The latest data from the Office for National Statistics indicates that some 21% of the working-age population are economically inactive.
As my right hon. Friend will be aware, the staff at Basildon Jobcentre Plus are doing incredible work to help people back into work. That has led to a local inactivity rate that is 12.6% below the UK average. Events such as its large employer-unemployed connection event, bringing together organisations with hundreds of jobseekers, are leading to really meaningful job opportunities. Can my right hon. Friend tell the House what else the Government are doing to get people off out-of-work benefits?
May I first commend my hon. Friend for all the good work he is doing locally? The 12.6% figure for economic inactivity is extremely low and is a great tribute to the work he has just referred to. Other things we are doing include: the provision of job interventions for over-50s who have retired early; the childcare provision I referred to for parents with childcare duties; and a great deal of work on how we better facilitate getting the long-term sick and disabled back into the labour market.
In Westmorland and the south lakes our challenge is somewhat different. With an unemployment rate of only 1.4% and an average age of population 10 years above the national average, our issues are 20 million visitors every year, a hospitality and tourism industry without the staff it needs, and a care sector likely to be without the staff it needs. That needs direct intervention: more affordable housing for local people, T-levels for local young people and visa rules that work for us. Will the Secretary of State agree to meet me and local business leaders in the south lakes, so that we can come up with a bespoke solution to solve our workforce crisis?
The hon. Gentleman refers to a smorgasbord of different policy areas across several Departments, including housing, skills and matters in the purview of the Department for Education, as well as my Department. However, I have heard what he says, and I will take it away and consider.
We come to the shadow Minister.
The Bank of England sets interest rates independently, but economic inactivity and the wider state of the labour market is a feature of our economy that will influence whether the Prime Minister is able to meet his promise to halve inflation. Can the Secretary of State tell us exactly what targets have been agreed by his Department with the Treasury on the role of the labour market in reducing inflation?
The hon. Lady is absolutely right that economic inactivity lies right at the centre of those elements that will determine our economic success in the years ahead—the others being the levels of inflation and interest rates, and other matters. On what has actually happened, we reached a record low level of economic inactivity just prior to the pandemic. It then spiked up. We have now reduced that spiked-up figure by about 300,000, with a reduction of 140,000 in the last quarter alone.