The Budget’s recognition of the role that economically inactive people could play in rebuilding the economy, and the measures set out to encourage greater numbers of them into work, makes sense.
Targeted support was announced for several groups, including disabled people and those with long-term health conditions, over 50s, low-earners and parents on Universal Credit.
Measures such as increasing the amount people on Universal Credit can claim in childcare, as well as paying those costs upfront; the scrapping of the Capability Assessment for those with disabilities; and pension changes to encourage older people to return to work, will all have their part to play.
The challenge is clear: there are more than a million vacancies in the economy and one-fifth of the working population is economically inactive – out of work and not looking for work.
