Payments of up to £600 are landing directly in the bank accounts of around 11.5 million UK pensioners for the second year running
Comes as part of extensive Government package helping people of all ages, including recent £300 Cost of Living payments to more than seven million eligible households.
After meeting our pledge to halve inflation, the UK Government this week also confirmed an 8.5 percent increase to the State Pension next year.
Pensioners across the country have started to receive up to £600 to help with energy bills this winter.
Winter Fuel Payments – boosted again this year by an additional £300 per household Pensioner Cost of Living payment – will land in bank accounts over the next two months, the vast majority automatically.
Work and Pensions Secretary Mel Stride said: “We have delivered on our promise to halve inflation and will continue to support people right across the country, including pensioners who may be facing particular challenges over the colder months.
“As well as up to £600 to help our pensioners stay warm this winter, we’re boosting pensions through the Triple Lock – increasing the full rate of the New State Pension by over £900 next year.”
The money will appear in bank statements with the payment reference starting with the customer’s National Insurance number followed by ‘DWP WFP’ for people in Great Britain, or ‘DFC WFP’ for people in Northern Ireland.
The overwhelming majority of Winter Fuel Payments are paid automatically but some people need to make a claim, such as those who qualify but do not receive benefits or the State Pension and have never previously received a Winter Fuel Payment. The payments deliver additional support to pensioners, the majority of whom are on fixed incomes and also are unable to raise their incomes through fixed employment.
The start of the Winter Fuel Payments season comes hot on the heels of the recent £300 Cost of Living payments made by the DWP to more than seven million eligible households across the UK.
This latest payment is the second of up to three Cost of Living Payments being made this financial year. These payments – which are all tax-free and will not have any impact on existing benefit awards – demonstrate the Government’s commitment to supporting low-income families with financial pressures.
Pensioners getting Pension Credit also qualify for this extra support. The average Pension Credit award is now worth £3,900 per year and there is still time for those who are eligible to apply and receive the £300 Cost of Living payment.
This is because an eligible claim for Pension Credit can be backdated by three months provided the entitlement conditions are met throughout that time.
Including measures announced in the Autumn Statement this week, our total commitment to ease cost of living pressures has risen to £104 billion. That includes paying around half the cost of the average energy bill since last October and amounts to an average of £3,700 per household.
• The real pay crisis is intensified and now expected to last 20 years. • The politically charged National Insurance cut makes the smallest dent in the worse squeeze on household incomes since the 1950s. • While the Chancellor has enjoyed higher revenues, he has chosen to play austerity politics rather than back public services on the brink – £20 billion has been taken from public services to fund the meagre tax cut. • An ‘Autumn Budget for growth’ has meant the reduced growth in almost every year of the forecast. • ‘Full expensing’ of capital expenditure is a seriously inefficient way to boost the economy. • In spite of all the claims to the contrary, the Tories are still presiding over worst deterioration in public finances for more than 100 years.
Real wage and household disposable income crisis unended
The forecasts published alongside the statement by the Office for Budget Responsibility (OBR) contained alarming news on real wages. According to the OBR forecasts, real wages are now not set to return to 2008 levels until 2028. The current pay squeeze will hit two decades.
This is a significant downgrade on the March forecast, when wages were returning to 2008 levels by 2026 – two years sooner than it now expects.
The forecast for broader living standards (as measured by real household disposable income per person) remains dire. After already declining in both the 2020/21 and 2022/23 financial years, further falls are expected over the next two.
While in fact a less bad forecast than March, the OBR stress that living standards “are forecast to be 3½ per cent lower in 2024-25 than their pre-pandemic level … this … represents the largest reduction in real living standards since ONS [Office for National Statistics] records began in the 1950s”.
The OBR also put into perspective the 2 per cent cut in National Insurance, reckoning it will boost living standards by around 0.5 per cent at the end of the forecast. This is a minor dent in an immense collapse, and of course as everybody has pointed out only reverses in a small way tax increases at past statements – even on their own terms the government are failing.
Minimum wage
Specifically for those on the minimum wage, the Chancellor has accepted the recommendations of the Low Pay Commission (LPC). This takes the wage floor to £11.44 an hour and extends coverage to everyone aged 21+. This is badly needed and follows pressure from unions and low-pay campaigners. But with prices sky high, and the OBR increasing its inflation forecasts, the minimum wage must be raised to £15 as soon as possible, and extended to all adult workers.
The Low Pay Commission’s recommendations take the minimum wage to 66% of median wages. This is an internationally recognised measure of relative low pay. However, the Chancellor’s claims that he has eliminated low pay should be taken with a pinch of salt. This is a measure of pay distribution which looks at how close low-paid workers are to the median worker. The floor has risen since 2010 but the middle has had no real pay rise over 13 years. The bottom has been catching up, in part, because wages are stagnant for everyone else. The government should set the LPC’s next minimum wage target at 75% of median wages, and this should be delivered alongside a plan for real wage growth for all workers.
Unemployment rise
The OBR has also predicted that unemployment will steadily rise from now until midway through 2025, estimating there will be 275,000 more people in unemployment than at the start of this year. At no point in the OBR forecasts do they predict unemployment will fall below the level at the start of the year.
It is unfair to put it mildly to penalise individuals for an economic climate which is out of their control. The Chancellor decided to support compulsory work placements, but analysis show this punitive policy does not result in an improved employment outcome.
Skills
The Government plans focus largely on reforms coming in for 16-18 year olds, overlooking the skills gap faced by those already in the labour market. On apprenticeships £50m for a 2-year pilot widely misses the mark. In 2021/22, there were approximately 349,200 apprenticeship starts in England – a 31% decline from the pre-Apprenticeship Levy figures of 509,400 starts in 2015/16 (Source: CIPD). The funds are largely directed at male-dominated sectors, according to the Women’s Budget Group. Other measures are recycled and/or small – though the increase to the pitifully low apprenticeship minimum wage is be welcomed.
Little has been done to reverse cuts to adult and further education budgets since 2010, with spending still significantly below where it was when the government took office. Celebrating an uptick in Level 4 apprenticeships just repeats the ‘virtuous cycle’ where those with the highest levels of qualification receive the most investment in their training. Graduates get most of the training as working adults, and almost half of adults from the lowest socio-economic group receive no training at all after leaving school.
Social security
It is a low bar for this Government when they boast that benefits are being uprated in line with September’s rate of inflation, which is standard practice. Though they have severed the link between inflation and the uprating of benefits numerous times since 2010 – which has slashed vital financial support for families.
And while the Local Housing Allowance has been restored to the 30th percentile after it was last frozen in 2020, it will be frozen again and support reduced for ever-increasing rental prices.
There were also significant cuts to benefit entitlements for some people with long term health conditions. They are expected to lose £400 a month compared to current system, and face the threat of sanctions to enter employment.
The rate at which prices are increasing may have slowed, but families are still struggling with the essentials. Over the last two years the cost of energy has increased by 49 percent while food prices have increased by 28 percent.
Energy prices
And energy bills are a glaring omission from this Autumn Statement.
Household energy bills remain 50% higher than they were in the winter of 2021-2022 (approximately £600 higher for an average household). This means that an estimated 6.3 million households are in fuel poverty (spending more than 10% of their income on energy), and more than 1 million households are in extreme fuel poverty (spending 20% or more of their income on energy). (Estimate by Friends of the Earth and National Energy Action as government data are not yet available.)
Energy prices are expected to remain high or increase. Ofgem today raised the domestic energy price cap by 5%, based on wholesale price volatility.
