Commons Sense

House of Commons · Ministers' Questions

Budget 2024: Unemployment

Monday 16 December 2024 · 7 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 2 Not answered 0

Key points

  • The Office for Budget Responsibility forecasts unemployment to fall to 4.1% next year and remain low until 2029.
  • The Minister highlighted the presence of nearly 1 million young people out of work or training, attributing this to the previous administration's policies.
  • The Minister emphasized the importance of the youth guarantee initiative as part of the "Get Britain Working" plan.

Topics (select to filter)

Questions & Answers

Q1 Neil Shastri-Hurst Con Solihull West and Shirley
Economy Employment
Context

The question follows the announcement of the Autumn Budget 2024, which is expected to have implications for employment levels. The MP is seeking a direct assessment of how these policies will affect unemployment rates.

Question

What assessment has she made of the potential impact of the Autumn Budget 2024 on levels of unemployment?

Answer from Alison McGovern

The Office for Budget Responsibility forecasts that unemployment will fall to 4.1% next year and remain low until 2029. We are taking action to support jobs and growth, and to transform employment support to get Britain working.

Partly answered

Not addressed: Specific question about current unemployment rates since the budget announcement was not directly addressed; only forecast was provided.

How: Forecast Rather Than Current Status

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Q2 Neil Shastri-Hurst Con Solihull West and Shirley
Economy Employment
Context

Following the initial question about potential impacts of the budget on unemployment, the MP seeks clarification on whether unemployment rates have increased or decreased since the Autumn Budget announcement.

Question

Will the Minister answer a simple question: since the Budget, have unemployment rates gone up or down?

Answer from Alison McGovern

I have just given the OBR's assessment. It is worth noting that there are still a significant number of vacancies in the economy. We are determined that the Department for Work and Pensions will be reformed to serve employers better, so that they can fill those vacancies.

Partly answered

Not addressed: Specific current unemployment rates since budget announcement were not provided; only forecast was given.

How: Forecast Rather Than Current Status

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Q3 Deirdre Costigan Lab Ealing Southall
Employment Benefits & Welfare
Context

Disabled individuals in the MP's constituency are facing employment challenges due to lack of reasonable accommodations from employers. The question seeks action on this issue.

Question

Will the Minister consider strengthening the right to reasonable adjustments, so that workers receive a response within a specified number of weeks?

Answer from Alison McGovern

I thank my hon. Friend for her important question. I know she met my colleague the Minister for Social Security and Disability recently, and I am sure that their conversations were productive on this important point.

Not addressed: Specific request to strengthen right to reasonable adjustments was not addressed; instead response referred to previous meetings.

How: Referring To Past Meetings

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Q4 Jerome Mayhew Con Broadland and Fakenham
Economy Employment
Context

There is concern among businesses in the MP's constituency about potential adverse effects on employment for young people due to recent increases in the national minimum wage.

Question

Does the Minister recognise that issue, and what will she do about it?

Answer from Alison McGovern

Anybody who sees that, in the British economy, there are nearly 1 million young people out of work or training—not doing anything—would say that is a dreadful legacy left by the previous Administration. That is why the youth guarantee is at the heart of our “Get Britain Working” plan.

Not addressed: Specific question regarding reduction in hiring due to wage increases was not addressed; instead, government's broader employment initiatives were highlighted.

How: Changing Subject

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Q5 Jeevun Sandher Lab Loughborough
Education Employment
Context

There is a rising trend in youth unemployment and poor health among young people who have not graduated from university, affecting their job prospects.

Question

What are the Government and the Department doing to give young people the skills and the health support that they need to get good, well-paying jobs?

Answer from Alison McGovern

That question demonstrates the quality analysis I would expect from recently engaged economists on the Labour Benches. The Minister for Skills and I have been working closely on the youth guarantee, because we know that it is only by colleges and jobcentres working in hand in hand that we will get young people the skills that they need to succeed.

Not addressed: Specific question regarding support for young non-graduates was not directly answered; instead, government's youth guarantee initiative was highlighted without specifics.

How: Changing Subject

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Q6 Helen Whately Con Faversham and Mid Kent
Employment Benefits & Welfare
Context

The Labour Party previously committed to an employment rate target of 80%, but recent language suggests a shift in commitment from 'target' to 'ambition'. The MP seeks clarity on the current government stance.

Question

Are the Government still committed to the 80% employment target, or will that be another broken Labour promise?

Answer from Alison McGovern

I make no apologies for having ambition for people in our labour market. The figure was always an ambition, because Labour Members want our jobcentres to shift away from pointless admin towards real ambition for everybody who steps through the door.

Not addressed: Specific commitment to 80% employment target was not confirmed; instead, response suggested it was an 'ambition'.

How: Changing Subject

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Q7 Helen Whately Con Faversham and Mid Kent
Employment
Context

The MP criticises the government's approach to employment, citing tax increases and red tape as obstacles. The question seeks clarity on measures intended to boost employment.

Question

Which of those measures will help her to deliver that employment “ambition”?

Answer from Alison McGovern

I have brought forward proposals to get Britain working, together with the Secretary of State for Work and Pensions, the Secretary of State for Education, and Secretaries of State right across Government. That is how we will plot a course towards our ambition of an 80% employment rate.

Not addressed: Specific measures to deliver employment ambitions were not provided; instead, broad proposals to get Britain working were mentioned without specifics.

How: Changing Subject

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