Tag: Department for Work and Pensions

The press release issued by the Department for Work and Pensions on 10 September 2024.

Spiralling economic inactivity to be addressed as new Labour Market Advisory Board launched to advise government on getting Britain working again.

• Hundreds of thousands more people out of work due to long-term sickness since the pandemic.
• Experts on new board will help to shape government work ahead of groundbreaking White Paper this autumn.

Experts advising government on how to tackle the ‘greatest employment challenge for a generation’ met with the Work and Pensions Secretary for the first time on Monday [9 September].

The new Labour Market Advisory Board – appointed by Work and Pensions Secretary Liz Kendall MP – is made up of labour market experts from across business, industrial relations and academia.

At its first meeting, members offered new approaches to shape government work on economic inactivity, tackling the root causes for people remaining out of work such as poor physical and mental health, and how the group can help the government reach its ambition of an 80 per cent employment rate.

The Board will develop new ideas and initiatives for the Work and Pensions Secretary to consider as she sets about bringing down the levels of economic inactivity, with the UK being the only G7 country whose employment and inactivity rates haven’t returned to pre-pandemic levels, part of the dire inheritance left by the previous government.

Work and Pensions Secretary, Liz Kendall MP, said:

Spiralling inactivity is the greatest employment challenge for a generation, with a near record 2.8 million people out of work due to long-term sickness.

Addressing these challenges will take time, but we’re going to fix the foundations of the economy and tackle economic inactivity.

The board’s knowledge, expertise and insight will help us to rebuild Britain as we deliver our growth mission, drive up opportunity and make every part of the country better off.

As the Health Secretary Wes Streeting has previously set out, cutting NHS waiting lists will get Britain back to health and back to work. and the Board’s first meeting will examine the impact of ill-health on inactivity and how the Government can support more people into good work.

Paul Gregg, Chair of the Labour Market Advisory Board said:

Having studied the UK’s labour market across several decades, it is clear that the current labour market faces a deep-seated set of challenges.

We have seen a sharp increase in economic inactivity and long-term sickness, most notably in our young people post-pandemic. Further, real wage growth has been heavily supressed for 15 years hitting living standards and government tax revenues. Reversing these trends will be key to ensuring the long-term prosperity of the UK’s labour market.

I look forward to working with members of the board and the Secretary of State to support her vision for growth and examining positive solutions to address inactivity and harness the true potential of the UK’s labour market.

The Secretary of State is also expected to outline her plans to devolve power to local areas so they can tackle inactivity with bespoke work, health, and skills plans, which are expected in a White Paper in the autumn.

It will also include plans for a new youth guarantee for 18-21-year-olds, and the overhauling of jobcentres by merging them with the National Careers service.

Board Members

Member	Organisation/ Institution
Paul Gregg (Chair)	Former Director of the Centre for Analysis of Social Policy at the University of Bath
Steven Machin	Professor of Economics and Director of the Centre for Economic Performance, LSE
Lindsey Macmillian	Professor of Economics, Centre for Education Policy and Equalising Opportunities
Gavin Kelly	Executive Chair, Resolution Foundation
Anita Charlesworth	Director of Research and Economics, Health Foundation
Stuart McIntyre	Professor of Economics, University of Strathclyde
Ruby McGregor Smith	House of Lords
Nicola Smith	Head of Rights, International, Social and Economics Department TUC

Additional Information

• A White Paper on the Plan to Get Britain Working is expected in the autumn.
• More information on the Plan to Get Britain Working is available here: Back to Work Plan will help drive economic growth in every region – GOV.UK (www.gov.uk)
• The Work and Pensions Secretary delivered a speech in Barnsley setting out her vision for employment support: Getting Britain Working – GOV.UK (www.gov.uk)
• The Labour Market Advisory Board will work with the Department for Work & Pensions and can request support to develop information and insight for the Secretary of State and/or internal consideration on priority topics and policy development.