Many employers will also struggle with rising and volatile energy bills. The UK consistently has some of the highest electricity prices for business in Europe, affecting the ability of UK manufacturers to compete internationally. Unions representing manufacturing workers have consistently campaigned alongside employer bodies for measures to rein in excessive and volatile wholesale energy prices – but these issues seem to be far from the list of priorities of the current Government.
Public services and public finances crises continue
As the OBR gently warn, “it is worth dwelling for a moment on something the Chancellor didn’t announce in his Autumn Statement – which is any major change to departmental spending plans despite significantly higher inflation”.
The government has added “just” £5 billion a year in cash terms to departmental budgets, and this means that “the real spending power of these budgets is eroded by around £19 billion” relative to the previous forecast (as on their chart below).
In 2023-24 the increased budget is allocated for public sector pay increases (£3.9 billion for the NHS in 2023-24, and £0.4 and £1.4 billion for other departments in 2023-24 and 2024-25, respectively). Overall, the OBR have departmental spending growing by 0.9 per cent a year in real terms, down from 1.1 per cent at the March Budget.
Given the government’s political priorities on spending, the OBR stress that unprotected departmental spending is projected to fall by between 2.3 and 4.1 per cent a year in real terms from 2025-26. They wryly observe this (austerity) would “present challenges” and cite the Institute for Government’s recent report finding that “performance in eight out of nine major public services has declined since 2010”. Plainly there is no intention to resolve the crisis in public services and public service recruitment. And ultimately
The public finances overall
For the public finances as a whole, the government has enjoyed a momentary windfall – with less bad than expected growth outturn and higher inflation meaning tax gains (especially with tax thresholds not being uprated) outweighing higher interest and other costs. This has been spent on the NI cut and expensing.
But the Chancellor has made hollow boasts about the improved condition of the public finances. The overall management of the economy for 13 years has meant a disastrous failure for them. Immediately less bad GDP outcomes (next section) have meant marginally improved ratios for this statement. But overall the Conservatives have presided over a huge increase in debt from 65 per cent of GDP in 2009-10 to 98 per cent of GDP in the current financial year. This is an unprecedented deterioration relative to all economic cycles for more than a century.
Growth crisis unended
At the end of his speech the chancellor proclaimed an “Autumn Statement for Growth”. But nothing announced yesterday changed the bottom line. While the forecasts reflected ONS revisions to GDP data and a less bad than expected 2022, growth over the next two years is revised steeply down. And on a medium term view the OBR warn:
“we have revised DOWN our estimate of the medium-term potential GROWTH rate of the economy to 1.6 per cent, from 1.8 per cent in March” (our emphasis)
Of the onslaught in policy measures, the most prominent was making permanent the full expensing of business capital investment. The Chancellor chose to disregard OBR analysis showing both precursor measures (the super-deduction and temporary full expensing in the March 2021 and March 2023 Budgets) had a lower impact on investment levels than predicted (see OBR, Economic and Fiscal Outlook, November 2023, pp 33 – 34).
Introducing full expensing is forecast by the OBR to lead to an increase in business investment of £14 billion between now and 2028-29 and to cost £29.5 bn over the same period. This would appear then to be an extremely inefficient means of increasing business investment, reflecting huge ‘deadweight’ effects, whereby businesses gain generous tax relief on investment that would (likely) have taken place anyway.
The OBR estimates that the measure will raise the capital stock by 0.2 per cent by 2028-29 – a positive, but small, and very costly impact.
Pension saving
The chancellor also had high hopes for the role workers’ £2.5tn of pension savings could play in boosting our flagging economy. But while there were some welcome steps such as setting up a new growth fund through the British Business Bank the plans rely mostly on merging pension schemes in ways that are unlikely to be in the interests of their members, and leaning on funds to put more money into global private equity. These measures were also over shadowed by a poorly thought through proposal to upend the workplace pension system. See our fuller commentary here.
Industrial strategy?
As the Chancellor noted, the lack of long-term certainty over policy decisions (including industrial strategy, taxes, and climate commitments) is a drawback to business decisions to invest. But there was no reassurance in the Autumn Statement that the Government would provide that certainty. While reannouncements of investment commitments to support the automotive, advanced manufacturing, and energy sectors – amounting to £4.5 billion are welcome, this represents only a small proportion of the investment requirements of the Biden-style industrial strategy that the UK needs.
Ending the failure
The failure – as Labour have repeatedly identified – is still a failure of growth. The government need to invest in a stronger economy where growth and fairness go hand in hand, where decent pay means workers spend and businesses produce to meet that spending. A virtuous cycle comes when businesses invest in the face of expansion and optimism, and stronger public services re-enforce the upward dynamic. Fairer and sustainable growth will then support the public finances.
Yet the government continues to take us in the wrong direction. Yesterday’s Autumn Statement showed more strongly than ever why it is time for a change.
Autumn Statement ‘ushers in new era of welfare reform’
A ‘bold new vision for welfare’ backed by nearly £30 billion has been set out by Work and Pensions Secretary Mel Stride
Millions of people will benefit from next generation of welfare reforms and extra support for those most in need, announced at Autumn Statement
Benefits increased by 6.7% and pensions by 8.5%, maintaining commitment to seeing the country through cost of living pressures
DWP Secretary Mel Stride heralds new era offering a “brighter future for millions”
The plans offer unprecedented employment and health support to help over a million people, while protecting those in most need from cost of living pressures – including raising pensions and benefits and increasing help with housing costs.
Long term decisions to provide unprecedented help for people to move off welfare and into work were at the heart of the Government’s plan for growth set out at the Autumn Statement.
While unemployment has been almost halved since 2010, the £2.5bn Back to Work plan will help thousands of people with disabilities, long-term health conditions and the long-term unemployed, to move into jobs. This comes alongside new guarantees for those on the highest tier of health benefits around keeping benefit support to cushion those who try work.
The transformative employment programme comes as the Government continues to protect the most vulnerable, delivering a Triple Lock-protected boost for pensioners and raising benefits in line with inflation next year, worth £20bn taken together.
The changes mean the full rate of the new State Pension will go up by £17.35 per week, while families on Universal Credit will be on average £470 better off next year.
Around 1.6 million households will also benefit from an increase to the Local Housing Allowance – and will be around £800 a year better off on average. Worth more than £7bn over five years, this commitment will support low-income families in the private rented sector with rent costs and help prevent homelessness.
Secretary of State for Work and Pensions, Mel Stride MP said: “Work changes lives. With the next generation of welfare reforms, we will help thousands of people to realise their aspirations and move off benefits into work, while continuing to support the most in need.
“We are taking long term decisions that will build a brighter future for millions, offering unprecedented support to open up opportunity and grow the economy, building on our record that has seen almost four million more people in work since 2010.
“Our reforms will remove the barriers to work that we know some people still face, while we’re boosting benefits and pensions to help with cost of living pressures.”
Welfare reforms announced at the Autumn Statement include:
Uprating working age benefits in line with September’s CPI index figure of 6.7%.
Uprating state pensions in line with September’s earnings figure of 8.5%.
Increasing the Local Housing Allowance to cover the 30TH percentile – worth an average of £830 per year.
Expanded jobcentre support including intensive help for those on Universal Credit
Introducing the Chance to Work Guarantee, which will tear down barriers to work for millions of claimants to try work with no fear of reassessment or losing their health benefit top-ups.
Increasing mental health support for jobseekers by expanding NHS Talking Therapies treatment and the Individual Placement and Support programme, supporting almost 500,000 over five years.
Matching 100,000 people per year with existing vacancies and supporting them in that role through Universal Support.
