Oral Answers to Questions

Pat McFadden Excerpts

Monday 8th December 2025 Commons Chamber

[Mr Peter Bedford (Mid Leicestershire) (Con)]

21. What discussions he has had with the Chancellor of the Exchequer on the potential impact of future welfare spending on the economy.

[The Secretary of State for Work and Pensions (Pat McFadden)]

We inherited from the Conservative party a welfare system that forced too many people out of work and on to long-term benefits, while leaving millions of children in poverty. We have begun to address that through reforms to universal credit, increased employment support, more help for children in poverty and, now, a youth guarantee to offer work and training to young people who are unemployed.

[Sarah Bool]

The oldest law in economics is that if we tax something more, we get less of it. The inverse is also true: if we subsidise something more, we get more of it. Why do this Government believe that subsidising unemployment through huge increases to the welfare bill will not lead to more unemployment? Will the Secretary of State accept that those changes disincentivise work, and will he tell the House how much the Budget is expected to increase unemployment?

[Pat McFadden]

The Conservative party watched the number of those who are not in education, employment or training grow year by year and did nothing about it. The hon. Lady will find that, at the Budget a couple of weeks ago, the Office for Budget Responsibility projected that the levels of people in employment will rise in every year of the forecast.

[Mr Bedford]

In their first Budget, the Government hiked taxes on employers, leading to a sustained increase in unemployment. Earlier this year, we saw a botched attempt to reform welfare, which is now going to cost us more in welfare spending, and in the Chancellor’s “Nightmare before Christmas” Budget, she hammered hard-working families with yet more tax rises. Why do the Government loathe aspiration and hard work in favour of an economy based on welfare and state dependency?

[Pat McFadden]

The hon. Gentleman will find that the welfare budget had risen three times as fast as a proportion of GDP as it is projected to rise under this Government. We have begun to make changes through the reform to universal credit—that is more change in the system than his party introduced in many years—and, critically, to employment support for both the long-term sick and disabled and the young unemployed.

[Lauren Edwards (Rochester and Strood) (Lab)]

Around 600 young people in Rochester and Strood are claiming unemployment benefits; many more are NEETs—not in education, employment or training—and are not known to the Department for Work and Pensions. Does the Minister agree that the best way to improve their futures and reduce the welfare bill in the long term is through targeted support programmes, such as the youth guarantee, which will get them into good, stable jobs and off benefits?

[Pat McFadden]

We have a very different approach to the issue of NEETs from the Conservative party. We are not going to sit and look at the graph rise year by year without offering young people hope and aspiration for the future. That is why we brought forward a package, with £800 million of backing, to offer training or work to the young unemployed, and ensure that they have options in life rather than a life on benefits.

[Neil Duncan-Jordan (Poole) (Lab)]

I welcome the child poverty strategy published on Friday. Will the Secretary of State outline what more needs to be done to end child poverty for good?

[Pat McFadden]

It is estimated that the child poverty strategy we published on Friday will lift more than 500,000 children out of poverty by the end of this Parliament. Critically, most of the children in poverty are living in households where someone works, so setting up the working against the non-working is completely contrary to the facts on child poverty.

[Mr Speaker]

I call the shadow Secretary of State.

[Helen Whately (Faversham and Mid Kent) (Con)]

In the Budget last month, the Chancellor put up taxes in order to spend £16 billion more on welfare. The Government chose to make working people worse off in order to spend more on benefits. The sickness benefit bill is now set to skyrocket to more than £100 billion by the end of this decade. The Secretary of State likes to blame us, but his predecessor, the right hon. Member for Leicester West (Liz Kendall), cancelled our reforms, and Labour Back Benchers stymied the Government’s. Working people are saying to me, “Why bother? I’d be better off on benefits.” The country cannot afford that. The Secretary of State must know this—he is no fool—so when is he going to come up with some welfare savings?

