Getting Britain Working Again

Steve Darling Excerpts

Thursday 14th May 2026 Commons Chamber

[Pat McFadden]

If it was down to those policies, we would not have seen a rise of a quarter of a million in the NEET—not in education, employment or training—numbers in the last three years of the hon. Lady’s party’s time in office. My point is that this did not come from nowhere, and we have to understand that. If we are to have a serious response, education, health treatment, youth apprenticeships and changes to the welfare system itself all have a part to play.

On the health front, I have good news to report: waiting lists today are down by 110,000—the biggest monthly drop since 2008. Elective waiting time targets have been hit, and four-hour waiting time targets have been hit. This is how we get Britain working, whereas simply picking a number for benefit cuts, with nothing behind it, is not an answer; it is a press release. The Conservative party has shown no understanding of how people end up on benefits in the first place.

[Steve Darling (Torbay) (LD)]

I would like to raise with the Minister the fact that we are looking at around 1,000 redundancies across the NHS in Devon, which is a significant employer. That is cutting the legs off employment in communities such as mine in Torbay.

[Pat McFadden]

I refer the hon. Gentleman to the figures that I just read out. For the first time in many years, the NHS is heading in the right direction. That is good for people’s health, and it is also good for getting people back to work.

As I said, the Conservatives show no understanding of how people end up on benefits in the first place. They are like a workman who wanders around someone’s house asking, “Who installed that?”, when the answer every time is that they installed it. The Conservatives say that the welfare bill is too high, but it went up by £100 billion when they were in power. They say that they want more face-to-face appointments, but they shut them down almost entirely, and then the right hon. Member for Central Devon (Sir Mel Stride), now the shadow Chancellor, signed off a bunch of contracts that allowed the assessors to work from home. The Conservatives say that there are too many people on health benefits, but they designed the system, they designed the gateways, and they designed the differences in income that have made that happen. We did not just inherit a mess; we inherited their mess.

In fact, the shadow Chancellor personally oversaw the biggest single increase in welfare spending on record during his time as Work and Pensions Secretary. Two weeks ago, the Leader of the Opposition railed against there being 1.5 million more people on universal credit. She was outraged by the figure, as she often is, but there was only one problem: around 80% of the increase was a legacy transfer from old benefits that was decided, organised and begun by the Conservative party. It is no wonder the chair of the UK Statistics Authority wrote to the Leader of the Opposition to correct her. Her letter said of the figures quoted:

“A substantial proportion reflects the ongoing transfer of claimants from legacy benefits to Universal Credit. This process has been a longstanding policy and has been implemented at scale by the Department for Work and Pensions (DWP) since May 2022, predating the current administration.”

When it comes to the Conservatives owning their record, they might as well be giving CV advice to the leader of the Green party.

As the King’s Speech made clear yesterday, reform of the welfare system is under way and will continue. Support must always be there for those who need it, but circling the wagons around the status quo is not the right answer. Nor do I believe that the system can act as a fantasy cashpoint for every cause going; instead, I believe that our task is to recast this system to put work and opportunity at its heart.

--- Later in debate ---

[Steve Darling (Torbay) (LD)]

It is a pleasure to follow the right hon. Member for Walsall and Bloxwich (Valerie Vaz). One would normally imagine that the King’s Speech was an opportunity to press the reset button, but I fear that Labour Members are searching for another reset button at this time. We Liberal Democrats fear that the King’s Speech is somewhat timid in its ambition, and does not drive the change that many of our communities have a thirst for.

I will focus on youth unemployment and our NEETs—those not in education, employment or training. This is a massive challenge for our society. People are three times more likely to be unemployed if they are under the age of 25. To be fair to the Government, the issue was not created on their watch, but during their watch, they built on what happened under the Conservatives, due to the pressures on the system. When I meet young people, I know that they have faced a lethal cocktail, when it comes to being work-ready. There was the covid crisis through much of their educational life; there is the pressure cooker of social media, which eats into their confidence; and finally, there is the cost of living crisis, which young people are not immune from. It may mean not only that they have less opportunity, but that mum or dad face real pressures, so there are some real challenges.

I pay tribute to organisations in the Torquay and Paignton area of Torbay that support young people, such as Eat That Frog, Sound Communities, Doorstep Arts and the South Devon college, which have all benefited from the shared prosperity fund. That ended without a replacement, and the world is therefore a poorer place, particularly for youngsters who had adverse childhood experiences and are on the margins of employment.

As we have seen, the tax on work—the national insurance hike—has really hit opportunities for employment hard. Employment in the hospitality sector has shrivelled, with the loss of more than 100,000 jobs. It is a cold hand on the heart of the west country and our hospitality industry. When I speak to organisations such as Splashdown, a water park in Paignton, they say that they have money to invest, but fear a further economic shock. Sadly, Wild Planet Trust, which managed Paignton zoo for many years, had to pass the zoo over to a Dutch company, because the national insurance hike had a massive impact on its ability to make the figures work. Other businesses across Torbay, whether it is the Livermead House hotel or the outstanding Rock Garden pub and restaurant, tell me that they face real challenges and have had to shrink the number of youngsters they take on just to meet their budgets, partly due to inflation, but also because of the national insurance hikes, so we face some real challenges there.

I say to the Government that we need to think about driving positive changes, because at the moment, it appears that they are papering over the cracks, rather than getting to the root causes of problems in our economy and helping to grow the opportunities for young people across the United Kingdom. I was pleased that the Secretary of State talked about Access to Work, and the Disability Minister often refers to Access to Work as the best kept secret, but the reality is that the system is broken. We are looking at 37 weeks for decisions on Access to Work applications, and people are losing job offers. The No Limits café in Newton Abbot, which served my constituents from Torbay, closed after a lack of liquidity in its finances because of delays in payments. We need to ensure that there are no behind-the-scene cuts to Access to Work through the Government failing to make inflationary increases to what people can claim, as was highlighted by the Disability News Service only last week.

The Liberal Democrats fought the last general election on a pledge to clean up our waters, be they seas or rivers; the cost of living crisis; and the NHS. In Torbay and across the whole of Devon, we are looking at hundreds of redundancies in that service. The argument we regularly hear from the Government is that they have put up national insurance rates in order to invest, but we have had hundreds of millions of pounds of cuts to our services in Devon. That means fewer job opportunities for our people in Devon, which is hitting some of our most deprived communities.

In conclusion, we need to back our communities. We Liberal Democrats believe that nobody should be enslaved by poverty, ignorance and conformity, and we need to set the foundations for supporting communities. However, the communities we really need to work with much more closely are our friends on the other side of the channel; we need to build stronger working relationships with our European partners to grow our economy.