Inactivity levels and rates across the UK & regions as of 13/08/2024:

Area	Level (000s)	Rate
United Kingdom	9,410	22.0%
Great Britain	9,090	22.0%
England	7,756	21.6%
North East	454	27.4%
North West	1,112	23.6%
Yorkshire and The Humber	862	25.0%
East Midlands	616	20.1%
West Midlands	875	23.5%
East	851	21.7%
London	1,263	20.7%
South East	1,080	18.7%
Wales	541	28.3%
Scotland	793	23.1%
Northern Ireland	319	27.1%

The press release issued by the Department for Work and Pensions on 2 September 2024.

Millions of vulnerable people to receive help this winter as the Work and Pensions Secretary extends the Household Support Fund.

• £421 million boost for local authorities in England to help people most in need with the cost of their energy, food and water, with £79 million for devolved administrations
• Immediate support comes alongside the government’s growth mission to rebuild Britain and make every part of the country better off

Vulnerable households will receive support for the cost of essentials this winter, as the Work and Pensions Secretary Liz Kendall announces an extension to the Household Support Fund for the next six months.

The £421m extension gives certainty to Local Authorities across England over the winter months – up until April 2025 – as they work to help those struggling with the cost of energy, food, and water.

Pensioners and others struggling to heat their homes or afford other essential items over the colder months should contact their local council to see what support may be available to them. Details on the latest scheme for local authorities and councils will be communicated in the coming weeks.

Many councils also use the Fund beyond emergency support, including working with local charities and community groups to provide residents with key appliances, school uniforms, cookery classes, and items to improve energy efficiency in the home.

An estimated £79 million will also be given to Devolved Administrations via the Barnett formula as the government leaves no stone unturned in ensuring every person – in every part of the country – has the foundations they need to be financially secure. Administrations in Scotland, Wales and Northern Ireland can choose how to allocate this additional funding, as the UK government continues to work closely with them to help support vulnerable people.

Given the dire economic inheritance, we had to take difficult decisions to put our public finances on a sustainable footing as we tackle the £22 billion black hole.

1.3 million more people have fallen into poverty since 2010/11, with living standards falling by the largest year-on-year drop since records began in 2022/23. For over a decade people have also been denied the security and dignity that good work affords with more than a near record 2.8 million people out of work due to sickness.

As we continue our work to deliver growth, make work pay and develop our child poverty strategy in the long term, the extension of the Fund prevents councils and vulnerable households experiencing an immediate cliff edge of support with a tough winter ahead.

Chancellor of the Exchequer, Rachel Reeves MP, said:

The £22 billion blackhole inherited from the previous governments means we have to take tough decisions to fix the foundations of our economy.

But extending the Household Support Fund is the right thing to do – provide targeted support for those who need it most as we head into the winter months.

Secretary of State for Work and Pensions, Liz Kendall MP, said:

We are extending the Household Support Fund for the next six months because it is a lifeline for people who are struggling with the cost of living.

The dire inheritance we face means more people are living in poverty now than 14 years ago – and this Government is taking immediate action to prevent a cliff edge of support for the most vulnerable in our society.

At the same time, we are taking action to fix the foundations of our country through our plans to grow the economy, make work pay, and Get Britain Working again.

The government is exploring options around how best to provide sustainable support to vulnerable households in the longer term while the ministerial Child Poverty Taskforce develops an ambitious strategy to tackle the root causes of poverty, and the Get Britain Working White Paper, to be set out in the Autumn, will develop measures to reduce inactivity and help people to find better paid and more secure jobs.

By growing the economy and unlocking investment through the National Wealth Fund; launching Great British Energy to drive home-grown clean energy and lower bills; making work pay and developing a new Child Poverty Strategy to give children the best start in life – the Government is looking at all levers available to unlock the potential of millions across the country and give them the platform they need to thrive.

Additional Information

• The Household Support Fund is administered by the Department for Work and Pensions and delivered by Local Authorities in England. It can be used to help vulnerable residents with energy and water bills, food and other essential items.
• People can find their council here.
• Barnett consequentials for Devolved Governments will be finalised in due course.
• In 2022/23, there were 1.3 million more people in relative poverty after housing costs than in 2010/11.
• In 2022/23, living standards, as measured by RHDI per capita, fell by 2.1 per cent, the largest year-on-year drop since records began in the 1950s.

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.