Pat McFadden
MP for Wolverhampton South East · Labour · United Kingdom
“In his review Alan Milburn considered that issue and said that, “the UK’s NEET crisis is much more long-term and deep-seated than any decisions taken in the last few years.” As I said earlier, 400,000 more people are in work this year than last year, and the number of young people in employment is up since the election.”
“Since our last DWP questions, both Alan Milburn and the Pensions Commission have published their respective interim reports on young people and on the current state of saving for retirement. I look forward to receiving their final reports later in the year.”
“As Alan Milburn pointed out in his recent report, the UK’s NEET crisis is much more long-term and deep-seated than any decisions taken in the last few years. There are 400,000 more people in work than last year. The number of young people in employment is up by 74,000 since the election.”
“I thank the right hon. Gentleman and send him commiserations for whatever has left him reliant on his crutches today. I am happy to congratulate the businesses he mentioned in his constituency. He raises a serious point: it is important not only to come up with the right policy, but to make it simple for businesses to use.”
“My hon. Friend is right, and I thank Cardiff football club for being a partner. We are supporting nearly 1 million young people and creating up to half a million opportunities for jobs and training.”
“We are making strong progress on expanding youth hubs, with around 130 already in operation across Great Britain. In March, I announced the locations that we want to open in this year, and I have just announced a further 180 locations for the following two years.”
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“This package can make a big contribution towards that. As I have said, there are 50,000 vacancies in manufacturing in the UK today. That is partly because of the difficulty that people have in finding skilled workers. With today’s extra help for apprenticeships for young people, we can begin to change that. That is why it is such an important part of this package.”
“On the final question, I agree with my hon. Friend that this problem of young people not in education, employment or training is a long-term one that grew under the tutelage of the Conservative party, and about which it did precisely nothing. This statement and package is a different approach, with a very clear message behind it. Let us go out and sell it. That message is: we believe in Britain’s young people; we want to give them a better future; and we have a package of help to enable them to achieve that.”
“Headline unemployment is below its average rate under the previous Government, and inactivity is falling as more people actively seek work. Some 381,000 more people have moved into work over the past year. However, there is a long-term challenge in youth unemployment, which we are responding to through the youth guarantee, more youth apprenticeship starts and other measures.”
“The hon. Member will be aware of the national insurance tax break under which no employer national insurance contributions are payable for workers under 21, unless they earn more than £50,000, which not too many workers under the age of 21 do.”
“I did talk about unemployment. As I said, the unemployment figures are lower, on average, than when the hon. Gentleman’s party was in power. We are, of course, doing everything we can to help people into work, which is why I referred to the measures that we are taking, including the youth guarantee and increased apprenticeship starts. That is a much more active approach than the one carried out by the previous Government, who saw rising numbers of young people not in education, employment or training but did precisely nothing about it.”
“As I said, no employer national insurance contributions are payable for workers under the age of 21, and we believe that workers should be decently paid for the work they do. We are responding to the particular challenge of youth unemployment, which I acknowledge is there, and was there when the Conservative party was in power, with active measures such as the youth guarantee and more youth apprenticeship starts. I remind the House that youth apprenticeship starts fell by 40% while the Conservatives were in power.”
“I congratulate the business club—such organisations play a valuable role in our constituencies. The hon. Lady asks what measures we are taking, and I am grateful to the Chancellor for the extra funding made available in the Budget for the youth guarantee. That will gives hundreds of thousands more training and work experience places to young people and, importantly, will provide funding for the long-term youth unemployed to gain six months’ work, paid at the national minimum wage for 25 hours a week, so that young people get used to the discipline and duty of turning up, doing a job, and experiencing the sense of pride and purpose that comes with having a job.”
“My hon. Friend asks an excellent question. The fact that net migration is falling to lower levels than we have seen for some time gives added urgency to a question that has often been posed: why do we not do more to train our own workers? That is precisely why I am prioritising youth apprenticeship starts, which fell by 40% under the previous Government. We must arrest that decline and ensure that we respond to the new situation of falling levels of net migration by training more of our own young people.”
“What it will mean for young people in my hon. Friend’s constituency, and many others, is intensive work coach training, and the chance of training or work experience. If that does not get them into a job, ultimately it will mean a subsidised job, where they get six months of work experience, paid at the national minimum wage for 25 hours a week. The last thing we want is people leaving education and going on to a life on benefits.”
“I am relieved to hear that the number of young people not in education, employment or training is dropping in Harlow. The number of such people rose by a quarter of a million in the last few years of the Conservative party’s time in government, and they did absolutely nothing about it. Bringing skills into the Department for Work and Pensions gives us the chance to bring skills policy and labour market policy closer together, to help young people get that vital chance of a first job.”
