On 26 November, Work and Pensions Secretary Liz Kendall announced a series of reforms aimed at significantly boosting employment rates in the UK to 80%. The £240 million initiative was outlined in the newly published “Get Britain Working” white paper and focuses on reforming jobcentres, creating more work and learning opportunities for young people, and reassessing the role of employers in supporting individuals with disabilities and health conditions. This announcement comes against a backdrop of concerning labour market trends. Currently, more than 2.8 million people are unable to work due to long-term health conditions. Peter Cheese, chief executive of the Chartered Institute of Personnel and Development (CIPD), has invited government focus on specific groups and regions across the country to help more people enter the workforce. We discuss some of the proposals for action and change that are set out in the white paper below.
1. Improve the wider health system to tackle long-term illness
To address the issue of rising unemployment due to ill health, the government revealed plans to “fix the NHS” by increasing staff and reducing waiting times in 20 NHS trusts across England most affected by health-related economic inactivity. Additionally, the Department of Health and Social Care will receive an additional £22.6 billion in funding for 2025-26. This is to enable the NHS to deliver 40,000 elective appointments each week and support the recruitment of 8,500 mental health professionals. The government has also earmarked £125 million for eight “trailblazer” areas across England and Wales aimed at linking up work, health and skills support.
2. Transform jobcentres
The Jobcentre system will be merged with the National Careers Service in England and receive a £55 million investment. This new “national jobs and careers service” will be focused on supporting skills and careers rather than only managing benefits claims. The staff will also aim to move away from a “tick box” culture and offer a more personalised service to jobseekers.
3. “Youth guarantee”
Under the government’s new “youth guarantee”, it commits to ensuring all 18 to 21-year-olds in England have access to apprenticeships, training, education or assistance in securing employment. The government has collaborated with organisations such as the Premier League and Channel 4 to offer opportunities to young people. Additionally, £45 million will be allocated to the eight “trailblazer” areas to support those most at risk of dropping out of education or employment.
4. “Connect to work” scheme
The white paper details an annual allocation of £115 million to the “connect to work” scheme that will aim to provide voluntary employment support to 100,000 individuals with disabilities, health conditions or complex barriers to employment. £15 million will be given to areas outside the trailblazer regions to enable local authorities to create tailored strategies to reduce economic inactivity.
5. Reviewing employer support
An independent review is being conducted to explore ways to better support employers in hiring and retaining individuals with disabilities and health conditions. The review, set to conclude next summer, is to include input from a wide range of stakeholders, including employers, employees, trade unions, health experts and people with disabilities or health conditions. The government is planning significant changes to the health and disability benefits system, with a consultation to be launched in the spring to incorporate feedback from disabled individuals on proposed policy updates. Peter Cheese underscores the importance of employers and line managers in ensuring that work is healthy, fulfilling and accessible to people with different abilities and health needs.
Takeaway for employers
The government’s latest white paper highlights the urgent need to review how employers can be better supported in hiring and retaining individuals with disabilities and health conditions. Alongside plans to overhaul the health and disability benefits system, the focus is clear: help and empower employers to create inclusive workplaces through reasonable adjustments and flexible practices. With an average of 128 people leaving the workforce daily due to ill health, the review emphasises immediate and meaningful action to ensure long-term success.
