Will the Work Programme work?

Some key background reading to understand the debate on welfare reform.

Liam Byrne, the shadow Secretary of State for Work and Pensions, has successfully created a bit of a stir with his intervention on welfare reform in Monday's Guardian. There is more planned, with speeches on the subject over the next few months. 2012, I'm told, is meant to be the year that Labour gets back into the conversation about welfare reform. Since the election, the terms of debate have been effectively set by the Tories. Public opinion remains steady in support of cuts to the benefits bill, with a widespread perception that the last government lost control of spending and was relaxed about people choosing to live on the dole. Iain Duncan Smith's popular promise to reform the system to "make work pay" has, senior Labour figures privately concede, effectively shut the opposition out.

Whether Ed Miliband can get back in is the subject of my column in this week's magazine. One key factor will be the question of whether the government's welfare plans will actually work. There is already a lot of disquiet around the Work Programme, the huge welfare-to-work scheme under which private and voluntary sector providers compete for contracts to place the long-term unemployed in work. The contractors are paid according to how effective they are in matching their "customers" with jobs. As I write in the column, the whole thing starts to break down if there simply aren't enough vacancies around to fill. The scheme was designed at a time when the Department for Work and Pensions expected the labour market to track optimistic growth forecasts from the Office for Budget Responsibility. The OBR turned out to be wrong, of course.

But even if vacancies are there for some of the people being transferred onto the Work Programme, there are serious doubts being raised in the welfare-to-work sector about whether some of the providers will be able to meet their targets. There is also a lot of suspicion around that some of the providers won their contracts with unrealistic estimates of how much it actually costs to train someone who has been out of work for a year and find them a job. There are some rumbling noises around about the Work Programme either collapsing or, more likely, needing to be bailed out by government.

For anyone interested in welfare-to-work policy detail, I recommend the following links:

Public Accounts Committee report on "Pathways to Work"

This is a parliamentary investigation into a pilot scheme set up under Labour to use the private sector to help claimants of incapacity benefit back into work. Mostly they failed to meet their performance targets and generally performed worse than the Job Centre. A number of organisations named as serious under-performers in the report won contracts under the Work Programme.

The Social Market Foundation report: Will the Work Programme Work?

The think tank that pioneered payment by results as a mechanism for improving delivery of welfare-to-work programmes questions whether its ideas have been implemented in a way that is likely to get the desired outcomes. (Answer: no.)

BBC Radio 4: The Report - The Work Programme

Almost everything you need to know about welfare-to-work schemes in one handy half-hour radio documentary.

Rafael Behr is political columnist at the Guardian and former political editor of the New Statesman

Photo: Getty
Show Hide image

The rise of the green mayor – Sadiq Khan and the politics of clean energy

At an event at Tate Modern, Sadiq Khan pledged to clean up London's act.

On Thursday night, deep in the bowls of Tate Modern’s turbine hall, London Mayor Sadiq Khan renewed his promise to make the capital a world leader in clean energy and air. Yet his focus was as much on people as power plants – in particular, the need for local authorities to lead where central governments will not.

Khan was there to introduce the screening of a new documentary, From the Ashes, about the demise of the American coal industry. As he noted, Britain continues to battle against the legacy of fossil fuels: “In London today we burn very little coal but we are facing new air pollution challenges brought about for different reasons." 

At a time when the world's leaders are struggling to keep international agreements on climate change afloat, what can mayors do? Khan has pledged to buy only hybrid and zero-emissions buses from next year, and is working towards London becoming a zero carbon city.

Khan has, of course, also gained heroic status for being a bête noire of climate-change-denier-in-chief Donald Trump. On the US president's withdrawal from the Paris Agreement, Khan quipped: “If only he had withdrawn from Twitter.” He had more favourable things to say about the former mayor of New York and climate change activist Michael Bloomberg, who Khan said hailed from “the second greatest city in the world.”

Yet behind his humour was a serious point. Local authorities are having to pick up where both countries' central governments are leaving a void – in improving our air and supporting renewable technology and jobs. Most concerning of all, perhaps, is the way that interest groups representing business are slashing away at the regulations which protect public health, and claiming it as a virtue.

In the UK, documents leaked to Greenpeace’s energy desk show that a government-backed initiative considered proposals for reducing EU rules on fire-safety on the very day of the Grenfell Tower fire. The director of this Red Tape Initiative, Nick Tyrone, told the Guardian that these proposals were rejected. Yet government attempts to water down other EU regulations, such as the energy efficiency directive, still stand.

In America, this blame-game is even more highly charged. Republicans have sworn to replace what they describe as Obama’s “war on coal” with a war on regulation. “I am taking historic steps to lift the restrictions on American energy, to reverse government intrusion, and to cancel job-killing regulations,” Trump announced in March. While he has vowed “to promote clean air and clear water,” he has almost simultaneously signed an order to unravel the Clean Water Rule.

This rhetoric is hurting the very people it claims to protect: miners. From the Ashes shows the many ways that the industry harms wider public health, from water contamination, to air pollution. It also makes a strong case that the American coal industry is in terminal decline, regardless of possibile interventions from government or carbon capture.

Charities like Bloomberg can only do so much to pick up the pieces. The foundation, which helped fund the film, now not only helps support job training programs in coal communities after the Trump administration pulled their funding, but in recent weeks it also promised $15m to UN efforts to tackle climate change – again to help cover Trump's withdrawal from Paris Agreement. “I'm a bit worried about how many cards we're going to have to keep adding to the end of the film”, joked Antha Williams, a Bloomberg representative at the screening, with gallows humour.

Hope also lies with local governments and mayors. The publication of the mayor’s own environment strategy is coming “soon”. Speaking in panel discussion after the film, his deputy mayor for environment and energy, Shirley Rodrigues, described the move to a cleaner future as "an inevitable transition".

Confronting the troubled legacies of our fossil fuel past will not be easy. "We have our own experiences here of our coal mining communities being devastated by the closure of their mines," said Khan. But clean air begins with clean politics; maintaining old ways at the price of health is not one any government must pay. 

'From The Ashes' will premiere on National Geograhpic in the United Kingdom at 9pm on Tuesday, June 27th.

India Bourke is an environment writer and editorial assistant at the New Statesman.

0800 7318496