“I believe this may be the first time that the hon. Member has appeared at the Dispatch Box in his capacity as shadow Minister—if I am wrong about that, I am sorry; but if I am right, I welcome him to his position. He asks about the forecast for the future. It was published alongside the spring statement a couple of weeks ago, and in it the Office for Budget Responsibility forecast employment to rise in every year of the forecast period.”
“Whatever Department I am in, I hear the same question from the Liberal Democrats. They support all the extra spending that is funded by revenue-raising measures, but they oppose all the revenue-raising measures themselves. If the hon. Gentleman wants NHS waiting lists to fall and if he calls for more spending every week, then he has to support the revenue-raising measures that make that possible.”
“The statistics for the second half of 2024 show the scale of the situation that we inherited from the previous Government. The number of young people not in education, employment or training had increased by around 300,000 since 2021, but, unlike the last Government, we are doing something about that. Over three years, the Government will invest some £1.5 billion to improve opportunities for young people through both the youth guarantee and more youth apprenticeships. We are expanding the number of youth hubs to more areas of the country, and we aim to add about 50,000 more starts through the change to youth apprenticeships. That is in stark contrast to the situation we inherited.”
“I am grateful to my hon. Friend for highlighting the valuable work of Wiseup Networks. He is absolutely right; work experience and mentoring can play a very important role in helping young people to find work. Confidence can be an issue for young people, so building that up is really important. I am happy to arrange a meeting between him and a Minister from this team.”
“I thank my hon. Friend for highlighting the excellent work of the David Nieper Academy in achieving NEET zero, and I congratulate it on doing so. She mentions the career service pathfinder in Wakefield, which was launched in April 2025. We are testing more personalised employment support, and evaluation is under way to understand how this approach works. It is right that we approach these matters with flexibility and innovation, and do not always do what we have always done.”
“I know that my hon. Friend has spoken movingly about his own experience with ADHD. I assure him that Alan Milburn, a former Health Secretary who is carrying out this report for us, is in regular contact with the chair and secretariat of the independent review into prevalence and support for mental health conditions, ADHD and autism, which is being carried out by the Department of Health and Social Care. More broadly, we should support young people, try to increase their confidence and ensure they do not conclude that a diagnosis means that they cannot work, because that should not be the conclusion reached. Many people who do have a diagnosis can go on to have very productive working lives.”
“My hon. Friend has spoken powerfully of how unemployment in her constituency has scarred generations. I assure her that the youth guarantee will become nationwide by the end of the year. We have to break the cycle of intergenerational unemployment that she has spoken about, and I share her desire to be more ambitious in that area. I am very happy to keep up a dialogue with her and to meet with her, or to have a fellow Minister in the team do so.”
“I suspect we could be here for some time talking about what the best service station in the country is, but I have to say that Rugby services, between London and Wolverhampton, has taken things to another level. Gloucestershire Gateway Trust has helped create over 400 jobs for local residents. It continues to provide invaluable support, and I am very happy to take the opportunity to visit my hon. Friend’s constituency at some point—diary permitting, as they say.”
“The truth is that the Conservatives presided over a huge post-covid rise in the number of young people not in education, employment or training, and they did precisely nothing about it. They also presided over a huge rise in the number of young people going on to sickness and disability benefits and did precisely nothing about it. They have discovered a thirst for change only after leaving office—they have no credibility and no plan on this issue. In contrast, we are responding through the youth guarantee, through changes to the apprenticeship system, and by giving young people more hope that the Government will help give them a chance in life.”
“We do want to support jobseekers now. As I said, there is a long-term challenge with youth unemployment, which we are responding to through the measures I have outlined. If we can be more ambitious than those measures in the future, we very much will.”
“The hon. Gentleman will find that graduate unemployment is an international issue. If we want more non-higher education skills, he should support our plans to stop the decline that we saw in youth apprenticeship starts when his party was in power and to direct more money to youth apprenticeship starts. That is precisely what we will do.”
“The hon. Lady makes a good point. When we look at the total number of NEETs, within that is what we might regard as standard unemployment cases, a lot of health, sickness and disability cases and a significant number of young carers. One of the things we are doing is expanding childcare support through free breakfast clubs and extending the number of free hours so that we can support young parents to get into work after they have had a child.”
“We have a lot of dialogue with businesses about the nature of the growth and skills levy and how it is used. I have to say to the hon. Gentleman and to the House that we are making a choice to prioritise young people. It is precisely because the previous Government did not prioritise young people that we saw a 40% decline in apprenticeship starts. I do not think that is an argument for the status quo; it is an argument for change. That is the slogan upon which we were elected, and it is change to the system that we will bring.”
“Precisely because we are tilting the funding more towards youth apprenticeship starts, we will arrest the decline that happened when the hon. Lady’s party were in power. Change needs to come to the system if we want to do that, and I believe it is the right choice. The effect on young people who come off education and go on to benefits can be lifelong, so it is right that we prioritise them in the system.”
