Commons Sense

House of Commons · Ministers' Questions

Economic Inactivity

Tuesday 21 March 2023 · 3 questions

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Answered 0 Partly answered 3 Not answered 0

Key points

  • Minister highlighted the impact of reducing economic inactivity, citing a comparison with Holland where 2.7 million more people could be employed.
  • Chloe Smith praised measures in the Budget, specifically mentioning the pensions lifetime allowance changes.
  • Meg Hillier raised concerns about housing affordability impacting work stability for constituents in London.

Topics (select to filter)

Questions & Answers

Q1 Chloe Smith Con
Economy
Context

The question stems from the need to address high levels of economic inactivity, which is affecting employment rates and filling job vacancies.

Question

What fiscal steps are being taken to help reduce economic inactivity?

Answer from Jeremy Hunt

If we had the same economic inactivity rate as Holland, there would be 2.7 million more people in work, filling every vacancy in the economy nearly three times over. That is why we focused on the issue in the Budget.

Partly answered

Not addressed: Specific fiscal steps not detailed

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Q2 Chloe Smith Con
Benefits & Welfare
Context

The question arises from the need to understand the upcoming state pension age review and its implications.

Question

I thank my right hon. Friend for that answer, and for the measures he set out in the Budget. I support the fiscal measures he has taken regarding the pensions lifetime allowance, which doctors in Norwich tell me will enable them to deliver more appointments and more operations. Can I go on to ask him, though, what he expects to see in the forthcoming state pension age review?

Answer from Jeremy Hunt

I thank my right hon. Friend for asking that question, and for all the work she has done in the Department for Work and Pensions on economic inactivity. As she knows, there is an ongoing statutory Government review of the state pension age, and that review will need to carefully balance important factors, including fiscal sustainability, the economic context, the latest life expectancy data, and fairness to both pensioners and taxpayers.

Partly answered

Not addressed: Specific expectations not detailed

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Q3 Meg Hillier Labour (Co-op) Hackney South and Shoreditch
Economy Housing
Context

The question addresses the need for stable, affordable housing as a key factor in promoting economic activity.

Question

One of the key ways to promote economic activity is to make sure that people have a stable, affordable roof over their head. Only last week a constituent visited me who cannot earn enough to be able to afford to rent privately in London, so he is restricted in how much he can work. Surely, if the Chancellor believes in growth, he must see the common sense in investing in social housing?

Answer from Jeremy Hunt

I do, but I also point out to the hon. Lady that we took a range of other measures in the Budget that will help such people, including increasing the help that we give them to find appropriate work, and helping those who have a long-term sickness or disability to get the support they need to get back into work.

Partly answered

Not addressed: Commitment to social housing investment not provided

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