Rolling out WorkWell to support people at risk of falling into long-term unemployment due to sickness or disability.
Reforming the Work Capability Assessment for new health benefit claimants to better reflect the opportunities available in the modern world of work.
Stricter sanctions for people who should be looking for work but aren’t engaging with jobcentre support.
Building on the Mansion House reforms with further steps to improve private pension returns and grow the economy.
Introducing new Government powers to request data from organisations such as banks when accounts are showing signals of fraud and error.
The Government’s ‘radical new plan’ will stem the flow people falling out of work and onto inactivity benefits due to physical or mental health problems, as it takes the long-term decisions to help people realise their dreams to find a job and build a better life.
With this unprecedented level of employment support comes tougher enforcement of sanctions for fit and able people who should be looking for work but aren’t.
Work coaches will use tools to track people’s attendance at jobs fairs and interviews, and close benefit claims of those able to work who have been sanctioned and no longer receiving money after six months.
Taken together, the package will make sure those who are vulnerable or on the lowest incomes are protected, with intensive support to get them back into work, while ensuring fairness to the taxpayer.
Foreign Secretary announces further funding to tackle growing humanitarian crisis in Gaza
On day two of a visit to Israel and the OPTs, Foreign Secretary David Cameron – Lord Cameron of Chipping Norton’ – announces further UK funding to tackle the growing humanitarian crisis in Gaza.
In meetings in Israel, Foreign Secretary pressed to open up greater access for lifesaving support including medical supplies and fuel.
As the fourth UK aircraft of humanitarian aid arrives in Egypt, the UK pledges £30 million additional aid funding for Gaza.
Following a series of meetings with senior Israeli politicians on Thursday, the Foreign Secretary’s talks today will focus on how UK efforts can help alleviate the growing humanitarian crisis in Gaza.
He will also discuss supporting the Palestinian Authority, including through training and capacity building, and look towards a long-term political solution to the crisis.
The Foreign Secretary will also meet aid agencies delivering UK-funded humanitarian support in Gaza.
The Foreign Secretary has announced that the UK will provide a further £30 million in humanitarian aid which will support trusted partners, including UN agencies on the ground, to deliver lifesaving aid to people in Gaza.
It brings to £60 million the additional aid announced by the UK for Palestinian civilians since the crisis started in October.
Foreign Secretary, David Cameron said: “We are hopeful that today will see the release of hostages, and I am urging all parties to continue to work towards the release of every hostage. A pause will also allow access for life-saving aid to the people of Gaza.
“I am proud that a fourth UK flight carrying critical supplies landed in Egypt today, and I can announce new £30m of funding which will be spent on vital aid such as shelter and medical provisions.
“It is vital to protect civilians from harm, and we are urgently looking at all avenues to get aid into Gaza, including land, maritime and air routes.”
Today’s additional funding comes as the fourth UK aircraft carrying humanitarian aid landed in Al Arish, Egypt, for onward transfer to Gaza. The RAF flight carried 23 tonnes of humanitarian aid, including 4,500 blankets and 4,500 sleeping mats for distribution by the United Nations Relief and Works Agency (UNRWA).
Defence Secretary Grant Shapps said: “The RAF continues to deliver on the UK’s commitment to helping those in need by operating flights into the region to provide urgent humanitarian support which will save civilian lives.
“The UK is driving international efforts to support the humanitarian response in Gaza, working closely alongside partners and allies to de-escalate the situation.”
During his visit, the Foreign Secretary continued to urge all parties to make progress on the agreement between Israel and Hamas, brokered by Qatar and Egypt, to allow the release of a number of hostages and a pause in the fighting and ensure the agreement is adhered to in full.
A new Welcome Hub for assisting Ukrainians in Edinburgh and an adjacent warehouse for aid and donations was officially opened yesterday by Council Leader Cammy Day.
The Council Leader was joined by Chief Executive Andrew Kerr, Secretary of State for Scotland Alister Jack, Chair of the Associations of Ukrainians in Great Britain (AUGB) Edinburgh Branch, Hannah Beaton-Hawryluk, Chief Executive of Edinburgh Voluntary Organisations’ Council (EVOC), Bridie Ashrowan, Chief Officer of Volunteer Edinburgh, Paul Wilson, and other key stakeholders.
The Hub is at the Vega Building in Flassches Yard to the west of the city, and was previously based at the NatWest Group’s Gogarburn House. The Hub is the primary entry point for direct arrivals into Scotland of which there have been over 11,000 since February 2022. Volunteers have contributed over 7,000 hours of welcoming work at Edinburgh Airport during this period.
The main Council support team for is now based at the Hub, for the approximately 3,000 Ukrainians (representing up to 900 households), currently in Edinburgh. Over 350 children and young people are in our education system.
This support now represents the shift in focus from triaging new arrivals to offering longer term help and support. From accessing advice on housing, education, employment, and other key service areas to meeting new people and developing social ties, this facility is key.
The Local Employability Partnership is made up of 12 key organisations whose collective efforts have directly supported over 1,200 individuals and helped 75% of displaced Ukrainians move into employment. The main focus is now on upskilling, development and closing the wage gap between qualifications and experience in Ukraine and Scotland.
The aid warehouse is also an integral component of the city’s response. Not only does this allow vital supplies to be delivered to Ukraine but it also provides essentials for the Ukrainian population in Edinburgh.
More information on support for Ukrainians in Edinburgh can be found on our website.
Council Leader Cammy Day said:“Since the first days of Russia’s illegal war against Ukraine, Edinburgh has stood shoulder to shoulder with Ukraine and that solidarity and support remains undiminished.
I”t was fantastic to show the Secretary of State for Scotland, Alister Jack, around our new Welcome Hub and aid warehouse. It was particularly fitting to do so alongside some of the key members of the Edinburgh partnership who have integral to the city’s monumental response to supporting Ukrainians into the Capital. The work that has been undertaken during this period has been nothing short of excellent.
“As we shift our focus from welcoming our Ukrainian guests to helping with settling into their new lives here in Edinburgh, this strength of partnership is as important as ever. I’d like to wholeheartedly thank all our partners and the people of Edinburgh for all their efforts. We’re also very grateful to NatWest Group for allowing us to use Gogarburn House as the first Hub location and for their continued support.
“To our Ukrainian friends currently residing in Edinburgh, I’d like to repeat my message that this city is your home for as long as you require it. We’re continuing to identify long-term housing opportunities for all our residents and will continue to work with the Scottish Government going forward to identify funding opportunities.
“We pride ourselves on being a diverse, welcoming, and cosmopolitan city and our Ukrainian neighbours add much to Edinburgh’s social and cultural fabric.”
Secretary of State for Scotland, Alister Jack said:“It was a huge pleasure today to meet representatives of Edinburgh’s Ukrainian community, third sector and local authority partners.
“This demonstrates the strength of partnership in Edinburgh to support Ukrainians. The Edinburgh welcome hub and aid warehouse is a fantastic initiative, offering support to Ukrainians fleeing the war, supporting Ukrainians to settle here in the longer term, as well as delivering aid to those in Ukraine.
“It is a great example of the voluntary and community sector working in partnership with Edinburgh City Council. The UK Government’s support for our friends in Ukraine is absolute, and I am very pleased that we have been able to offer refuge in Scotland to so many Ukrainians.”
Chair of the Associations of Ukrainians in Great Britain (AUGB) Edinburgh Branch, Hannah Beaton-Hawryluk, said:“Over the last 20 months, our community has grown to over 3,000 people who have sought safety in Edinburgh.
