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Digest: 3 to 31 January 2007

31 January 2007: New help for those on low incomes

People living on low incomes will be given advice about how to get bank accounts, low cost loans and manage their money better, as part of a new campaign was launched on 31 January.

The launch of the ‘now let’s talk money’ multi-media campaign is part of the Government’s ongoing work to tackle financial exclusion.

Department for Work and Pensions Minister James Plaskitt said: “By working closely with our partners in housing associations, charities and financial institutions on this campaign we can encourage more people to get free financial advice, and show them how getting a bank account and access to affordable credit can help them begin to leave their money worries behind.”

29 January 2007: DWP extends review of welfare

A review of the Industrial Injuries Disablement Benefit (IIDB) scheme was announced today (29 January) by Jim Murphy, Minister for Employment and Welfare Reform.

IIDB provides compensation and benefits for people who are injured or made ill through work and was introduced in 1948 when 61% of jobs were in heavy industry.

Jim Murphy said:

“The time is right to look at the kind of occupational injury scheme we need for the future. We want your views on what this scheme should look like in the 21st century. We want to make sure that the people who need the resources most, are those who receive them.“

24 January 2007: New error strategy launched

A new drive to reduce the amount of money lost to customer and official error in the benefit system is expected to save £1billion by 2012.

The pioneering strategy, ‘Getting welfare right: Tackling error in the benefit system’ and associated ‘Something to declare’ campaign were launched today (24 January) by DWP Minister James Plaskitt.

At the launch in Peterborough, James Plaskitt said:

“Our strategy for reducing error is based on prevention, compliance and correction: preventing new error, ensuring customers and staff comply with benefit rules, and identifying and correcting existing errors.”

17 January 2007: More in work and fewer on benefits

Employment is up by more than 270,000 on last year, according to latest Labour Market figures, alongside a fall in the number of people claiming benefits. ILO unemployment fell 29,000 this quarter and the unemployment rate is flat.

Other official statistics published in November showed the number of people on incapacity benefits reached its lowest level for six years, down 54,000 in the year to May. There was also a drop in claims for lone parent benefits.

Welcoming the figures, Employment and Welfare Reform Minister Jim Murphy said: "The latest figures provide a picture of a strong labour market - employment up, unemployment down and the numbers on benefits falling. Because of our reforms to the welfare state, more people have been looking for work and more people are taking up jobs.”

16 January 2007: Second reading for Pensions Bill

More people than ever would be entitled to a full basic state pension as a result of measures included in the new Pensions Bill, which had its second reading today (16 January).

Secretary of State for Work and Pensions John Hutton said: “This Bill would create a more generous, fairer state system. It would be of particular benefit to women and carers, who often lose out in the current system.”

It was also announced that people who have made voluntary National Insurance (NI) contributions to make up for gaps in their records may be able to claim a refund if they made the contributions since 25 May 2006.

11 January 2007: Greater role for faith groups in welfare

Faith based groups will have a greater role to play in providing welfare services in the coming years according to Minister for Employment and Welfare Reform Jim Murphy.

Mr Murphy said: “I believe that faith based groups offer an invaluable link into communities and individuals.

“I will be hosting a seminar in London where the country’s leading faith organisations will be able to come and talk about their own experiences, but more importantly what more they feel can be achieved and how best we go about doing this.”

9 January 2007: Lord McKenzie of Luton to join DWP

Lord McKenzie of Luton has been appointed Parliamentary Under Secretary (Lords) at the Department for Work and Pensions.

Lord McKenzie is currently a spokesman for HMT and Government Whip for the DTI. He became a Lord in 2004 and has represented Farley ward as a Councillor on Luton Borough Council, a post he resigned on his appointment to the Whip’s Office in 2006.

He worked for Price Waterhouse for much of his career, including roles in Hong Kong and Vietnam.

Lord McKenzie replaces Lord Hunt who has moved to the Department of Health.

3 January 2007: Diverse workforces better for business

Having a diverse workforce could help boost sales and attract recruits according to new research conducted for Jobcentre Plus.

The research showed more than half of customers would be more likely to use a business known to have a diverse workforce and nearly 80 percent think it is important for businesses to have such a policy in place.

Lesley Strathie, Chief Executive of Jobcentre Plus said: “This research proves to employers that being committed to diversity is not a business choice, but a business imperative.”