Since the last set of Work and Pensions oral questions, we have announced £820 million of funding to offer training and work to young unemployed people through the youth guarantee and £725 million more in apprenticeship investment, with 50,000 more apprenticeship starts for young people. We have responded positively to the Sayce review on carer’s allowance and we have published our child poverty strategy, which will lift more than half a million children out of poverty by the end of this Parliament.
I have been campaigning for a youth hub and working with officials in the DWP and local councils to try to secure a much-needed youth hub in Rugby. Does my right hon. Friend agree that this service, offering employment advice, wellbeing support and more, would help tackle the problem of youth dependency on benefits, which is at 16% in Rugby—roughly the national average? Does he further agree that, as young people would say: no cap, it is only this party that will do what is necessary to back young people?
My hon. Friend is right to say that youth hubs can deliver vital help to get young people back on track. This is about getting the jobcentre out of the jobcentre, if you will, and making sure that we meet young people where they are in the community. We are expanding youth hubs; there will be a total of 360 around the country. Locations will be announced in due course, and I am sure that my hon. Friend will keep campaigning for one in his area.
The Chancellor’s Budget put a cap on salary sacrifice for pension savers at just £2,000. That was to raise an extra £4.8 billion in 2029, and it will affect 3.3 million savers and 290,000 employers. What research has the Pensions Minister done to understand and quantify the negative effects that this will have on pension savings?
I thank the hon. Gentleman for his question because it gives me a chance to bring the House’s attention to research published after the general election in 2024 but commissioned under the last Conservative Government—I have the document here. What was the research into? It was into capping salary sacrifice pension contributions at £2,000. The hon. Gentleman can read the research published and commissioned by his own party about putting back under control this tax relief, which had got out of hand.
Well, it was not us who put it in place; it was Labour.
This policy hits the private sector disproportionately: 14 times as many people save through salary sacrifice in the private sector as they do in the public sector. Whether it is kite-flying about lump sum withdrawal or taxing inherited pension pots, in a week when Labour Together is canvassing Labour members about a new Labour leader, is it not the case that the Chancellor is more interested in throwing red meat to her sad and unfortunate Back Benchers in a vain attempt to save her job than she is in the interests of the savings of our hard-working constituents?
There is nothing sad about Labour Members watching wages rise faster under this Government than they did under the Conservatives. There is nothing sad about our Back Benchers seeing the end of austerity and seeing public services being improved right across this country.
T2. A constituent of mine who is in his mid-50s wrote to me about the flagrant and extensive age discrimination he faces looking for work, citing a job advert seeking applicants with under 15 years’ experience. His case reflects the Women and Equalities Committee’s “The rights of older people” report, which calls for stronger legal protection and a cross-Government strategy. Age discrimination is already unlawful, so how will the Minister ensure that people are properly protected?
As my hon. Friend says, it is against the law to impose age restrictions on jobs unless they can be objectively justified. The Equality Act 2010 provides legal redress. There is also practical help available through the Equality Advisory and Support Service, which his constituent should certainly give a call, and we have 50PLUS champions working across the whole of our jobcentre network.
Disability News Service has stated that both the Treasury and the DWP have refused to clarify the £1.9 billion of cuts to disability benefits set to take place over the next five years that were quietly sneaked into the Budget the other week. Will the Minister now set the record straight and advise us on how those cuts, which amount to almost £2 billion, will occur and on what impacts they will have on people with disabilities?
I do not know what the hon. Gentleman is referring to. I will happily look into the report he has spoken of. There will be no changes at all to eligibility for personal independence payments until the conclusion of my review, which will be in the autumn of next year.
T3. The Government’s new youth investment fund is supporting the charity Nacro in my constituency to build a youth hub in Wythenshawe park. The Minister knows my constituency well, so I am sure he will agree that this project shows that we have an Administration who are serious about investing in our nation’s young people.
I thank my hon. Friend and constituency neighbour for his question and for highlighting the record of the Conservatives on this issue. He knows that I know his constituency well. I also know the work of Nacro well, and I take this opportunity to commend that organisation. Youth hubs such as this one—along with our youth guarantee and other interventions—are a really important part of this Government’s work to bear down on young people not in education, employment and training.
T5. I have recently been contacted by constituents who are concerned that local jobcentres are not doing enough to get people back into work. What more can the Minister do to ensure that sufficient support and training help people back into employment?
The hon. Gentleman raises an important point. The transformation of our jobs and career service will provide wraparound support to individuals who are looking for work or career development. We want to change the feel of jobcentres so that they are about supporting people, rather than having people go in just to comply with benefit conditions.
T4. Data from the millennium cohort study suggests that over half of cases of young people not in education, employment or training are attributable to persistent childhood poverty and adverse experiences. I recently visited Starting Point, a charity that helps young people in Reading back into work, and I heard about those people’s experiences. Does the Minister agree that there is a strong economic case behind the Government’s moral mission to cut childhood poverty?