“With the support of partners, volunteers, and external agencies, we’ve been able to expand our work at the Ukrainian Community Centre to provide ongoing support and a safe social space for the community.
“Today was a great opportunity to meet with the Secretary of State to express our gratitude for the support of the UK Government and to press for further support particularly around providing certainty on routes to longer term resettlement which is one of the biggest concerns for our community. We look forward to an ongoing, and open, dialogue with the UK Government.
Bridie Ashrowan, Chief Executive of EVOC said: “Today was a great opportunity to meet with the Secretary of State to highlight the vital work of Edinburgh’s voluntary and community sector, and the ongoing partnership with the City of Edinburgh Council to support Ukrainians seeking safe refuge in the city.
“Since the start of the war in February 2022, Edinburgh’s community, and voluntary sector – with the support of EVOC and Volunteer Edinburgh, the City of Edinburgh Council, and all public partners – have worked closely to mobilise partners.
“This has delivered a range of support services including food provision, mental health services, employability support and cultural experiences. The impact has resulted people getting jobs, learning English, having early mental health support and importantly, experiences of friendship that are incredibly moving to hear about and key to life in a new country after fleeing war.
“Looking ahead, it is essential that community and voluntary sector organisations in Edinburgh are effectively resourced so that they can continue to play a key role in the long term, sustainable integration of the Ukrainian community in Edinburgh – for as long as Ukrainians require to seek safety.
Biggest ever increase to the National Living Wage, worth over £1,800 a year for a full-time worker, fulfils manifesto pledge to end low pay.
Since 2010 the National Living Wage will have doubled in cash terms from around £10,500 to nearly £21,000 a year for a full-time worker.
For the first time, 21-year-olds on the National Living Wage will always earn two-thirds of average earnings.
The Chancellor will deliver a pay rise of more than £1,800 a year for a full-time worker, as he confirms that the National Living Wage will increase by over a pound an hour from April.
The almost 10% pay boost, from £10.42 to £11.44 an hour, is the biggest cash increase in the National Living Wage in more than a decade and fulfils the government’s manifesto pledge to end low pay for those on the National Living Wage.
Eligibility for the National Living Wage will also be extended by reducing the age threshold to 21-year-olds for the first time. A 21-year-old will get a 12.4% increase, from £10.18 this year to £11.44 next year, worth almost £2,300 a year for a full-time worker.
National Minimum wage rates for younger workers will also increase. 18-20-year-olds will also get a wage boost to £8.60 per hour – a rise of £1.11.
The Department for Business and Trade estimate 2.7 million workers will directly benefit from the 2024 National Living Wage increase.
Chancellor of the Exchequer Jeremy Hunt said: “Next April all full-time workers on the National Living Wage will get a pay rise of over £1,800 a year. That will end low pay in this country, delivering on our manifesto promise.
“The National Living Wage has helped halve the number of people on low pay since 2010, making sure work always pays.”
The minimum hourly wage for an apprentice is boosted next year, with an 18-year-old apprentice in an industry like construction seeing their minimum hourly pay increase by over 20%, going from £5.28 to £6.40 an hour.
The National Living Wage was introduced in 2016 and currently sets the minimum hourly pay a person over the age of 23 earns when working. The new rate will now apply to 21- and 22-year-olds, and means that the government has met its ambitious target of lifting the National Living Wage to two-thirds of median earnings by 2024, ending low hourly pay for those on the National Living Wage.
Since 2010, the proportion of workers on low hourly pay has more than halved from 21.3% to 8.9%, supported by increases to the National Living Wage. Personal tax thresholds have been doubled, meaning a working person can now earn £1,000 a month tax-free for the first time.
Bryan Sanderson, Low Pay Commission Chair, said: “The National Living Wage has delivered an improved standard of living to thousands of people who care for our children and elderly, work in farms and shops and at many other essential jobs.
“These efforts over the lifetime of the NLW mean over £9,000 p.a. more to a full time worker without any increase in unemployment.
“This hasn’t been easy for employers, with the economy facing a range of unprecedented challenges in recent years. The high degree of political and economic uncertainty has made assessing and forecasting the performance of the economy, and therefore our task, very difficult. It is a tribute to my fellow Commissioners that we have continued to achieve consensus.
“Our new recommendation of a National Living Wage of £11.44 attempts to steer a path through this uncertainty and achieve the government target of two-thirds of the median wage, an outcome which if accepted would position the U.K. at the forefront of comparable economies.”
Getting more people into work and ensuring work pays is ‘a priority for the UK government’. The Chancellor will set out further measures in today’s Autumn Statement.
The number of 50PLUS Champions helping older workers into work has been doubled in Jobcentres up and down the country, the Minister for Employment has announced.
Network of dedicated 50PLUS Champions across Great Britain is increased ahead of National Older Workers Week
This builds on millions invested to support the over 50s into work as Minister for Employment and B&Q back older workers
The number of 50PLUS Champions helping older workers into work has been doubled in Jobcentres up and down the country, the Minister for Employment has announced.
Ahead of https://www.nationalolderworkersweek.co.uk, 77 50PLUS Champions – up from 37 – are now in place across England, Wales and Scotland, working directly with Jobcentres and employers to remove barriers that are keeping older people out of work.
50PLUS Champions work with jobseekers to change preconceptions about hiring older workers and ensure Jobcentre staff are supporting jobseekers to find roles or opportunities tailored to their skills to deliver for employers.
There are 83,000 more over 50s in work compared to this time last year. The DWP is supporting older jobseekers, with Midlife MOTs both online and in Jobcentres, helping people assess their skills and, make long-term plans for their work, wealth and wellbeing.
The news comes following a recent visit made by the new Minister for Employment, Jo Churchill, to B&Q’s New Malden branch. The company prides itself on having a multi-generational workforce with 35 percent of staff being over 50.
Minister for Employment, Jo Churchill MP said: “I know that work brings benefits to all ages, whether that’s improved wellbeing, making important friendships, or earning more.
“As a Government, we are working hard to get more people into work and tackle inactivity.
“Doubling the number of our 50PLUS Champions means even more jobseekers can access tailored support.
“On this National Older Workers Week, I urge all businesses to step up and put age diversity at the heart of what they do.”
Andy Moat, B&Q’s HR Director added: “We were delighted to recently welcome the new Minister for Employment to B&Q New Malden for her to hear at first hand from some of our older workers the benefits of working.
“B&Q is a very multigenerational workforce, and we believe in creating an environment where people can grow, thrive, and truly be themselves.
“We do this in many ways, including through our Apprenticeship programme, and we have Apprentices aged from 17 to 70 years studying to gain new knowledge and skills to help develop their careers, whilst continuing to earn the same rate of pay as others doing their role.”
While in New Malden, the Minister saw first-hand how the business is supporting the over 50s into work, meeting with older Apprentices who highlighted the impact retraining can have on this age group.
The Government is investing £6 billion to tackle economic inactivity to get more people into work, including older people. This includes £2.5 billion announced this week as part of our Back to Work Plan, an ambitious package of employment support which will keep more people in work by helping them to manage their health conditions.
To mark National Older Workers Week, the DWP is organising numerous events across Great Britain, including jobs fairs in Oldham, Edinburgh, Bath and Newport all specifically targeted at jobseekers who are over 50.
