Government should introduce a new, localised model of employment support, with clear long-term funding and commissioning powers handed to mayors and Combined Authorities, says The Future Governance Forum, a new progressive think tank focused on fixing Britain’s broken system of government, supported by service provider AKG.
The new paper finds, taking a place-based approach, with better integration across health, housing and employment services and support tailored to local economies’ specific needs, would drive up outcomes and help support local economies, pointing to the success of similar models in Greater Manchester, London and Northern Ireland.
The paper identifies the fragmented and uncertain funding landscape as a central issue. At next year’s Spending Review, Government should commit to multi-year spending settlements to fund this new model, giving regional government and service providers the long-term funding outlook they need.
The paper also calls for:
- Greater funds and resource to regional government
- New local Labour Market Partnerships with representation from local providers, key stakeholders and across layers of government
- Renewed DWP commissioning guidelines and oversight aimed at driving up standards.
Nathan Yeowell, Director of The Future Governance Forum, said: “Supporting more people into fulfilling, sustainable work is essential to addressing Britain’s economic inactivity crisis and advancing the government’s all-important growth mission. As we argue in the report, giving communities more stake in and control over the delivery of employment support services will be a key part of the answer.
“As the success of similar models in Greater Manchester, London and Northern Ireland show, a place-based approach to employment support works – raising service standards and supporting local growth at the same time. The government’s pledge to devolve new powers over employment support as part of its broader commitment to devolution is encouraging. However, as the report underlines, the devil will be in the detail.”
Ayden Sims, UK CEO, AKG, said: “The new Government has rightly identified current levels of worklessness as the greatest employment challenge for a generation. Tackling this will require a localised, holistic approach that factors in the health, skills and housing needs required to get people with the most complex challenges back into work.
“Key to this will be ensuring that the UK’s regions are provided long-term funding certainty to make long-term investment decisions, and in turn enable providers to deliver holistic long-term programmes that those out of work so desperately need.
“However there is an important role for the DWP here. Given the complex tapestry of employment support in the UK, it is the responsibility of central government to set the framework and ensure consistent high quality support is available in every region of the country”.