“The right hon. Alan Milburn is making progress on his report. He brings valuable experience as a former Secretary of State for Health and former chair of the Government’s Social Mobility Commission. He is engaging with stakeholders across the country to increase the understanding of what has driven the increase in NEETs in recent years, and his interim report is due later in the spring.”
“My hon. Friend brings valuable experience to this matter, including his experience of teaching engineering apprentices at the University of Nottingham. We are committed to ensuring that disadvantaged young people have access to high-quality apprenticeships and can benefit from the new jobs being created in places such as Erewash as a result of the changes in how the growth and skills levy is used—as I have explained in response to earlier questions—and the extension of youth hubs in the region to give young people who may not be claiming benefit or undertaking an apprenticeship the chance of finding that vital first job.”
“The hon. Member has posed a very good and important question, and the issue of graduate unemployment is by no means confined to the UK. In the United States, for example, a similar debate about graduate unemployment is taking place. The truth is that structural developments are happening in the labour market. Technology is undergoing a big shift, and I think that all Governments must ask themselves how to help young people through this transition. The one thing that we cannot do is abandon them to it: we have to train people, and we have to ensure that the UK is best placed to take advantage of this big technological shift.”
“The Scottish unemployment rate is 3.8%, and overall economic inactivity in Scotland is higher than in the UK as a whole. However, I am pleased to say that Scotland has had the biggest increase in funding since devolution began. It will benefit from major defence contracts, including the £10 billion contract to build five new frigates for the Norwegian navy, and from the trade deals we have negotiated over the past year, which will be of particular benefit to Scotland’s whisky and food industries.”
“That is of course a hugely important industry for the UK. The hon. Member will be aware that a transition is taking place, but oil and gas will be part of the mix for a long time to come. The Chancellor met those in the industry last week, and I assure the hon. Member and her constituents that the industry’s importance is recognised and hugely valued by the Government.”
“I very much agree with my hon. Friend’s final point. I think Anas Sarwar would make an excellent First Minister, and I look forward to supporting him in the campaign to come. The youth guarantee, to which I have referred, extends to Scotland. We want young people in Scotland to have as many opportunities and as good opportunities as young people anywhere else in the UK, and in particular not to fall into the pattern of leaving education and going on to a life on benefits.”
“Since the last Work and Pensions questions, we have had Apprenticeships Week, when I visited Cammell Laird shipyard in Birkenhead and London Underground’s Acton Works in west London. I attended the youth guarantee jobs fair in Blackpool, which connected over 3,000 local people with 90 employers; had a roundtable with business at which, for example, Make UK reported 50,000 vacancies in the engineering and manufacturing sectors; and we extended the Connect to Work programme to give employment support to more than 75,000 more people with disabilities or long-term sickness—people far too often in the past simply signed off and written off.”
“I appreciate the value of skills bootcamps. They can play an important role in the mix of policies we are talking about today. I hear the representations the hon. Lady has made for more funding. All I would say to her and her party is that if we have more funding, I hope they support whatever revenue-raising measures that have to be put in place for it.”
“The hon. Member is right to point to the disparity of information that there sometimes is for apprenticeships compared with university courses. It is something that we need to address by improving the information available and ensuring that young people embarking on an apprenticeship are treated with just as much esteem and respect as those who undertake a university course. Information is very much part of the changes that we are pursuing.”
“I am grateful to the hon. Gentleman for the retraining scheme that he is running for former Conservative MPs, although I am not convinced that a change of colour is really a change of heart. Let me come to the heart of his question. We do believe that if people have worked here and have contributed over the years, they are entitled to the benefits that the state provides. The logical conclusion of his position would be to deny that to many people who have lived and contributed here, sometimes for decades.”
“We are all going to have busy diaries after this session. I pay tribute to the Cornish hospitality sector. My hon. Friend is right that those are great opportunities for young people, and I will make sure she gets a meeting with someone.”
“The whole House will be aware that the women who lived in the mother and baby homes sometimes went through terrible experiences. I commend my hon. Friend for his campaign for some measure of justice for those women. We are examining what we can do in those cases. A small number of those women live in the UK, and I assure him that help is under active consideration.”
“I have already praised Rugby once during this session; let me do so a second time. I cannot promise to attend my hon. Friend’s jobs fair, but I can say that such fairs play a valuable role in bringing together employers who need staff with potential employees who need jobs. I saw that myself in the very sizeable Blackpool jobs fair that I attended a week or so ago.”
“This was all about the politics of dividing lines: between the so-called shirkers and strivers, or the old distinction between the deserving and undeserving poor. Politics first and policy second, every time.”
