The DWP has laid out how it plans to support the long-term unemployed (Image: Getty Images)
Employment Minister Alison McGovern has announced new measures to support long-term unemployed individuals back into work.
The ‘Get Britain Working’ White Paper published last November pledges the most dramatic overhaul of employment services in years, conducted by the Department for Work and Pensions (DWP). The strategy seeks to achieve an 80 per cent employment rate, reports the Daily Record.
Responding to a query from Labour MP Neil Duncan-Jordan, Ms McGovern revealed the DWP’s new direction, calling it a “shift from being a department for employment support and welfare to being a department for work”.
Elaborating on the government’s plans, she added: “This means a new, locally led system of work and health support being available for those who are unemployed, bringing together existing locally delivered employment support as a single coherent offer that is part of areas’ local growth plans.”
Ms McGovern also touched upon the financial aspect of these programmes, stating: “In the Autumn 2024 Budget, £240 million funding for the White Paper measures was announced. This funding is helping us deliver and build on labour market reforms to Get Britain Working.”
Additionally, the announcement detailed the allocation of funds for the proposed initiatives.
- £55m has been allocated for the digital transformation of the new public employment and careers service, which includes initial tests and trials to facilitate its expansion.
- An extra £15m is set aside to support so-called trailblazer areas and the development of local Get Britain Working strategies.
- A £170m investment will fund 16 trailblazers (designed to support young people most at risk of falling out of education or employment), with 8 dedicated to testing the delivery of the Youth Guarantee in various locations across England and another 8 focused on addressing economic inactivity through enhanced engagement and customised methods in England and Wales.
Ms McGovern wrapped up her statement by saying: “These measures complement contracted employment support for the long-term unemployed.”
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Public Engagement
The government has launched an online consultation named ‘Pathways to Work: Reforming Benefits and Support to Get Britain Working’, available for input via GOV.UK.
The UK Government seeks public input on proposed changes to the health and disability benefits system, as well as employment support.
The consultation document states: “This Green Paper is an important staging post on a journey of reform, building on the vision and approach set out in the Get Britain Working White Paper in November 2024. It sets out our vision, strategy and proposals for change.”
It adds: “We want to improve and refine our plans by consulting on certain measures as described within this paper. We are committed to putting the views and voices of disabled people and people with health conditions at the heart of everything we do.”
Who is eligible to participate?
The Department for Work and Pensions (DWP) is eager to receive feedback from “a broad spectrum” of respondents, particularly those who are disabled, have health conditions, or are part of disability organisations.
The consultation is applicable to England, Wales, and Scotland.
While all suggestions will be put into action in England, it’s worth noting that some proposals will only impact areas under the UK Government’s jurisdiction in England, Wales, and Scotland.
The government is now consulting on the proposals (Image: Getty Images)
The DWP will organise a series of ‘accessible virtual and face-to-face events’. Information on these events and how to get involved can be found on GOV.UK here.
To contribute to the consultation, visit the bottom of this page here where you’ll find the section labelled ‘Ways to respond’. Responses must be submitted by June 30, 2025.
Overview of proposed benefits modifications
Universal Credit
Recent statistics show that as of February, there were 7.57 million people in Great Britain receiving Universal Credit. This means-tested incapacity benefit aims to assist those with low income or who are out of work.
The UK Government has unveiled plans for a significant above-inflation rise to the standard Universal Credit allowance by the 2029/30 financial year, translating to an extra £775 annually in cash terms. However, from April next year, new claimants will face a substantial cut to the health component of the allowance, while current recipients will have their payments frozen until 2029/2030.
The controversial Work Capability Assessment (WCA) is scheduled for termination in 2028, with Liz Kendall lambasting it as “complex, time consuming and often stressful for claimants”.
In efforts to boost employment, the Government is set to roll out a “right to try” initiative, allowing individuals to take on work without instantly losing their benefits.
Plans are also in the works to discuss delaying access to the Universal Credit health element until reaching 22 years old. Latest figures show that as of December 2024, there were 109,436 people aged between 16 and 21 who were beneficiaries of the Universal Credit health component.
Liz Kendall, Secretary of State for Work and Pensions (Image: Getty)
PIP
When it comes to Personal Independence Payment (PIP), nearly 3.7 million people in England and Wales were recipients at the end of January, marking a 71% surge over the past five years from around 2.14 million.
PIP is aimed at helping cover extra costs arising from long-term disability or ill-health, independent of the recipient’s employment status.
However, the UK Government’s tightening of qualification criteria could result in some individuals losing their Personal Independence Payment (PIP) entitlement, as the focus shifts towards those with more substantial needs.
The government is set to introduce a new eligibility threshold, which will require claimants to score at least four points related to the assistance they need for daily living tasks within the benefit’s daily living component.
No changes are being proposed for the mobility component, which evaluates the level of help an individual needs to move around.
The government has confirmed that this change “means that people who only score the lowest points on each of the PIP daily living activities will lose their entitlement in future”.
Moreover, the government has committed not to subject Universal Credit recipients with the most severe disabilities and health conditions, unlikely to improve, to further reassessments for benefits, “to give them the confidence and dignity they deserve”.
However, the government plans to increase the number of face-to-face assessments for PIP and under the current Work Capability Assessment, aiming to “give confidence to claimants and taxpayers that they’re being done properly”.
Additionally, the government is contemplating a consultation on raising the age at which individuals can claim PIP from 16 to 18.