The trial will use innovative screening methods like an MRI scan and see hundreds of thousands of men across the country participating
On International Men’s Day, UK Government joins Prostate Cancer UK to unveil £42 million screening trial to find ways of detecting country’s most common male cancer earlier
Hundreds of thousands of men across the country will participate, with one in ten participants set to be black men who have a much higher prostate cancer risk
NHS England to carry out suite of improvements to men’s health pages online, and first ever Men’s Health Ambassador set to be appointed by government
Thousands of men’s lives could be saved, and their loved ones spared the tragedy of losing someone to cancer, as a major new prostate cancer screening trial is set to get under way in the UK backed by £42 million from the government and Prostate Cancer UK.
The first-of-its-kind trial – called TRANSFORM – will use innovative screening methods like an MRI scan to detect prostate cancer, and it will see hundreds of thousands of men across the country participating.
Prostate cancer is the most common cancer in men in the UK and has no screening programme. It usually has no symptoms until it has grown large and may be more difficult to treat and, sadly, 12,000 men die of it every single year.
A way of effectively screening for prostate cancer could find these men before their cancer spreads and save their lives.
The trial has the potential to see new screening methods give more accurate results than the current blood tests, which can miss some cancers and often suggest prostate cancer when no cancer exists.
Crucially, screening could also spot the disease even when no symptoms are displayed.
Announcing the programme yesterday on Men’s Health Day, Health and Social Care Secretary Victoria Atkins said: “Cancer survival rates continue to improve in the UK, with the disease being diagnosed at an earlier stage more often. But more must be done.
Our hope is that this funding will help to save the lives of thousands more men through advanced screening methods that can catch prostate cancer as early as possible.
Laura Kerby, Chief Executive at Prostate Cancer UK, said: “12,000 men die of prostate cancer each year and it’s the most common cancer that doesn’t have a national screening programme.
“It’s about time that changed. That’s why we’re launching our biggest and most ambitious trial ever. It will finally give us the answers we need to develop a routine testing system and save thousands of men each year.
“Prostate Cancer UK’s unique focus and expertise made us the only organisation that could really deliver this paradigm-shifting trial, and we’re delighted that the government has backed our vision to revolutionise diagnosis.”
1 in 4 black men will develop prostate cancer – double the risk of other men. Therefore, to ensure the trial helps reduce their risk of dying from this disease, 1 in 10 men invited to participate will be black men. Participating men in the screening trial will be aged 50-75, with black men eligible from the lower age range of 45-75.
Men at higher risk of prostate cancer due to age and ethnicity will be recruited through their GP practice and invited to a screening visit.
More than 52,000 men are diagnosed with prostate cancer every year in the UK on average – that’s 144 men every day. Around 490,000 men are currently living with and after prostate cancer.
Sports broadcaster Steve Rider, 73, shared his prostate cancer diagnosis last month: “It was from talking with friends that I explored my risk of prostate cancer, I didn’t have any symptoms and wasn’t expecting to be diagnosed.
“Luckily, my cancer was all contained within the prostate, giving me the opportunity to have significant surgery to deal with it, but for too many men they are diagnosed late.”
£16 million will be invested by the government for the trial through the National Institute of Health Research and Prostate Cancer UK, who have led the development of the trial, will provide £26m. The trial is due to start in Spring 2024 with recruitment likely to begin in Autumn 2024.
The government has already opened 127 community diagnostic centres to offer quicker, more convenient checks outside of hospitals for conditions such as cancer, with over five million additional tests delivered so far.
The Major Conditions Strategy will also consider the prevention, diagnosis, treatment and management of conditions including cancer. The UK is already working with world renowned scientists to deliver new cancer vaccine trials and is growing the size of the specialist workforce.
Daniel Burkey, 58, from Yorkshire, was diagnosed with advanced prostate cancer in June 2021. He said: “Men need prostate cancer screening so that if we’ve got it, we can find out early enough to treat it and get rid of it. I got my diagnosis in my fifties, and the doctor told me the horrible news that it can’t be cured.
“It was an awful shock, and I still find it hard to accept that I’ll always have this disease, but I’m doing everything I can to control the cancer with chemotherapy, radiotherapy and two kinds of hormone therapy; one by injection, one orally.
“Things could have been different if I’d been tested routinely and caught it early enough. If the UK gets prostate cancer screening, so many lives will be saved. Knowing that this trial is going to find a way to do that makes me optimistic for other men.”
Professor Lucy Chappell, Chief Executive of the National Institute for Health and Care Research (NIHR), said: “New research into harnessing innovative screening methods is crucial in finding ways to detect this serious disease earlier, in the race against time to save lives.
“That’s why setting up this landmark new trial in partnership between NIHR and Prostate Cancer UK is so important.
“Together we can aim to generate high quality long-term evidence to benefit men at risk of developing this condition, and to inform those who plan and deliver NHS services of how best to test for the disease.”
In other measures announced yesterday:
Men’s Health Ambassador:
The government will be recruiting for the UK’s first ever Men’s Health Ambassador, we are inviting applications from anyone with an interest and expertise in men’s health.
The successful candidate, to be announced in the coming months, will be responsible for increasing awareness of certain conditions and health needs faced by men. They will help dispel taboos and stigmas and encourage more open conversations among men about their general health.
The role will be open for applications on GOV.UK shortly.
NHS Website Updates:
NHS England will deliver a host of important improvements and updates to pages on its website most used by men.
This will make it easier for men to both find and understand the help and support on offer for certain conditions.
Pages on issues like prostatitis, testicular cancer, and low sperm count will be updated in the coming months.
Men’s Health Task and Finish Group:
The government will establish the first Men’s Health Task and Finish Group.
Membership will include behavioural scientists, men’s health campaigners, experts and academics.
Together, they will help us identify how we can get more men to engage with their health, including a focus on better understanding male access to primary care services, such as GPs, and male uptake of the NHS Health Check.
£4.5 billion for strategic manufacturing sectors including £960 million earmarked for clean energy
Funding will be delivered to eight sectors key to economic growth, energy security, and levelling-up
Part of wider Government support to ensure UK is the best place to start, grow, and invest in manufacturing
The Government has announced £4.5 billion in funding for British manufacturing to increase investment in eight sectors across the UK. The funding will be available from 2025 for five years, providing industry with longer term certainty about their investments.
Over £2 billion has been earmarked for the automotive industry and £975 million for aerospace, supporting the manufacturing, supply chain and development of zero emission vehicles, and investment in energy efficient and zero-carbon aircraft equipment.
Alongside this, the government has committed to £960 million for a Green Industries Growth Accelerator to support clean energy manufacturing, and £520 million for life sciences manufacturing to build resilience for future health emergencies and capitalise on the UK’s world-leading research and development.
With the entire manufacturing sector making up over 43% of all UK exports and employing around 2.6 million people, this funding is targeted at the UK’s strongest, world leading sectors; including where the industry is undergoing fundamental changes to remain at the forefront of the global transition to net zero, like the move to zero emission vehicles in the automotive industry.
The Green Industries Growth Accelerator investment will support the expansion of strong, home-grown, clean energy supply chains across the UK, including carbon capture, utilisation and storage, electricity networks, hydrogen, nuclear and offshore wind. This will enable the UK to seize growth opportunities through the transition to net zero, building on our world-leading decarbonisation track record and strong deployment offer.
The funding forms part of the Prime Minister’s pledge to grow the economy, and his focus on making decisions for the long-term, ensuring the fund doesn’t just focus on the most successful sectors today but looks ahead to how we keep pace internationally and build the UK’s expertise for the industries of the future.
Together with our existing manufacturing support and plans for net zero transition, this package will help unlock private investment, provide certainty to investors, boost energy security, and protect and create jobs. This approach has already mobilised £198 billion in public and private investment in low carbon energy deployment since 2010.
