The Get Britain Working White Paper, which was published this week outlines the Government’s ambitious blueprint to tackle some of the nation’s most entrenched labour market challenges. From economic inactivity driven by ill health to youth unemployment and regional disparities, the paper sets a high bar with its promise of an 80% employment rate and sweeping reforms to employment, health, and skills systems. While the ambition is commendable, the plan must navigate complex realities to deliver results.
The diagnosis
The diagnosis is hard to argue with. The UK faces stubbornly high economic inactivity rates, particularly among those with long-term illnesses and disabilities. Youth unemployment and underemployment remain persistent, as does the gender gap in workforce participation. These issues, compounded by regional inequalities and underinvestment in skills, have created a labour market struggling to adapt to post-Brexit and post-pandemic realities.
However, the labour market in the East of England performs better that the national average and most other regions and nations. Employment rates have been consistently higher than the UK for decades. For the past ten years employment rates have been above 76% and close to the magical target of 80% for ‘full employment’.
Sources: Office for National Statistics, Labour Force Survey, November 2024
The East also performs well in relation to youth unemployment and health related inactivity. The proportion of young people aged 16 to 24 who are not in education, employment, or training (NEET) in the East of England stands at 10.5%, compared to the UK average of 13.2%. Those with health-related conditions represent the largest share of working age people who are currently inactive, and this figure has risen significantly since 2019. But while those claiming ESA and Incapacity benefit in the East is rising it remains lower (4.8%) than the national average (6.1%). However, it is important to note that despite the region performing relatively higher that the UK as a whole there are variations within the East and areas of low participation that need to be tackled.
Radical reforms or rebranded initiatives?
The White Paper’s points to outdated employment support systems, fragmented health services, and employer training gaps.
The proposed overhaul of Jobcentre Plus and the National Careers Service into a modern, digital-first employment service is a pivotal move. Merging benefit support with career development could redefine public employment services, shifting focus from managing unemployment to fostering lifelong career progression.
However, sceptics may view this as a rebranding exercise unless it truly integrates services to meet individual and employer needs. For instance, will the new system’s emphasis on digital services provide what is needed for those that are furthest from the labour market and without access to or skills for navigating online platforms? And how will this new service promote and provide careers services for adults who are already in the workforce and unlikely to come into contact with Jobcentre Plus?
And how does a reformed Jobcentre Plus fit with ambitions to devolve employment and skills provision to Mayoral Combined Authorities. These are aspects of the structural redesign which is not addressed in the white paper.
The Youth Guarantee, which promises every 18-21-year-old access to education, training, or work, is another highlight. Ensuring no young person is left behind is crucial, but funding and regional implementation will determine its success. Trailblazers in high-need areas are promising, including Cambridgeshire and Peterborough, but with the focus on Mayoral Combined Authorities the East will lose out in this early phase and the opportunity to implement and scale successful models.
Tackling health and work
Perhaps the boldest element of the paper is its integration of health and employment support. Recognising that ill health is now the largest driver of economic inactivity, the White Paper calls for targeted NHS reforms to reduce waiting lists, expand mental health services, and improve employer engagement in workplace health.
This system-wide approach is long overdue, but its success hinges on the capacity of already overstretched services. Can the NHS, struggling with its own crises, shoulder the additional responsibility of driving employment outcomes?
A long-term vision amid immediate crises
The Government’s ambition to achieve an 80% employment rate and position the UK among the world’s top-performing economies is inspiring but daunting. It requires unprecedented collaboration between central and local governments, the NHS, employers, and educational institutions. The devolution of decision-making to regional authorities and mayoral offices is a step in the right direction, but ensuring consistency across regions will be a complex balancing act.
What’s missing, however, is recognition of how much the labour market has changed since Labour was last in power. The rise of the gig-economy and underemployment is not explored and there is little acknowledgment of the immediate pressures facing workers such as insecure contracts and in work poverty, notwithstanding the rise in the living wage implemented in the recent budget. Rising living costs, wage stagnation, and the affordability of childcare are urgent barriers to workforce participation that need bolder, short-term interventions. Making work pay is vital to attracting more people into the workforce.
A Critical Juncture for Change
The Get Britain Working White Paper is undoubtedly ambitious, with its promises of inclusive growth, skill-building, and revitalised employment support systems. Yet ambition alone won’t bridge the gap between vision and execution. The Government must back its proposals with clear, sustained investment, robust evaluation mechanisms, and a willingness to adapt to emerging challenges.
If successful, this could mark a turning point in how the UK tackles unemployment and underemployment. But if these plans falter under the weight of overpromising and underdelivering, it risks becoming another missed opportunity in the face of mounting labour market challenges.
The White Paper paints a picture of potential renewal, but the real test lies in its implementation. Britain may be ready to work, but is the system ready to deliver?