[Pat McFadden]

The Conservatives’ zeal for change is very touching; it is just a pity that they only discovered it the day they stopped having any responsibility for running the welfare system. Let me remind the hon. Lady that this is the system that they created, and these are the gateways to benefits that they created. The reform that they put forward was struck down by the courts, and the incentives in the system that she attacks are the ones that they legislated for. Now we have begun to change the system, with the first change in universal credit incentives for years, more support for the long-term sick and disabled, and a youth guarantee that offers hope where previously there was only neglect.

[Harriet Cross (Gordon and Buchan) (Con)]

2. What assessment he has made of trends in the level of unemployment.

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[Blake Stephenson (Mid Bedfordshire) (Con)]

3. What steps his Department is taking to reduce the number of young people not in education, employment or training.

[The Secretary of State for Work and Pensions (Pat McFadden)]

When this Government came to power, we inherited a situation in which almost 1 million young people were not in education, employment or training. As we have said, the number rose by 50% in the last few years of the Conservatives’ time in government, and they did nothing about it. That is why we are acting. In the Budget we announced a youth guarantee, with £820 million of investment, to offer hope where previously there was only Tory neglect.

[Blake Stephenson]

About 1,200 people in my constituency are not in education, employment or training. With two job-destroying Budgets and the Employment Rights Bill on the horizon, does the Minister really understand the concerns of my constituents, who feel that this Government are simply making it so much harder for young people to find work and get on the career ladder?

[Pat McFadden]

If the hon. Gentleman cared about young people and opportunity, he might regret the fact that there was a 40% decline in young people’s apprenticeships over the last decade, when his party were in power. As well as the introducing the youth guarantee, we have brough forward £725 million more in investment for apprenticeships—again, to provide hope where there was previously Tory neglect.

[Ms Polly Billington (East Thanet) (Lab)]

I welcome the commitment to free apprenticeships for small and medium-sized enterprises if they take on under-25s, which was announced in the Budget, and I also welcome the commitment to apprenticeships in the hospitality sector. Can my right hon. Friend confirm that there will be a focus on coastal communities such as East Thanet in these programmes, given the disproportionate number of young people written off by the Tories over the past 14 years and the significant number of small and medium-sized hospitality businesses, in particular, that are desperate to hire local talent?

[Pat McFadden]

My hon. Friend is right to point out that the issue of youth opportunity is also an issue of inequality, and that the rate of NEETs is often highest where deprivation and inequality are highest. That is why it is essential that we have an active policy, through the youth guarantee, to offer training, work experience, subsidised employment and more apprenticeships for young people.

[Mr Speaker]

I call the shadow Minister.

[Rebecca Smith (South West Devon) (Con)]

Since the Chancellor delivered her Budget, it has come to light that benefits have been extended for the parents of teenagers with disabilities or illnesses. Although on the face of it that may seem kind and compassionate, it is also contradictory. Parents and carers are no longer required to ensure that their teenagers are attending an educational setting at all to receive additional child benefit, which means that young people living with neurodivergent conditions such as ADHD are being enabled to stay at home and out of education, training or even work. This flies directly in the face of the Prime Minister’s words after the Budget:

“if you’re not given the support you need…or if you are simply written off because you’re neurodivergent or disabled, then it can trap you in a cycle of worklessness and dependency for decades.”

May I ask the Secretary of State how extending access to benefits for conditions such as ADHD in teenagers before coming up with a plan to ensure that young people remain in full-time education and training delivers on the Prime Minister’s point?

[Pat McFadden]

I hate to sound repetitive, but the rates of absence from school rocketed when the Conservatives were in power. Again, this is something that we have begun to address, because children cannot achieve unless they are attending school. That is why absence from school really matters, and why my right hon. Friend the Secretary of State for Education has rightly made attendance such a high priority for herself and her Department.

[Shaun Davies (Telford) (Lab)]

4. What steps he is taking to improve the Motability scheme.

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[John Slinger (Rugby) (Lab)]

T1. If he will make a statement on his departmental responsibilities.

