A DWP boss defined what they’re doing to handle the issue
Phil Smith, chair of Expertise England, talking to MPs (Picture: UK Parliament)
DWP high officers have drawn consideration to a widespread concern the place persons are not receiving any funds. The feedback got here as leaders from the division spoke to MPs about their work.
Senior members from Expertise England spoke to the Work and Pensions Committee about their work to get extra individuals into employment. Expertise England is a brand new Authorities venture formally launched in June 2025, to assist deliver collectively initiatives to offer individuals with higher expertise, to create extra employment alternatives and so drive financial progress.
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The group was initially a part of the Division for Training however has now been integrated into the DWP, from September 2025. One query put to the group was their work to get younger individuals into work, with the variety of younger individuals not in training, employment or coaching not far off a million.
The committee requested: “What points within the expertise system could be contributing to that, and what’s your physique doing to handle that?”
A posh drawback
Phil Smith, chair of Expertise England, stated this can be a “complicated” concern to handle, however he identified that this group is not only people who find themselves out of labor on advantages. He stated: “Round 300,000 individuals, I perceive, are usually not even on advantages. That’s 300,000 people who find themselves not sitting and sponging off the state, as individuals wish to say—they’re truly not on advantages.
“They’re simply not anyplace. That’s actually unhealthy.” This could possibly be a serious shortfall of revenue in case you are not claiming any advantages you’re entitled to.
Anybody over the age of 18 of working age can put in a declare for the means-tested profit, in addition to 16 or 17 yr olds in some circumstances, akin to when you have a well being situation or incapacity, or if you take care of somebody who will get a well being or disability-related profit.
Via the profit, you will get one customary allowance per family, which pays £338.58 a month for these single and aged below 25, or £528.34 for a pair the place each of them are below 25.
The usual quantity will increase in case you are aged 25 and over, paying £528.34 a month for single claimants and £666.97 for a pair who’re each aged 25 and over.
Extra to do
Mr Smith spoke about what work his group is doing to handle unemployment amongst younger individuals. He stated: “We have now introduced a collection of basis apprenticeships and so forth, so capabilities are there. Nevertheless, by far that isn’t job achieved.
“We should make the system related for individuals the place they’re at the moment—how they get pathways and on to those issues.” The DWP additionally just lately gave an replace about how it’s growing funding for its Youth Assure and the Development and Expertise Levy, which guarantees to offer assist to at least one million younger individuals, creating 500,000 alternatives for coaching and employment.
DWP minister Andrew Western informed Parliament: “The Authorities is taking motion to assist employers to recruit and prepare younger individuals, serving to to unlock up to 200,000 extra employment alternatives. This features a new £3,000 Youth Jobs Grant for employers who rent 18 to 24-year-olds who’ve been on Common Credit score for over six months, a brand new £2,000 apprenticeship incentive for small and medium sized employers hiring 16 to 24-year-old, and the Jobs Assure scheme, offering long-term unemployed 18 to 24-year-olds with a completely funded six month job.”
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