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House of Commons Hansard
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Universal Credit: Supporting People into Work
02 July 2018
Volume 644
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4. What assessment she has made of the efficacy of universal credit in supporting people into work. [906158]

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The Department published an analysis on 8 June which showed a near doubling of the proportion of UC claimants in a paid job after eight months into the claim. The Department published analysis last year which shows that UC claimants are 4 percentage points more likely to be in work than an equivalent claimant on JSA six months after their claim.

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The National Audit Office reported that the Department will never be able to measure whether universal credit actually leads to more people in work because it cannot isolate the effect of UC against other economic factors. So if the Department serious in what it told the NAO about intending to evaluate specifically the impact of UC, is that evaluation under way, how many people are being evaluated and when will it report?

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As the Secretary of State has said, we are at record levels of employment in this country and that is because of the policies of this Government. The hon. Gentleman talks about the 200,000 extra people who will be in work as a result of UC. He will also know that, in 2012, the Institute for Fiscal Studies looked at the methodology, which related to the key element of this, which was the financial incentives that will make more people go into work, and it concluded that this was within the plausible range.

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Does my hon. Friend agree that it is right that our welfare system supports those in need, but in the long term the best way out of poverty is sustainable employment?

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My hon. Friend is absolutely right. We are at record levels of employment in this country. It is interesting that the Opposition talk about estimates. If I remember correctly, back in 2010, the Opposition said we would lose 1 million jobs as a result of our policies, but we have created 3.2 million. At the end of the day, when it comes to estimates, I am not taking lectures from the Opposition.