to identify workplace adjustments or support that would enable them to stay in work or return sooner.

Participants do not need to be claiming any Government benefits and will receive personalised support from a Work and Health Coach to understand their current health and social barriers to work and draw up a plan to help them overcome them. Evidence shows that work is an effective way to improve wellbeing – reducing the risk of depression, improving physical health, and building self-confidence and financial independence.

Work and Pensions Secretary, Mel Stride MP, said:

We are rolling out the next generation of welfare reforms so that thousands more people can gain all the benefits work brings.

Too many today are falling out of work in a spiral of sickness that harms their finances, their prospects and ultimately their health, where with the right workplace adjustments and help, this needn’t be the case.

And so we have designed WorkWell, a groundbreaking new service, that will for the first time integrate health and work advice at the local level, as part of our plan to stem the flow into economic inactivity, grow the economy, and change lives for the better.

Health and Social Care Secretary, Victoria Atkins MP, said:

Too often, people with disabilities or poor health fall out of work with no support.

We have a plan to change that and improve lives so everyone has the opportunity to find fulfilling work. This service will help tens of thousands of people, who will receive joined-up work and health support, tailored to their individual needs.

This service, alongside a faster, simpler and fairer health service, will build a healthier workforce, and a stronger economy.

WorkWell is for anyone with a health condition or disability, including mental health conditions, who wants to work. It is a voluntary service, so people will be able to self-refer, or may be referred to WorkWell through their GP, employer or the community sector.

These professionals will also provide advice on workplace adjustments, such as flexible working or adaptive technology, facilitate conversations with employers on health needs, and provide access to local services such as physiotherapy, employment advice and counselling.

Matthew Taylor, chief executive of the NHS Confederation, said:

It is fantastic that 15 ICSs can now start to get their WorkWell plans off the ground to provide more intensive, early-intervention support to their populations.

ICS leaders know that with the right support, people living with poor health and long-term conditions can find that good quality work helps prevent them from becoming more unwell. This helps people to live a fuller life, which in turn reduces pressure on health services.

It comes as latest figures show there are currently 2.8 million people who are ‘economically inactive’ due to long-term sickness, a near-record high. The fit note process is often the first step to someone falling out of work and into inactivity and data recently published by the NHS shows almost 11 million fit notes were issued last year, with an overwhelming 94% of those signed “not fit for work”.

A large proportion of these are repeat fit notes which are issued without any advice, resulting in a missed opportunity to help people get the appropriate support they may need to remain in work.

To address this, the Prime Minister announced a review of the fit note system to stop people being written off as “not fit for work” by default and instead design a new system where each fit note conversation focuses on what people can do with the right support in place, rather than what they can’t do.

As part of the call for evidence, we are also testing reforms of the fit note process to integrate it more closely with WorkWell, enabling the people who need it to have a work and health conversation, with a single, joined-up assessment and gateway into local employment support services.

Some WorkWell pilots are in areas of the country with some of the highest number of fit notes issued, like Greater Manchester and the Black Country where a combined total of over one million fit notes were issued last year.

We are also rolling out “fit note trailblazers” in some of the WorkWell pilot areas to ensure people who request a fit note have a work and health conversation and are signposted to local employment support services so they can remain in work. The trailblazers will trial better ways of triaging, signposting, and supporting people looking to receive a fit note and will be used to test a transformed process to help prevent people with long term health conditions falling out of work, including referral to support through their local WorkWell service.

This builds on the record £16 billion worth of mental health support we offered last year, as well an extra 384,000 people accessing NHS Talking Therapies as part of the Government’s £2.5 billion Back to Work Plan. We are delivering the largest expansion in mental health services in a generation with almost £5 billion of extra funding over the past 5 years, and a near doubling of mental health training places to help cut waiting lists.

Covering a third of Integrated Care Boards across England, the success of the pilot will inform the possible future rollout of a national WorkWell service dedicated to stemming the flow of people falling out of work due to ill health where the right adjustments and support could prevent this.

This is a key part of the Government’s £2.5 billion Back to Work Plan, to help up to 1.1 million people with long-term health conditions, disabilities and long-term unemployment to look for and stay in work. In addition to reforming the fit note process and expanding NHS Talking Therapies, the Back to Work Plan includes the launch of Universal Support to match 100,000 people to job vacancies, and expanding the Restart scheme to give people the skills they need to progress.

The Government’s wide-ranging welfare reforms also include changes to the Work Capability Assessment which are expected to reduce the number of people put onto the highest tier of incapacity benefits by 424,000 by 2028/29 – people who will now receive personalised support to prepare for work, while our Chance to Work Guarantee will mean people can try work without fear of losing their benefits.

There is a near record level of people on company payrolls, up by over 200,000 since last year, wages have risen for nine months in a row, and economic inactivity is still lower than in the US, France and Italy.

The rollout of Universal Credit will also be accelerated to move all those left on outdated legacy systems onto a simpler, more dynamic benefit system which eliminates a binary choice between work and welfare. And we will change the rules so that over 180,000 Universal Credit claimants will be given more frequent access to the expertise and guidance of work coaches, as a result of laying regulations to increase the Administrative Earnings Threshold.

Further Information

WorkWell pilots will take place within the following areas:

1. Birmingham and Solihull
2. Black Country
3. Bristol, North Somerset and South Gloucestershire
4. Cambridgeshire and Peterborough
5. Cornwall and the Isles of Scilly
6.  Coventry and Warwickshire
7. Frimley
8. Herefordshire and Worcestershire
9. Greater Manchester
10. Lancashire and South Cumbria
11. Leicester, Leicestershire and Rutland
12. North Central London
13. North West London
14. South Yorkshire
15. Surrey Heartlands

Each of the 15 WorkWell pilots will decide the exact support to be made available that’s best suited to the needs of their local area.

The total number of Fit Notes issued in each area last year:

Integrated Care Board	Total FN issued
(Jan – Dec 2023)
Birmingham and Solihull	334,072
Black Country	310,812
Bristol, North Somerset and South Gloucestershire	191,192
Cambridgeshire and Peterborough	137,566
Cornwall and the Isles of Scilly	95,934
Coventry and Warwickshire	243,508
Frimley	112,259
Herefordshire and Worcestershire	150,606
Greater Manchester	744,442
Lancashire and South Cumbria	455,436
Leicester, Leicestershire and Rutland	192,650
North Central London	262,733
North West London	348,112
South Yorkshire	322,958
Surrey Heartlands	130,341

An example WorkWell user journey:

• The user is employed but their chronic back pain and depression means that they have been signed off work and are considering stopping altogether, leaving them financially vulnerable.
• They are referred to WorkWell by their GP, employer, or local service.
• They meet with a Work and Health Coach for a work and health assessment to understand their health and social barriers to work and develop a plan to overcome them.
• They are signposted to in-house WorkWell services – four sessions with a physiotherapist, a meeting with a counsellor, and a meeting with a Human Resource Advisor for employment advice.
• Their plan also includes referrals to other relevant local services that will enable them to overcome their barriers to work. This includes training opportunities to help them explore new career opportunities; social prescription to a support group tackling loneliness; and speaking to Citizens Advice Bureau for financial advice.
• Thanks to their plan, they can remain in work and continue to meet with their WorkWell Work and Health Coach, who checks in on their progress and offers further work and health advice as needed.