Today’s announcement comes ahead of the second Global Investment Summit later this month, which will showcase innovative companies from across the UK, with significant investment opportunities in sectors such as technology, sustainability, life sciences, advanced manufacturing, and creative industries.
It will also help ensure that the UK remains at the forefront of the global transition to net zero and can seize growth opportunities in the new green economy. The UK remains a world-leader in cutting emissions, having decarbonised faster than any G7 country since 1990 and set out clear plans to meet all our climate targets and deliver energy security.
Chancellor of the Exchequer, Jeremy Hunt, said: “Britain is now the 8th largest manufacturer in the world, recently overtaking France. To build on this success, we are targeting funding to support the sectors where the UK is or could be world-leading.
“Our £4.5 billion of funding will leverage many times that from the private sector, and in turn will grow our economy, create more skilled, higher-paid jobs in new industries that will be built to last.”
Business and Trade Secretary Kemi Badenoch said: “The UK is a global hub for advanced manufacturing, with world-leading automotive, aerospace and maritime sectors.
“This package builds on recent investment wins, such as the £4bn gigafactory, and the £600m invested to build the next generation of electric Minis, and ensures that the government can continue to help create jobs, grow the economy, and secure the future of great British manufacturing.”
Energy Security and Net Zero Secretary Claire Coutinho said: “Today we are announcing nearly £1bn to back our green industries.
“While we’ve already attracted £200bn in low carbon investment since 2010, with another £100bn expected by 2030, this will unlock even more. We have long been energy pioneers in advanced manufacturing, and this will allow us to carry on that great British tradition.”
The Government has also published its response to Professor Dame Angela McLean’s review of the role that regulation and standards can play in driving innovation and growth in advanced manufacturing.
The Government accepts all 14 recommendations in the industry expert-backed report which builds on the UK’s role as a global leader in setting industrial standards and sets out how, with the right regulations, advanced manufacturing processes can enhance safety and support the drive to net zero and a more sustainable economy.
Among the recommendations accepted is to accelerate the deployment of digital twins, which enables companies to create accurate digital replicas of the full manufacturing process. Used across a range of sectors, digital twins have seen significant uptake in the automotive sector including car production where they offer a transformative approach to product development, manufacturing and maintenance, helping firms test how to fix problems or make processes more efficient.
To boost growth in small and medium sized manufacturing businesses more widely, it has also been announced today that the Government will expand the Made Smarter Adoption programme to all English regions in 2025 before working with the Devolved Administrations to explore making the programme UK-wide from 2026/7.
The programme helps small and medium sized manufacturing companies to use advanced digital technologies which can reduce carbon emissions and drive-up productivity, and its expansion will also involve inclusion of digital internships.
Stephen Phipson, CEO of Make UK, the manufacturers’ organisation said: “Make UK has long campaigned for Made Smarter to be a fully national scheme so that all SME manufacturers can benefit from the expertise the programme delivers and we are delighted at today’s decision from Government to commit to a national rollout.
“Made Smarter has already transformed thousands of companies in the North East, North West, West Midlands and Yorkshire & the Humber and now it can help turbo-charge industrial digitalisation in SMEs across the whole of the country.
“The end-to-end specialist support the programme delivers has successfully helped smaller businesses dramatically boost productivity, improve energy efficiency, drive growth, upskill roles and deliver new jobs in digital skills to create workforces of the future which will allow Britain’s smaller manufacturers to continue to grow and remain globally competitive.”
Additionally, the Government yesterday committed to extend the Connected and Automated Mobility Research and Development programme with up to £150 million of funding between 2025/6 and 2029/30. This will help the UK secure first-mover advantage in the deployment of self-driving vehicles and services.
The UK’s first Battery Strategy is also expected to be published next week, which will outline the Government’s activity to achieve a globally competitive battery supply chain in the UK by 2030 that supports economic prosperity and the Net Zero transition.
They have also set out their plan to launch a Hydrogen industry taskforce, delivered in partnership with the Hydrogen Innovation Initiative and Innovate UK, supporting our ambition to maximise investment opportunities for UK manufacturing of hydrogen propulsion systems.
The Government will set out more about its offer to the manufacturing sector next week with the publication of the Advanced Manufacturing Plan.
Manufacturing stakeholders react to the £4.5 billion in funding announced today for British manufacturing to increase investment in eight sectors across the UK:
Kevin Craven, Chief Executive, ADS Group said: “On behalf of industry, ADS is very pleased to welcome the measures announced by the UK Government to support UK aerospace, re-affirming long-term backing for our world-leading advanced manufacturing sector.
“The UK’s aerospace, defence, security, and space sectors are powerhouses of growth, hubs of ground-breaking innovation, and pioneers of the UK’s advanced manufacturing capability.
“Set against a backdrop of increasing global competition, the continued commitment towards aerospace R&D is significant and will provide a boost to continued investment in innovation and advanced manufacturing in the UK. This is a very timely intervention given the growing pace of aerospace recovery, huge aircraft order backlog and industries’ continued commitment to net zero.”
John Harrison, Chairman, Airbus UK and General Counsel, Airbus said: “Airbus welcomes the funding earmarked for aerospace and advanced manufacturing which offers greater certainty for long-term investment in sustainable aviation and highly skilled jobs here in the UK.
“This is positive for the UK economy both in terms of R&D investment today, as well as securing future growth”
Mike Hawes, Chief Executive, The Society of Motor Manufacturers and Traders (SMMT) said: “Today’s announcement is an unequivocal vote of confidence in the UK’s critical automotive industry.
“Coming on the back of almost £20 billion committed by the sector in next generation plants and technologies this year alone, it is indicative of the scale of investment such support can leverage and the result of substantial collaboration between Government and the industry.
“This additional Government investment reflects the fact the UK automotive sector has the talent, the innovation and the determination necessary to thrive in the face of fierce global competition. It will deliver benefits not just for the automotive sector but for the whole country in terms of growth, high value jobs and productivity. It also sends a powerful signal that the UK is open for business.”
Richard Torbett, Chief Executive, the Association of the British Pharmaceutical Industry (ABPI) said: “We’ve long believed that the UK’s has the potential to be a world leader in advanced and sustainable medicines manufacturing.
“This £520 million will supercharge UK life sciences manufacturing, combatting the increasing international competition to attract major manufacturing investment. Added to our existing strengths and technical expertise in manufacturing innovation, today’s announcement is a major step forward in delivering on our shared ambitions for long term growth.”
Dan McGrail, Chief Executive, RenewableUK’s said: “At a time when international competition for investment in clean technology manufacturing is fierce, the Chancellor is right to take a more proactive approach to stimulate green industrial growth.
“The UK’s leadership in areas like offshore wind has given us a strong foundation to build on, with supply chain companies already in place across the country employing thousands of workers. But with the global market set to skyrocket in the years ahead, we should be looking to capture as much of this multi-billion pound opportunity as we can through a more strategic approach to building the UK’s manufacturing base.
“The Chancellor has been clear that the Green Industries Growth Accelerator is for strategic industries, targeted to unlock maximum private investment where the UK can be competitive – and there couldn’t be a better fit for that than offshore wind and renewables.
“With the right support, the likes of which we’ve seen from Government today, industry estimates that the offshore wind supply chain alone could boost the UK’s economy by £92bn by 2040. The sector is working to develop an Industrial Growth Plan which will set out how we can capture this opportunity to boost our energy security, grow our domestic supply chain and provide affordable power to consumers”.
Brian Holliday, managing director at Siemens Digital Industries UK, and co-chair of Made Smarter, said: “Today’s announcement clearly says that UK manufacturing matters. It represents a tremendous investment boost for our makers that will enable the confidence to invest in innovation, productivity and sustainability.
