Only one in 10 jobless people obliged to try to find work, key Blairite warns
Only one in 10 economically inactive people getting benefits must show they are trying to find work, a report from a New Labour grandee has found.
Alan Milburn questioned whether the Government is doing enough to support jobless people on incapacity benefits to find new work if they are able after researching the nation’s worklessness crisis in a new report.
His research, which looked only at Barnsley and South Yorkshire, found that over eight in 10 economically inactive people in the region receive some form of state benefit.
However, only one in 10 of those on such benefits must show that they are actively seeking work before receiving the financial support.
Mr Milburn, who was Sir Tony Blair’s health secretary, wants ministers to make it an obligation for those receiving out of work benefits to engage in finding a job.
He will launch his report on Tuesday, with Work and Pensions Secretary Liz Kendall expected to attend, in a sign that Sir Keir Starmer’s ministers are interested in his findings and proposed solutions.
Mr Milburn, chair of the Pathways to Work Commission, said: “Britain has to expand our skilled workforce if we are to become more globally competitive. We have to double down on getting more people out of economic inactivity back into work.
“That requires radical reform of the welfare system. It needs to help more people into jobs with services attuned to their needs.
“Equally if you are getting benefits and could work you should have to engage with those services. Government can help but people need to help themselves.”
A record 2.8 million people are on incapacity benefit, up from 2.1 million before Covid struck.
Mental health and spinal issues are among problems increasingly cited.
With that number forecasted to rise, Rishi Sunak made welfare reforms a central part of his failed re-election pitch, arguing the state had to do more to help people back into work.
Ms Kendall has also expressed alarm about the projections - which would mean billions more pounds in welfare spending - but outlined a smaller set of reforms including around Jobcentres, which she wants to focus on giving career advice rather than monitoring the benefits system.
Mr Milburn’s year-long project is said to amount to the biggest in-depth study into economic inactivity in Britain in recent times.
The report will propose a “duty to engage”, which would mean those receiving benefits who do have good enough health to work should have to actively look for jobs.
Much of the debate is likely to focus on how the line is drawn between those who are too ill or disabled to do any form of work, who all political parties argue must be protected by the state, and those who could be helped back into the workforce with the right support.
Mr Milburn led the Blair-era reform drive in the NHS. He could play a role helping advise Wes Streeting, the new Health Secretary, though nothing formal has been announced.
Sir Keir and Bridget Phillipson, the Education Secretary, will on Monday launch Skills England, a new body focusing on identifying skills gaps in the UK workforce.
Richard Pennycook CBE, former chief executive of the Co-operative Group and the lead non-executive director at the Education Department, has been appointed interim chairman.
Sir Keir said: “Our skills system is in a mess, which is why we are transforming our approach to meet skills needs over the coming decades.
“They will help to deliver our number one mission as a government, to kickstart economic growth, by opening up new opportunities for young people and enabling British businesses to recruit more home-grown talent.
“From construction to IT, healthcare to engineering, our success as a country depends on delivering highly skilled workforces for the long-term. Skills England will put in place the framework needed to achieve that goal while reducing our reliance on workers from overseas”.