The Work and Pensions Committee is to examine whether the
Government should devolve future responsibility for employment
support from DWP to local areas, to help more people find and
stay in work and benefit local businesses and communities.
The inquiry follows
the Committee’s July 2023 report,
where it recommended DWP devolve future employment support
programmes to groups of local authorities, in order to make the
most of local knowledge and expertise, to better tailor support
to individuals, and to help meet local vacancy needs.
The inquiry will look at the main opportunities and challenges
associated with devolution of employment support, the role DWP
would play in a more devolved system, how funding would be
allocated to local areas, and the impact any change would have on
employers, providers and people with additional needs.
Last year’s Plan for Jobs and
employment support report also concluded that DWP’s role in
both employment support and benefit administration, could deter
some people from seeking support. The inquiry will consider how
devolution might impact the relationship between jobseekers and
DWP.
The Government’s response to
the Committee‘s report highlighted how DWP was committed to
trialling a more devolved approach to contracted employment
programmes following deals with the Greater Manchester and West
Midlands Combined Authorities. The inquiry will consider what
lessons can be learnt from such trials and international
experiences.
Rt Hon Sir MP, Chair of the Work and
Pensions Committee, said:
“Our previous report set out potential benefits to individuals
and businesses from devolving responsibility for employment
support to groups of local authorities. With economic
inactivity still a major concern, our new inquiry will look in
detail at how a system of devolved support can best be designed,
examine the opportunities it could provide and consider how any
challenges can be overcome.”
Call for evidence
The Committee is inviting written submissions
in response to the following questions:
Opportunities and challenges
- What is behind the UK’s decline in physical and mental
health, and how does it vary region to region?
-
- What opportunities and challenges might further devolving
employment support provide for addressing this?
- What are the main opportunities and challenges associated
with further devolution of employment support?
-
- What might be some of the unintended consequences of
devolving employment support?
- What impact could greater devolution of employment support
have on the consistency and quality of scheme delivery? How could
consistency be maintained across a more devolved system?
- How might devolving employment support impact the
relationship between jobseekers and DWP?
Structure
If employment support were to be further devolved:
- Upon what basis should funding be allocated and why?
- How should the boundaries of devolved areas be delineated?
- How would a more devolved system function in rural areas?
- What role should DWP play under a more devolved system? For
example, in terms of setting objectives, providing oversight,
sharing data and establishing a framework for local areas?
-
- What balance should be struck between national employment
support schemes and locally delivered schemes?
Jobs and providers
- What impact might devolving employment support have on the
success and quality of job matching? How might it affect
jobseekers with additional needs, such as people with health
conditions, disabilities, and hard to reach groups?
- What impact would devolving employment support have on
employers and providers?
Lessons learned
- What lessons can be learned from employment schemes already
devolved to local government?
- Are there any international comparators the Committee should
consider in our inquiry?
The deadline for submissions is Monday 8 April.