Oral question asked in the House of Commons, by James Clappison (Conservative). It was answered on Monday, 11 May 2009 on behalf of the Department for Work and Pensions.

Jobseeker's Allowance

Question: Ministers continually talk about the extra money they say they are spending, but they consistently fail to put in place the help that people need at the time when they need it. Given the figures that the Minister has just revealed, which show a significant increase in the number of people claiming jobseeker's allowance—it is now up to 1.5 million—it is sadly very likely that there will be an increase in the number of long-term unemployed people by next summer. We have learned that existing contracts to help the long-term unemployed run out at the end of June, while the flexible new deal, apparently, does not begin until October. First, will the Minister assure us that a system of referrals will be in place to help the long-term unemployed throughout the whole country from June until this October? Secondly, will he give a guarantee that the flexible new deal will start as planned this October? We want a guarantee, please.

Answer: I am afraid that the hon. Gentleman's starting premise is entirely wrong. We are deliberately ensuring that the almost £5 billion we are investing in Jobcentre Plus and employment opportunities goes across the piece. It is helping before redundancies, with our rapid response services. It is helping people who, unfortunately, find themselves unemployed and for whom the experience is brand new. It is helping people through the more enhanced packages for those with three months' unemployment, six months' unemployment—packages to which all long-term unemployed people will be referred from June and October and beyond—and 12 months' unemployment. The hon. Gentleman is quite right to imply that we have had to adjust things. After 10, 11 or 12 very fruitful years in terms of the labour market and employment, when the focus has been on the longer-term unemployed, we have had to bring much of that support forward to much earlier in the process. That is precisely what is happening. There is no reason at all to suggest that the FND will be introduced at any time other than in October, as planned.

Secondary information