Getting Britain Working
A statement from Callum Anderson MP on welfare reform
Today, the Work and Pensions Secretary Liz Kendall MP announced a set of critical reforms to the UK's working-age benefits system.
I know this announcement has stirred considerable media speculation, and I have heard from many constituents from across the towns, villages and city that make up the Buckingham and Bletchley constituency who have expressed understandable concerns about any potential changes.
As someone who grew up in a low income household, I know how crucial a role our social security system must play in delivering dignity to people and their families – especially when they need it most.
But I also know how our social security system has, too often and often inadvertently, failed people – be they the most vulnerable in our communities, or those who just need a helping hand back into the workplace.
I want to assure you that I and your Labour Government want to do whatever it takes to not only enable everyone who lives in Britain to take control of their lives and live the life they have imagined for themselves and their family. I can also assure you that we will not penalise those who genuinely cannot work because of ill health.
Responsibility and opportunity form the pillars of my approach to work. Those who can work should – every one of us needs a purpose to get up in the morning, a goal to achieve.
Government also has a crucial role to play in providing the right level of support and incentives to ensure people can make that a reality. It should also work with business to ensure those opportunities exist in the places they live.
The current system is broken
As I see it, the current system is not working. Maintaining the status quo is not an option. The Conservatives left us with a social security system that is not fit for purpose and fails too many people. The statistics paint a troubling picture:
Three million people are out of work due to health conditions.
One in eight young people are neither in work, education, nor training.
NHS waiting lists have reached 7.6 million in England under the Conservatives' watch.
We have one of the highest levels of working-age inactivity due to ill health in Western Europe.
The UK is the only major economy whose employment rate has not recovered since the pandemic.
The welfare system as it stands is not supporting people in the right way, and without changes costs are set to rise by almost £80 billion by 2030. We have to act.
Our plan to fix the system
Our Labour Government’s measures form part of our longer term plan to fix the system which is rooted in the belief that people deserve the opportunity to work and contribute to society.
1. Investing in work, health, and skills support. We will invest an additional £1 billion annually through a new ‘Pathways to Work’ programme. This will be one of the largest ever investments in support for sick and disabled people, helping them access work opportunities.
2. Rebalancing Universal Credit. We will reform Universal Credit, making key adjustments to ensure it works better for those who need it most. This includes increasing the standard allowance above inflation, which will give an additional £775 per year for both new and existing claimants by 2029/30. We will also introduce a new premium for people with severe, lifelong health conditions who will never be able to work.
3. Scrapping the Work Capability Assessment (WCA): The WCA has been a flawed tool for assessing people’s ability to work, often leaving individuals feeling dehumanised and misunderstood. It categorises people as either ‘can’ or ‘can’t’ work, but this doesn’t reflect the reality of fluctuating health conditions. That’s why we’re scrapping this assessment and focussing on offering people support tailored to their needs.
4. Reinstating reassessments and face-to-face support. While we phase out the WCA, we will reinstate reassessments where necessary and ensure that they are done in person whenever possible. This will provide a more personal, human approach, ensuring that people’s current circumstances are properly understood.
5. Introducing the Right to Try. People should have the opportunity to try work without fear of losing their benefits. We will introduce a "right to try" policy, ensuring that taking on work will never result in someone being called for reassessment, giving people the confidence to explore employment opportunities.
6. Youth Guarantee and Health Top-Up reform. We will consult on delaying access to the health top-up in Universal Credit until the age of 22, allowing us to reinvest those savings into work support and training. This will help young people build the skills and experience they need to enter the workforce.
7. Introducing Unemployment Insurance. We will introduce Unemployment Insurance to provide a higher rate of benefit for those who fall out of work, helping them get back on their feet quickly and effectively.
8. Supporting employers. Employers will receive support to recruit and retain disabled people and those with health conditions. Through the “Keep Britain Working” review and long-term reform of Access to Work, we will ensure that people with health conditions and disabilities can access personalised support to thrive in the workplace.
9. Focussing on aspirations. We will increase engagement with people about their aspirations and the support available to help them. This will ensure that everyone is empowered to make informed decisions about their work prospects and wellbeing.
10. Reforming the Personal Independence Payment (PIP). We’re refocussing PIP to support those with the greatest needs. People who need significant assistance with day-to-day tasks will continue to receive support, while those with lower-level needs will be reassessed and potentially removed from PIP in the future.
11. Safeguarding overhaul We will improve safeguarding practices within the benefits system to ensure that all vulnerable people are properly supported. This will include reviewing PIP assessments in consultation with disabled people and their organisations to make sure our system is fair and transparent.
It’s time for a fairer, more effective welfare system which supports everyone
