debates/debates2025-12-08d conversation_2
Source: hansard.parliament.uk (2025-12-08)

UK Parliament Hansard data: debates/debates2025-12-08d conversation_2

Peter Fortune:What assessment he has made of trends in the level of unemployment. \p Diana R. Johnson: I am sure that the  hon. Lady will be pleased to know that more than 329,000 more people are in work this year. The economically active working-age population has reached a record high of 34.3 million. However, the unemployment level has increased by 282,000 over the year. These figures show why we must continue supporting people into work with our Get Britain Working plan, which includes creating a new jobs and careers service, tackling economic inactivity due to ill health and delivering our youth guarantee. \p Harriet Cross: As I am sure the Minister and the rest of the Front-Bench team know, we are seeing huge redundancies and mass unemployment within the oil and gas sector increasing every week. When did any of the Front-Bench DWP team last meet the oil and gas sector to discuss that? \p Diana R. Johnson: The hon. Lady might not know this, but I joined the team in September, so I will have to find out. I am happy to write to her about when the last meeting in that area took place. \p Peter Fortune: I recently heard from Bill Perera, who runs a franchise of McDonald’s in my constituency of Bromley and Biggin Hill. He runs nine restaurants and employs nearly 800 people, 70% of whom are aged 16 to 24. He wants to increase this pathway and opportunity into employment for young people, but he is finding it increasingly difficult, because of the increased national insurance contributions. Does the Minister agree that one way to reduce unemployment would be to reverse this disastrous policy? \p Diana R. Johnson: The hon. Gentleman will know that, for under-21s, there are no national insurance contributions that are payable by an employer. I fully recognise that McDonald’s provides good-quality work for young people and is often their entry into the workplace. I am keen to work alongside employers. That is why we are looking at the jobs and careers service and how best we can engage with employers to ensure that they have a pipeline of young people who are ready to work and can get into those jobs, which is what the gentleman at McDonald’s to whom the hon. Gentleman has just referred is looking for. \p Sonia Kumar: I welcome the Government’s £820 million investment to help young people into work. In Dudley, one in five school leavers—the highest proportion in the country—are not in education, employment or training. Will the Minister guarantee that this funding prioritises areas with the greatest need, including Dudley? Will she commit to visiting my constituency? \p Diana R. Johnson: I welcome my hon. Friend’s question. The growth in the number of NEETs over time is absolutely a matter of inequality. The previous Government failed to tackle this issue and the numbers went up and up. This Government are going to do something, because it is about opportunity for young people and our economic future. We cannot have nearly a million young people not in education, employment or training. \p Jonathan Brash: Since the general election, the number of people claiming universal credit in my constituency has fallen by 7.3%. Does the Minister agree that central to this Government’s mission of getting people back into work is that it must reach every part of the country, including those areas that have been let down for far too long? \p Diana R. Johnson: My hon. Friend is exactly right. At the mayors council on Thursday, we were discussing this very point about ensuring that all parts of the country benefit from employment opportunities for their local people. \p Lindsay Hoyle: I call the shadow Secretary of State. \p Helen Whately: I was sorry that the Secretary of State could not answer the question from my hon. Friend the Member for South Northamptonshire (Sarah Bool) earlier. Fortunately, there are people who can help. For instance, UKHospitality has told us that 100,000 people will lose their jobs because of the Budget. That is on top of the 150,000 jobs already lost since Labour came to power. At this rate, there will be queues forming outside jobcentres. Can she tell me what preparations the Government are making to cope with the influx of benefit claimants from all these job losses? \p Diana R. Johnson: May I just say gently to the shadow Secretary of State that she seems to be suffering from amnesia? We know that in the last four years of the previous Government, the number of NEETs increased by 50%. This is the Government who are going to do something about NEETs. We have our youth guarantee and our commitment to a subsidised job opportunity for those who have been out of work for 18 months or more. This is the Government who will tackle the NEETs problem. \p Helen Whately: Businesses are cutting jobs at the fastest rate since the pandemic and unemployment has gone up every month under this Government, but clearly they are not ready to deal with the consequences. The number of jobcentre work coaches has actually fallen since they took over. No doubt the Minister will proudly tell us that they have just announced millions of pounds of spending on Government-created jobs for young people, but may I ask her to reflect for a moment? After hiking taxes on businesses so that they cannot afford to employ young people, the Government are spending a load of that tax on state-subsidised jobs for the same young people. Some are calling this the economics of the madhouse, but I simply call it Labour economics. Does the Minister not agree that the Government should get out of the way and reduce the burden on businesses so that they can create jobs, opportunities and economic growth? \p Diana R. Johnson: Of course we want employers and businesses to create jobs, but let me reiterate—as I am not sure that the shadow Secretary of State heard my earlier answer—that for the under-21s, no national insurance contributions are payable by an employer. Let me also refer her to my first answer and repeat that more than 329,000 more people are in work this year.