Asked by: Baroness Stedman-Scott (Conservative - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government what estimate they have made of the number of parents who were previously unemployed who have entered (1) part-time, and (2) full-time, employment as a result of Government-funded childcare.
Answered by Baroness Sherlock - Minister of State (Department for Work and Pensions)
We have not made this specific assessment and to do so would be at disproportionate cost.
There is relevant information in our published statistics which show in November 2025, 26% of households on Universal Credit (UC) with pre-school children and in which all claimants had earnings received the childcare element.
We are undertaking a number of activities to address this key barrier to work. This includes provision of the Governments UC childcare offer. This helps to address a key barrier to work by providing financial help with childcare to make it easier for low-income families to choose to work, stay in work and progress in work.
Eligible UC customers can claim back up to 85% of their registered childcare costs each month regardless of the number of hours they work. This is up to a maximum amount of £1071.09 a month for a single child and £1836.16 a month for families with two or more children.
Additionally, through the Child Poverty Strategy, we are improving access to childcare. This includes our commitment to create more places in schools-based nurseries, £600 million to extend the Holiday Activities and Food programme and free breakfast clubs in every primary school.
Alongside this, the Department for Education will lead a cross-government review of early education and childcare support to design and deliver a simpler system that maximises benefits for child development and parental ability to work or work more hours.
Asked by: Baroness Stedman-Scott (Conservative - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government what issues the consultation on the proposed scale test will consider, including whether it will examine (1) the definition of a Main Scale Default Arrangement, (2) how assets will be counted towards the threshold, and (3) the pathways available for schemes to reach scale.
Answered by Baroness Sherlock - Minister of State (Department for Work and Pensions)
The Government has committed to publish an update to the June 2025 ‘Workplace pensions: a roadmap’. This will include timelines for consultation on the scale measures, which will cover the issues raised amongst others.
Asked by: Baroness Stedman-Scott (Conservative - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government how long the consultation on the proposed scale test for defined contribution schemes will run; and when they expect the consultation process to conclude.
Answered by Baroness Sherlock - Minister of State (Department for Work and Pensions)
The Government has committed to publish an update to the June 2025 ‘Workplace pensions: a roadmap’. This will include timelines for consultation on the scale measures, which will cover the issues raised amongst others.
Asked by: Baroness Stedman-Scott (Conservative - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government what assets will count towards the £25 billion requirement for a Main Scale Default Arrangement under the Pension Schemes Bill; and whether assets held in default funds only, or across all scheme investments, will be included.
Answered by Baroness Sherlock - Minister of State (Department for Work and Pensions)
The Government set out its intended approach concerning the Main Scale Default Arrangements (MSDA) in the May 2025 consultation response and final report of the Pensions Investment Review. We have also recently published Pension Schemes Bill: Scale and Consolidation on Gov.UK to give an overview of the government’s direction of travel ahead of detailed consultation on regulations.
As outlined in the final report of the Review, key benefits of scale are realised at the level on which strategic decisions on investment are made. This is generally at an ‘arrangement’ level.
To meet the scale requirement, a provider must demonstrate that it holds assets of at least £25 billion in their MSDA.
These assets may be counted from a number of connected schemes offered by a single provider, but they must all be managed under a common investment strategy.
Further details will be set out in regulations following formal consultation.
Asked by: Baroness Stedman-Scott (Conservative - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government whether the £25 billion Main Scale Default Arrangement requirement will be assessed at the level of the scheme, individual default arrangements, or sections within a scheme.
Answered by Baroness Sherlock - Minister of State (Department for Work and Pensions)
The Government set out its intended approach concerning the Main Scale Default Arrangements (MSDA) in the May 2025 consultation response and final report of the Pensions Investment Review. We have also recently published Pension Schemes Bill: Scale and Consolidation on Gov.UK to give an overview of the government’s direction of travel ahead of detailed consultation on regulations.
As outlined in the final report of the Review, key benefits of scale are realised at the level on which strategic decisions on investment are made. This is generally at an ‘arrangement’ level.
To meet the scale requirement, a provider must demonstrate that it holds assets of at least £25 billion in their MSDA.
These assets may be counted from a number of connected schemes offered by a single provider, but they must all be managed under a common investment strategy.
Further details will be set out in regulations following formal consultation.
Asked by: Baroness Stedman-Scott (Conservative - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government when they intend to publish the formal consultation on the proposed scale test for defined contribution pension schemes.
Answered by Baroness Sherlock - Minister of State (Department for Work and Pensions)
The Government has committed to publish an update to the June 2025 ‘Workplace pensions: a roadmap’. This will include timelines for consultation on the scale measures, which will cover the issues raised amongst others.