[The Secretary of State for Work and Pensions (Pat McFadden)]

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.

[John Slinger]

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?

[Pat McFadden]

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.

[Mr Speaker]

I call the shadow Minister.

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[Matt Vickers (Stockton West) (Con)]

T7. The Budget introduced more taxes for people who work and more benefits for those who do not. Since the Government came into office, 1 million more people are claiming universal credit. We are now paying out almost £1 billion a month in benefits to foreign national households. Do the Government really think that their £16 billion benefits bung is fair on the hard-working people who have to pay for it?

[Pat McFadden]

The hon. Gentleman attacks the system, gateways and conditions that his Government created. When it comes to working people and non-working people, he will be aware that most children in poverty live in a household in which someone works, as are most of the children helped by the lifting of the two-child limit. Those who are not are often children under the age of three with a lone parent.

[Sally Jameson (Doncaster Central) (Lab/Co-op)]

T6. I welcome the Government’s commitment to tackling the NEETs crisis in this country. Will the Secretary of State work on that with the Department for Education? Doncaster university technical college has been incredibly good at linking industry and education. I hope that, in the near future, the Government will agree to expand such work in my constituency and across the country.

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[Emma Foody (Cramlington and Killingworth) (Lab/Co-op)]

T8. More than 400 16 to 24-year-olds across my constituency are not in education, employment or training, and are claiming unemployment benefits. That has the potential to cause lifelong damage and deprive them of vital skills and opportunities for development. How will the Government’s youth guarantee provide support to those young people and help them to get the skills and support they need to gain access to fulfilling opportunities?

[Pat McFadden]

My hon. Friend is right to raise that issue. The numbers of people not in education, employment or training have been going in that direction for several years. That is why we brought forward the youth guarantee, which will offer work experience, training and, ultimately, subsidised work, offering hope where previously there was only neglect.

[Christine Jardine (Edinburgh West) (LD)]

We all know that disabled people often face higher energy bills. In my constituency, that is exacerbated by higher standing charges. The Government have now abolished the energy company obligation. Can the Minister tell me what support with bills will be available for disabled people this winter?

[Sonia Kumar (Dudley) (Lab)]

T9.   Will my right hon. Friend meet me to discuss the role that allied health professionals, such as physios, occupational therapists, speech and language therapists and others, can play in helping NEETs to overcome barriers and secure meaningful and lasting work?

[Pat McFadden]

It is always a pleasure to meet my parliamentary neighbour from Dudley. She is absolutely right to draw attention to the role of allied health professionals, because there is a strong link between good health and employment, and this problem has to be seen across departmental boundaries.

[Lincoln Jopp (Spelthorne) (Con)]

Following the Budget, a furious Labour voter, 30 years old, texted me to say, “I am furious about the salary sacrifice thing. I give up a lot of things to put 20% of my salary into my pension. That’s going to cost me almost two grand a year for being responsible.” Why are the Government so keen on punishing savers?

[Danny Beales (Uxbridge and South Ruislip) (Lab)]

T10. Around 700 young people in Uxbridge and South Ruislip are not currently in employment, and that needs to change. I have met the local college, the jobcentre and employers in Uxbridge, and they are keen, eager and willing to support the establishment of a youth jobs hub in the constituency. Will the Secretary of State outline what support is available in constituencies such as mine to set up youth jobs hubs, so that every young person can reach their potential?

[Pat McFadden]

I applaud my hon. Friend’s campaigning for young people in his constituency. We are expanding the number of youth hubs, which will offer support across the country. The precise locations will be announced in due course.

[Seamus Logan (Aberdeenshire North and Moray East) (SNP)]

I recognise, as do so many Members across the House, the injustice and maladministration suffered by the so-called WASPI women born in the 1950s. I welcome the recent development announced by the Secretary of State, but will he give an undertaking that if compensation is agreed, it will take into account the poverty suffered by so many of these women and include recompense for their significant legal costs?

