The White Paper recognises the significance of ill health to rising numbers of economically inactive people. To address this requires a collaborative approach across local and national government, the NHS, and employment services, grounded in ‘place’ and local leadership with four priorities:
Priority 1: Improving the health of the population
As well as building capacity in the NHS, Getting it Right First Time Further Faster teams will offer end-to-end support for people receiving treatment to obtaining good work and health in 20 Trust areas.
LGA view: Improving the health of the population
Supporting people who experience ill health to get back into work is vital and a localised approach to economic inactivity is welcome. Focusing on treatment alone is not the answer. We need preventative strategies to deliver better outcomes for individuals and mitigate costly interventions. The Government should invest in prevention which should be part of a long-term strategy which consistently funds early action and support laying the ground for long-term savings.
Priority 2: Local leadership
The Government will support and enable local areas in England to lead a coherent offer of support across work, health and skills, and engage local people and local employers in that offer. Every area will have a Local Get Britain Working Plan (LGBWP) plan to tackle economic inactivity. These plans will be developed by mayoral authorities where they exist, and across groups of local authorities elsewhere. Plans will be backed up by a new supported employment Connect to Work programme starting with £115 million going to local areas in 2025/26 as the first strand of these plans. Some MCA trailblazers will go further and faster towards a locally-led approach to join up work, health and skills, which will link with Local Growth Plans and other relevant strategies and funding. These will draw on the full range of provision and resources in a local area, as well as maximising the contribution of local relationships and assets. This includes local authorities, the NHS, training providers, Jobcentre Plus, the voluntary sector, employers and trade unions. There will also be a new role for government in making a more locally led system a success with support for areas outside of devolution to develop their plans and build capacity and infrastructure.
LGA view: Local leadership
Through the LGA’s Work Local campaign, we successfully made the case for reforming the employment and skills system. It set out our long-term ambition for devolved and integrated services and developed a cost benefit analysis of the benefits for individuals, the local economy and the public purse. We welcome the Government’s adoption and commitment to local leaders.
The fact that Local Get Britain Working Plans (LGBWPs) will be developed by all of local government – mayoral authorities and their constituent councils, as well (groups of) councils in areas outside of devolution – signals a clear commitment from Government that it wants to work closely through all of local government to deliver new approaches that work best for their areas.
A significant shift in the Department for Work and Pensions (DWP) policy is the introduction of Connect to Work (CtW) which will be grant funded to mayoral authorities and (clusters of) councils in areas outside of devolution. It is a supported employment ‘place, train and maintain’ service to help ‘economically inactive’ people. Voluntary for participants, it will be phased in from April 2025 and run to the end of this Parliament. Guidance was published alongside the White Paper. DWP has engaged councils and mayoral authorities as it has been developed.
Some mayoral areas will go further to trial new ways to join up work, health and skills services. Both Connect to Work and trials to join work, health and skills services will fit within the LGBWPs. We will work with Government to develop these plans.
For areas outside of devolution, CtW is a clear building block for councils to take on new devolved powers. We now urge the Department for Education (DfE) to also take a more localist approach and empower councils outside of devolution with a new ‘Community Skills’ function so they can plan and cohere the adult skills offer locally. This would support the transition towards devolving all adult skills funding and help: councils coordinate the local offer in non-devolved areas now; smooth the devolution transition for councils and DfE; support Employer Representative Bodies to develop adult skills pathways within Local Skills Improvement Plans (LSIPs); and help augment the offer to address economic inactivity by aligning it more closely with Connect to Work.
Priority 3: Supporting employers to promote healthy workplaces and recruit and retain workers with a health condition or disability
An independent review into the role of employers in 2025 will make evidence-based recommendations to support employers improve recruitment and retention of disabled people and people with health conditions, prevent people from becoming unwell by providing good and healthy workplaces, and undertake early interventions for sickness absence and increase returns to work.
LGA view: Supporting employers to promote healthy workplaces and recruit and retain workers with a health condition or disability
With a workforce of 1.4 million, local government is a major employer and should be involved in this review.
Priority 4: Reforming the system of health and disability benefits to promote and enable employment
A Green Paper will be launched in spring 2025 to reform health and disability benefits.
LGA view: Reforming the system of health and disability benefits to promote and enable employment
As local government are set to take on new responsibilities to support people into work, any reforms to benefits will need to carefully consider the implications for locally commissioned employment support.