Asked by: Baroness Stedman-Scott (Conservative - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government what assessment they have made of PwC’s Youth Employment Index, particularly the finding that the United Kingdom has fallen four places to rank 27th out of 38 for youth employment outcomes among Organisation for Economic Co-operation and Development (OECD) member countries.
Answered by Baroness Sherlock - Minister of State (Department for Work and Pensions)
The Government has reviewed the PWC Youth Employment Index report. With 1 in 8 young people not in education, employment or training (NEET), the number of young people who are NEET has been rising too long. At Budget, we announced more than £1.5 billion of investment over the next three years, funding £820m for the Youth Guarantee to support young people to earn or learn, and an additional £725 million for the Growth and Skills Levy.
Through the expanded Youth Guarantee, young people aged 16-24 across Great Britain are set to benefit from further support into employment and learning. The details of that support are:
Support to find a job: For young people on Universal Credit who are looking for work, we are introducing a new Youth Guarantee Gateway, which over the next three years will offer nearly 900,000 16–24-year-olds a dedicated session, followed by four weeks of additional intensive support with a Work Coach. This new support will identify specific work, training, or learning opportunities locally for each young person and ensure they are supported to take those up.
Further Expanding Youth Hubs: We are establishing Youth Hubs in over 360 locations so that all young people – including those not on benefits – can access opportunities and wider support in every local area of Great Britain. Youth Hubs will bring together partners from health, skills and the voluntary sector, working closely with Mayors and local authorities to deliver joined-up community-based support.
Creating c300,000 opportunities for workplace experience and training: We will create up to 150,000 additional work experience placements and up to 145,000 additional bespoke training opportunities designed in partnership with employers, including the number of our Sector-based Work Academy Programmes (SWAPs). At the end of each SWAP, employers offer a guaranteed job interview to participants.
Guaranteeing jobs: For long-term unemployed 18–21-year-olds on Universal Credit, the Jobs Guarantee scheme will provide six months of paid employment. This will reach around 55,000 young people over the next three years
Preventing young people from becoming NEET: We are making it easier to identify young people who need support, by investing in better NEETs data sharing, further education attendance monitoring, and new risk of NEET data tools giving local areas more accurate insights to target support where it's needed most. We are also investing in work experience opportunities for young people at particular risk of becoming NEET, focused on pupils in state-funded Alternative Provision settings, (education provided outside mainstream or special schools for children who cannot attend a regular school—often due to exclusion, health needs, or other circumstances).
This builds on measures announced in the Post-16 Education and Skills White Paper earlier this autumn. To make sure young people move smoothly from school into post-16 education or training, we are working with schools to improve support for transitions and piloting automatic enrolment at Further Education providers for those without a confirmed place. This will make it easier for young people to stay on in education and succeed later in life.
Asked by: Baroness Stedman-Scott (Conservative - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government what assessment they have made of the finding in PwC’s Youth Employment Index that the youth-to-adult unemployment ratio in the United Kingdom is now the highest on record across the Organisation for Economic Co-operation and Development (OECD) countries.
Answered by Baroness Sherlock - Minister of State (Department for Work and Pensions)
The Government has reviewed the PWC Youth Employment Index report. With 1 in 8 young people not in education, employment or training (NEET), the number of young people who are NEET has been rising too long. At Budget, we announced more than £1.5 billion of investment over the next three years, funding £820m for the Youth Guarantee to support young people to earn or learn, and an additional £725 million for the Growth and Skills Levy.
Through the expanded Youth Guarantee, young people aged 16-24 across Great Britain are set to benefit from further support into employment and learning. The details of that support are:
Support to find a job: For young people on Universal Credit who are looking for work, we are introducing a new Youth Guarantee Gateway, which over the next three years will offer nearly 900,000 16–24-year-olds a dedicated session, followed by four weeks of additional intensive support with a Work Coach. This new support will identify specific work, training, or learning opportunities locally for each young person and ensure they are supported to take those up.
Further Expanding Youth Hubs: We are establishing Youth Hubs in over 360 locations so that all young people – including those not on benefits – can access opportunities and wider support in every local area of Great Britain. Youth Hubs will bring together partners from health, skills and the voluntary sector, working closely with Mayors and local authorities to deliver joined-up community-based support.
Creating c300,000 opportunities for workplace experience and training: We will create up to 150,000 additional work experience placements and up to 145,000 additional bespoke training opportunities designed in partnership with employers, including the number of our Sector-based Work Academy Programmes (SWAPs). At the end of each SWAP, employers offer a guaranteed job interview to participants.