“I beg to move, That the Bill be now read a Second time. Core to our belief is the idea that no one, no matter their background, should be trapped by their circumstances. People should have the chance to make the best life they possibly can. Poverty is a barrier to that ambition, and it makes it much harder for people to achieve their full potential. This legislation has its roots in the change made during the Conservative years to introduce the two-child limit on support for families on universal credit. Let us be clear at the start about what this was always about. It was never really about welfare reform, nor was it even about saving money. No, this was always, first and foremost, a political exercise—an attempt to set a trap for opponents, with children used as the pawns.”
“The right hon. Gentleman has set out the previous Government’s justification. I am about to explain why that did not stack up at the time, and why it certainly does not stack up after the experience of the policy. We should begin by considering why no other neighbouring country has this two-child limit. Given that the policy was always primarily about politics, it is no surprise that it did not achieve the objectives that the right hon. Gentleman just tried to set out. The Tories claimed that this would lead to people making different choices about the number of children to have, but that did not happen. The family size premise was itself based on the fundamental misconception that there is a static group of people who are always on universal credit.”
“Not at the moment. This is not a static group; people’s circumstances change, marriages break up, spouses die and jobs can be lost. In fact, around half of the families who will benefit from the lifting of the two-child limit were not on universal credit when they had any of their children. This is not a static group of people, which drives directly at the heart of the argument that the right hon. Member for Hertsmere (Sir Oliver Dowden) tried to make.”
“Not at the moment. As I said, around half the families who will benefit were not on universal credit when they had any of their children. These are people who found themselves in need of help long after any decisions about family size had been taken. No account was taken of the costs of the policy further down the line, such as lower educational attainment, worse mental health and lower earnings, perhaps for the whole of people’s working lives.”
“No, I do not regret anything I have ever said on this issue. All along in this debate, there has been an attempt to divide workers from non-workers—”
“I shall if the right hon. Lady shows a little patience. Around 60% of the families affected by the current policy are in work, and of those who are not working, a significant number are affected by serious health conditions or caring responsibilities—circumstances in which any of us could find ourselves. As I have said, this was never really about work, decisions about family size or saving money; it was political through and through. It was children who paid the price, with 300,000 more of them going into poverty as a result.”
“This is the inescapable problem with the Conservatives’ current position: an attack line that says, “We trashed the country and left you with a terrible inheritance,” might just not be the winning argument they think it is. Let them have their debate about whether Britain is broken while we get on with the task of fixing what they left behind.”
“I do not know whether that is still her position—we will find out at tonight’s vote—but it seems that the party she has now joined wants to restore the two-child limit. Reform is importing not just failed Tory politicians, but failed Tory policies. Between 2010, when the Conservatives came into office, and the summer of 2024 when they left it, the number of children in poverty had risen by some 900,000. That is something to ponder as Members on the Opposition Benches have their debate about whether or not Britain is broken. If it is, who was responsible? Who designed the welfare system that they tell us on a daily basis is broken? They did. Who broke the prisons system that we have had to rescue? They did. Who shook international confidence in our economy and its key institutions? They did.”
“Timing matters, and if the right hon. Gentleman shows a little patience, I will tell him exactly why we have done this in the timeframe that we have. All the policy did was force more children into poverty, alongside the Conservatives’ other key welfare measure of trapping the sick out of work. Even some voices on the right recognise the damage that this policy did. Former Tory Welfare Minister Lord Freud described it as “vicious” and said it had been forced on the Department for Work and Pensions by the Treasury at the time, and the former Conservative Home Secretary and new recruit for Reform, the right hon. and learned Member for Fareham and Waterlooville (Suella Braverman), has said, “Let’s abolish the two-child limit, eradicate child poverty for good”.”
“My hon. Friend is right, and the point she makes is that we also tackle these issues piece by piece and over time. I turn now to the question that people have asked: “Why not do this right away?” Here is the difference between government and opposition. The truth is that in opposition, it is easy to tally up everything that is wrong with the country and promise to reverse it, but a winning manifesto has to be more than a list of what is wrong.”
“That is why she was right to spell out at the Budget that this policy can only be introduced now, and can only be funded through a combination of savings from fraud and error in the benefits system, changes to the Motability scheme, and reform of online gambling taxation.”
“Not at the moment. We spent plenty of time in opposition writing those lists—we had many years to do it—only to see them turn to dust on the morning of an election defeat. Good intentions were written off by the voters because the hard yards of winning their trust on the essentials of exercising power had not been done. Change comes only by earning the trust that is essential to victory, and it is because we did that that we are able to sit on the Government Benches and change anything at all, whether for children, low-paid workers or anyone else. Our first job when we came into office was to stabilise the economy after the irresponsibility and chaos of the Tory years, and even after my right hon. Friend the Chancellor had done that, change still has to be paid for.”