“Key sectors benefit but so does the long tail of small and medium firms which is really important to directly address our recent challenges of weak overall productivity and investment.
“The business benefits of digitalisation are now clear, while being an enabler for industrial decarbonisation too – the package of measures announced in bolstering Made Smarter, targeted regulatory reform and sector support, along with our world-class Catapults and Universities now makes the UK one of the best countries on the planet to sustainably design, make and export goods.“
Redirected HS2 funding to resurface more than 5,000 miles of road across England
driving to become smoother, safer and easier with £8.3 billion of redirected HS2 funding, enough to resurface over 5,000 miles of road
long-term plan to mend roads across the country, saving motorists up to £440 on vehicle repairs
biggest-ever uplift in funding for local road improvements thanks to funding from government’s £36 billion Network North transport plan
Millions of people will enjoy smoother, safer and faster road journeys thanks to the biggest-ever road resurfacing programme to improve local roads.
Today (17 November 2023), Transport Secretary Mark Harper has set out the allocations of an £8.3 billion long-term plan, enough to resurface over 5,000 miles of road across the country over the next 11 years. It’s one of the key cornerstones of Network North to improve journeys for all.
Across England, local highway authorities will receive £150 million this financial year, followed by a further £150 million for 2024/2025, with the rest of the funding allocated through to 2034.
Each local authority can use its share of the £8.3 billion to identify what local roads are in most need of repair and deliver immediate improvements for communities and residents. This is divided as:
£3.3 billion for local authorities in the North West, North East and Yorkshire and the Humber
£2.2 billion for local authorities in the West Midlands and East Midlands
£2.8 billion for local authorities in the East of England, South East, South West and, for the first time in 8 years, London
The UK Government has already confirmed £5.5 billion up until 2024/25, for England outside London, which includes the £200 million announced by the Chancellor at the Budget in March. Today’s £8.3 billion nationwide boost comes on top of that and extends until 2034, providing long-term certainty to local authorities and helping to prevent potholes from coming back in the future.
The funding also comes on top of the local transport, road and rail budgets allocated at the last Spending Review and in addition to what local authorities were already expecting for the next decade.
Prime Minister, Rishi Sunak, said: “For too long politicians have shied away from taking the right long-term decisions to make life easier for hardworking families – tackling the scourge of potholes being a prime example.
“Well-maintained road surfaces could save drivers up to £440 each in expensive vehicle repairs, helping motorists keep more of the cash in their pocket.
“This unprecedented £8.3 billion investment will pave the road for better and safer journeys for millions of people across the country and put an end to the blight of nuisance potholes.”
Transport Secretary, Mark Harper, said: “Most people travel by road and potholes can cause misery for motorists, from expensive vehicle repairs to bumpy, slow and dangerous journeys. Our £8.3 billion boost to repair roads across the country shows that we’re on the side of drivers.
“Today’s biggest-ever funding uplift for local road improvements is a victory for all road users, who will enjoy smoother, faster and safer trips – as we use redirected HS2 funding to make the right long-term decisions for a brighter future.”
According to the RAC, smoother, well-maintained road surfaces could save drivers up to £440 each in expensive vehicle repairs from pothole damage, helping motorists keep more of the cash in their pocket.
This £8.3 billion boost is particularly important when considering that, according to a survey from the AA, fixing potholes and investing in roads maintenance is a priority for 96% of drivers. These funds can also help boost road safety and encourage active travel, as smoother road surfaces will make it safer and easier for cyclists to use roads with greater confidence.
RAC head of policy, Simon Williams, said: “Drivers’ biggest bugbear of all is the poor condition of local roads, so the fact the government has found a significant additional pot of revenue should give councils the certainty of funding they need to plan proper long-term road maintenance, something we have been calling for many years.
“We hope local authorities will use the money in the most effective way possible by resurfacing the very worst roads, keeping those in reasonable condition in better states for longer through surface dressing and filling potholes as permanently as possible wherever necessary.
“This should in time go a considerable way to bringing our roads back to a fit-for-purpose state and saving drivers hundreds of pounds in the process from not having to fork out for frustrating repairs to their vehicles.”
To increase transparency and ensure the £8.3 billion leads to an increase in the number of roads being resurfaced, local authorities will be required to publish information on their websites on a regular basis explaining how they are spending the funding in their area.
The measure is a key part of the UK Government’s Network North plan, with money redirected from HS2 instead going to improve the daily transport connections that matter most to people.
It builds on tough regulations announced in April this year to crack down on utility companies causing pothole pain with botched streetworks, through stricter inspections and costs for the worst offenders – backed by further measures in our Plan for drivers announced just last month.
These include £70 million to keep traffic flowing, updating 20mph zone guidance for England to help prevent inappropriate blanket use and measures to speed up the rollout of electric vehicle charging.
Edmund King OBE, AA president, said: “Perilous roads blighted by potholes are the number one concern for drivers and a major issue for bikers, cyclists and pedestrians.
“So far this year, the AA has attended more than 450,000 pothole-related breakdowns. The damage caused can be a huge financial burden for drivers but is also a major safety risk for those on 2 wheels.
“The £8.3 billion plan can make a considerable difference in bringing our roads back to the standards, which road users expect, especially if councils use the cash efficiently to resurface our streets. As well as safer roads, eliminating potholes gives confidence to people wanting to cycle and instils pride of place within local communities.”
Network North will see £36 billion invested in hundreds of transport projects and initiatives across the country, and includes the extension of the £2 bus fare cap in England to the end of December 2024, as well as over £1 billion to improve bus journeys in the North and the Midlands.
Rick Green, Chair of the Asphalt Industry Alliance, said: “This additional funding is good news for local authorities in England and is much needed to help them tackle the backlog of repairs.
“We have long been calling for surety of funding over the long-term and the fact that the DfT has committed to this money being available over the next 11 years should allow highways teams to implement more efficient works to improve local road conditions and enhance the resilience of the network once they have details of their allocation.
“This long-term investment will also help give the asphalt supply chain confidence to further invest in plant upgrades, materials innovation and technical advancements to support the development and delivery of lower carbon roads in line with the government’s net zero ambitions.”
Motor expert, Louise Thomas at Confused.com car insurance comments: “With temperatures dropping and rainfall at extreme highs at the moment, it’s likely that we’ll see more potholes appearing on UK roads. Potholes can be dangerous for road users, and can also cause unwanted damage to cars, leading to repair costs.
“While the prime ministers announcement could benefit millions of drivers, these changes won’t happen overnight. Our research reveals that for those who have had to pay for car repairs due to potholes, the average cost of repair was £174. And with the cost of living continuing to remain high this winter, added costs like this can be a continuous challenge and annoyance for many.
“Drivers can make a claim to help reduce how much they have to pay out for their repairs. And there are some easy steps to make a claim. They include:
1. Check for damage and gather evidence with clear photos or videos
2. Report the pothole to the local council
3. Ask a mechanic to confirm the damage and get a quote for the repair
4. Submit the claim to your insurer
“The new funding should mean less drivers will be affected by pothole damage over time. But if a claim does need to be made, our tips on how to make a pothole claim can help drivers through this process. That’s the case even if the claim is rejected.”
“But our message is clear: if you are fit, if you refuse to work, if you are taking taxpayers for a ride – we will take your benefits away.”
Changes are part of the new Back to Work Plan which will help up to 1,100,000 people with long-term health conditions, disabilities or long-term unemployed to look for and stay in work.