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[Debbie Abrahams (Oldham East and Saddleworth) (Lab)]

I warmly welcome the child poverty strategy published last week, and I congratulate past and present ministerial teams on all they have done on that strategy. Can my right hon. Friend give details on when he expects to publish the targets, the detailed metrics and the monitoring and review framework? Those are essential if we are to reduce child poverty.

[Pat McFadden]

I thank the Chair of the Select Committee for her question. We estimate that the measure will lift 450,000 children out of relative poverty, and 550,000 for the strategy as a whole. She is absolutely right to say that, having published the strategy, we will bring forward the legislation and monitor its impact right across Government and well beyond the boundaries of the DWP.

[Helen Morgan (North Shropshire) (LD)]

A lady came to my surgery the other week to tell me that she had been assessed at only the basic level of PIP and as fit to work. I was staggered, because she could barely walk and could barely breathe. Will the Minister meet me to see how we can rectify this crazy situation in which somebody who can barely walk to a surgery has been told that they are fit to work as a cleaner?

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[Lillian Jones (Kilmarnock and Loudoun) (Lab)]

The youth guarantee scheme represents a clear statement of intent from this Labour Government. Unlike the Conservatives, we will not abandon our young people to a lifetime on benefits, or allow the mental health toll of long-term unemployment to define their futures. Will my right hon. Friend outline how this policy will deliver for those young people by providing skills, confidence and meaningful work, and deliver for the wider economy by turning potential into productivity and reducing the cost of economic inactivity?

[Pat McFadden]

My hon. Friend is right to say that purposeful activity, be it training or work, can be an answer to some of the mental health problems that we are seeing in society, so I welcome her endorsement of the youth guarantee and the intentions behind it.

[Ian Sollom (St Neots and Mid Cambridgeshire) (LD)]

Employers across the construction, care and manufacturing sectors have warned that Skills England’s dumbed down reforms mean that apprenticeships will not be recognised by professional bodies. Today’s announcement of 50,000 apprenticeships is meaningless if employers will not recognise those standards, so will the Secretary of State guarantee that reformed apprenticeships will still meet those standards? That is a particular concern in the construction industry—

[Mr Speaker]

Order. These are topical questions. I am trying to get everybody in but the hon. Member is not helping me. Hopefully, he asked at least three of his questions.

[Pat McFadden]

The hon. Member is right to say that apprenticeship standards are highly valued. Our constituents value what an apprenticeship means. As we take the scheme forward, it is important that the public and employers have trust in the high standards that an apprenticeship offers.

[Tom Hayes (Bournemouth East) (Lab)]

Nan Roberts is 92. She was widowed this year and is facing her first Christmas without her husband of 64 years, and she is feeling utterly fobbed off by a creaking DWP system. She is waiting for her “choices letter”, despite having ingoing state pension payments dating back to 1994. The threat of asking this question has already led to some action by the DWP, but will the Secretary of State outline how I can do more to support my constituent?

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[Jayne Kirkham (Truro and Falmouth) (Lab/Co-op)]

Cornwall Marine Network in my constituency is a small and medium-sized enterprise members association that provides training and apprenticeship support. It recently celebrated providing 5,000 new jobs and apprenticeships. It will welcome the Government’s youth guarantee and the news that SMEs will not have to pay for apprenticeship training for under-25s. Will the Minister confirm how this Government will increase the capacity of such training providers?

[Pat McFadden]

I warmly commend my hon. Friend and the company she mentions. One of the apprenticeship reforms that we have announced is fully funding apprenticeships for SMEs for under-25s. That will help companies such as the one she mentions, and many more besides.

[Brian Leishman (Alloa and Grangemouth) (Lab)]

The Injury Time campaign wants to classify brain injuries in football, such as dementia, as an industrial injury. The campaign wants former players to receive Government support and benefits and wants an increase in funding for research. Will the relevant Minister meet me and PFA Scotland to discuss this important topic?