Guaranteeing jobs: For long-term unemployed 18–21-year-olds on Universal Credit, the Jobs Guarantee scheme will provide six months of paid employment. This will reach around 55,000 young people over the next three years
Preventing young people from becoming NEET: We are making it easier to identify young people who need support, by investing in better NEETs data sharing, further education attendance monitoring, and new risk of NEET data tools giving local areas more accurate insights to target support where it's needed most. We are also investing in work experience opportunities for young people at particular risk of becoming NEET, focused on pupils in state-funded Alternative Provision settings, (education provided outside mainstream or special schools for children who cannot attend a regular school—often due to exclusion, health needs, or other circumstances).
This builds on measures announced in the Post-16 Education and Skills White Paper earlier this autumn. To make sure young people move smoothly from school into post-16 education or training, we are working with schools to improve support for transitions and piloting automatic enrolment at Further Education providers for those without a confirmed place. This will make it easier for young people to stay on in education and succeed later in life.
Asked by: Baroness Stedman-Scott (Conservative - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government what steps they are taking in response to the findings of PwC’s Youth Employment Index to strengthen school-to-work and university-to-work transitions for young people.
Answered by Baroness Sherlock - Minister of State (Department for Work and Pensions)
The Government has reviewed the PWC Youth Employment Index report. With 1 in 8 young people not in education, employment or training (NEET), the number of young people who are NEET has been rising too long. At Budget, we announced more than £1.5 billion of investment over the next three years, funding £820m for the Youth Guarantee to support young people to earn or learn, and an additional £725 million for the Growth and Skills Levy.
Through the expanded Youth Guarantee, young people aged 16-24 across Great Britain are set to benefit from further support into employment and learning. The details of that support are:
Support to find a job: For young people on Universal Credit who are looking for work, we are introducing a new Youth Guarantee Gateway, which over the next three years will offer nearly 900,000 16–24-year-olds a dedicated session, followed by four weeks of additional intensive support with a Work Coach. This new support will identify specific work, training, or learning opportunities locally for each young person and ensure they are supported to take those up.
Further Expanding Youth Hubs: We are establishing Youth Hubs in over 360 locations so that all young people – including those not on benefits – can access opportunities and wider support in every local area of Great Britain. Youth Hubs will bring together partners from health, skills and the voluntary sector, working closely with Mayors and local authorities to deliver joined-up community-based support.
Creating c300,000 opportunities for workplace experience and training: We will create up to 150,000 additional work experience placements and up to 145,000 additional bespoke training opportunities designed in partnership with employers, including the number of our Sector-based Work Academy Programmes (SWAPs). At the end of each SWAP, employers offer a guaranteed job interview to participants.
Guaranteeing jobs: For long-term unemployed 18–21-year-olds on Universal Credit, the Jobs Guarantee scheme will provide six months of paid employment. This will reach around 55,000 young people over the next three years
Preventing young people from becoming NEET: We are making it easier to identify young people who need support, by investing in better NEETs data sharing, further education attendance monitoring, and new risk of NEET data tools giving local areas more accurate insights to target support where it's needed most. We are also investing in work experience opportunities for young people at particular risk of becoming NEET, focused on pupils in state-funded Alternative Provision settings, (education provided outside mainstream or special schools for children who cannot attend a regular school—often due to exclusion, health needs, or other circumstances).
This builds on measures announced in the Post-16 Education and Skills White Paper earlier this autumn. To make sure young people move smoothly from school into post-16 education or training, we are working with schools to improve support for transitions and piloting automatic enrolment at Further Education providers for those without a confirmed place. This will make it easier for young people to stay on in education and succeed later in life.
Asked by: Baroness Stedman-Scott (Conservative - Life peer)
Question to the Department for Work and Pensions:
To ask His Majesty's Government what plans they have, if any, to introduce additional pension protections to recognise periods of unpaid childcare, to mitigate the long-term pension disparities faced by women arising from maternity leave and reduced earnings.
Answered by Baroness Sherlock - Minister of State (Department for Work and Pensions)
The new State Pension, introduced in 2016, addresses historically poorer outcomes for women, low earners and self-employed people. This means, on average, women on the new State Pension are receiving almost £20 more per week than those on the pre-2016 system. That is around 98% of the amount received by men (the average for women under the pre-2016 system is 86%).
There are a wide range of National Insurance credits available to support a diverse range of people to build up entitlement to a State Pension, including credits linked to the provision of care for children (under 12).
Automatic Enrolment has succeeded in transforming workplace pension participation rates, in particular for women. We have seen participation rates amongst eligible women in the private sector now equal with those for men.
However, significant gaps remain, both in terms of pension participation and wealth. That is why we revived the Pension Commission, to consider what is required in the long term to deliver a pensions framework that is stronger, fairer and more sustainable. This will include exploring how to improve retirement outcomes, including for women, and those on the lowest incomes and at the greatest risk of poverty or under-saving.