Additional support comes alongside tougher sanctions for people who don’t look for work, as part of the next generation of welfare reforms.
Includes exploring reforms of the fit note system, expansion of available treatment and employment support, and formal launch of the WorkWell service to help people start, stay and succeed in work.
The Chancellor Jeremy Hunt and the Secretary of State for Work and Pensions Mel Stride will unveil their Back to Work Plan– a package of employment focused support that will help people stay healthy, get off benefits and move into work – as part of the Autumn Statement.
Building on the ambitious £7 billion employment package from Spring Budget the Chancellor is using his Autumn Statement to outline a new Back to Work Plan, which will expand the employment support and treatment available and reform the ways that people with disabilities or health conditions interact with the state.
Getting more people into work and ensuring work pays remains a key priority for the government. It is important for growing the UK economy, managing inflation, controlling spending, and improving living standards. Getting more people into good jobs is also good for those individuals and the best route out of poverty.
The government is boosting four key programmes – NHS Talking Therapies, Individual Placement and Support, Restart and Universal Support – to benefit up to 1.1 million people over the next five years and help those with mental or physical health conditions stay in or find work.
The new WorkWell service as announced at Spring Budget and delivered by the Departments for Work and Pensions and Health and Social Care is also being formally launched today and will support almost 60,000 long-term sick or disabled people to start, stay and succeed in work once rolled out in approximately 15 areas across England.
The prospectus that will be launched in the coming weeks will provide information for all Integrated Care Systems across England to develop their localised work and health strategy.
Ministers are also planning to trial reforms to the fit note process to make it easier and quicker for people to get specialised work and health support, with improved triaging and signposting. Since the pandemic the number of people inactive in the UK due to long-term sickness or disability has risen by almost half a million to a record high of 2.6 million, with mental health, musculoskeletal conditions and heart disease being some of the main causes.
Stricter benefit sanctions will also be enforced by the Department for Work and Pensions for people who are able to work but refuse to engage with their Jobcentre or take on work offered to them. Benefit claimants who continue to refuse to engage with the Jobcentre will face having their claim closed. The latest published data shows that there were 300,000 people who had been unemployed for over a year in the three months to July.
The announcement today forms part of wider plans to grow the economy expected in the Autumn Statement on Wednesday 22 November. The Chancellor is set to reveal a raft of changes to get the UK economy growing including getting people back into work.
Chancellor of the Exchequer, Jeremy Hunt, said:“We’re serious about growing our economy and that means we must address the rise in people who aren’t looking for work – especially because we know so many of them want to and with almost a million vacancies in the jobs market the opportunities are there.
“These changes mean there’s help and support for everyone – but for those who refuse it, there are consequences too. Anyone choosing to coast on the hard work of taxpayers will lose their benefits.”
Secretary of State for Work and Pensions, Mel Stride, said:“We are rolling out the next generation of welfare reforms to help more people start, stay and succeed in work. We know the positive impact work can have, not just on our finances, but our health and wellbeing too.
“So we are expanding the voluntary support for people with health conditions and disabilities, including our flagship Universal Support programme.
“But our message is clear: if you are fit, if you refuse to work, if you are taking taxpayers for a ride – we will take your benefits away.”
The plans announced today set out how the government will tackle long-term unemployment by supporting Universal Credit claimants to find work while strengthening work search requirements for job seekers through all stages of their Universal Credit claim.
As a result of these reforms, no claimant should reach 18 months of unemployment in receipt of their full benefits if they have not taken every reasonable step to comply with Jobcentre support.
The plans to tackle long-term unemployment include:
Testing Additional Jobcentre Support in England and Scotland – testing how intensive support can help claimants into work who remain unemployed or on low earnings after 7 weeks into their Universal Credit claim.
Extending and expanding the Restart scheme in England and Wales for 2 years – expanding tailored, intensive support to people who have been on Universal Credit for more than 6 months rather than 9, helping them to tackle barriers to entering employment through coaching, CV and interview skills, and training. The scheme will be extended for two years until June 2026.
Introducing a claimant review point – Universal Credit claimants who are still unemployed after the 12-month Restart programme will take part in a claimant review point: a new process whereby a work coach will decide what further work search conditions or employment pathways would best support a claimant into work. If a claimant refuses to accept these new conditions without good reason, their Universal Credit claim will be closed.
Rolling out mandatory work placement trials – through the claimant review point, claimants who have not yet moved into work by the end of Restart will be required to accept a job or to undertake time-limited work experience or other intensive activity to improve their employability prospects. Failure to do so at this stage will lead to immediate sanction, with the full removal of the Universal Credit standard allowance.
Stricter sanctions for people who should be looking for work but aren’t – including:
targeting disengaged claimants by closing the claims of individuals on an open-ended sanction for over six months and solely eligible for the Universal Credit standard allowance, ending their access to additional benefits such as free prescriptions and legal aid;
rooting out fraud and error using the government’s Targeted Case Review to review the Universal Credit claims of disengaged claimants on an open-ended sanction for over eight weeks, ensuring they receive the right entitlement;
digital tools to track claimants’ attendance at job fairs and interviews.
Plans set out also include expanding key health and employment programmes, to benefit over half a million people over the next five years and help those with mental health conditions stay in or find work:
NHS Talking Therapies – increasing the number of people benefitting from courses of mental health treatment by an additional 384,000 people over the next five years and increasing the number of sessions available.
NHS Talking Therapies provides evidence based psychological therapies including Cognitive Behavioural Therapy (CBT), for treatment of mild and moderate mental health conditions such as depression and anxiety disorders.
Individual Placement and Support (IPS) – aiming to help an additional 100,000 people with severe mental illness to find and keep jobs over the next five years. IPS is an employment support programme integrated in community mental health services. IPS employment specialists:
Work with people accessing the service to find them employment that matches their aims, interests and skills, and offer continued support once they are in post.
Integrate with the mental health team to support the individual with any issues that affect their work and recovery.
Build relationships with employers to negotiate job opportunities.
Universal Support in England and Wales – matching 100,000 people per year with existing vacancies and supporting them in their new role, an increase on the 50,000 people outlined at Spring Budget, also helping people with disabilities and from vulnerable groups.
Participants will access up to 12 months of personalised ‘place and train’ support. The individual will be supported by a dedicated keyworker who will help the participant find and keep a job, with up to £4,000 of funding available to provide each participant with training, help to manage health conditions or help for employers to make necessary accommodations to the person’s needs.
WorkWell – The service announced at Spring Budget 2023 is being formally launched to Integrated Care Systems across England and will help support people at risk of falling into long-term unemployment due to sickness or disability, through integrated work and health support. Integrated Care Systems across England will be supported to develop a localised work and health strategy, and then services will be provided in approximately 15 pilot areas.
Secretary of State for Health and Social Care, Victoria Atkins, said:“We know that tailored work and health support initiatives can help break down the kinds of barriers that can make finding and staying in a job more difficult for those with mental health conditions.
“Backing them with further investment means they’re more widely available, enables personalised help and will get thousands back to work by overcoming any issues that may be preventing them from fulfilling their career potential.”
Kate Shoesmith, Recruitment and Employment Confederation (REC) Deputy Chief Executive, said:“Today’s announcements will help the Restart scheme keep making a real difference to people’s work and life chances.
“It contributes to efforts to overcome our labour and skills shortages and to further growing our economy. Bringing public and private employment services together is vital to get people into work and not look back.
“Our own award-winning Restart scheme, which sees recruiters work with employability services provider Maximus, has helped place 1700 long-term unemployed people into work since 2021.”
