Ageing Better reflections on the first year of Labour’s government
This week, the government moves into its second year in office following its election victory in July last year. Our Action Area leads look back on how the government’s actions in their first year have impacted our ageing population and what we hope to see policy wise in the future.
6 min read
Dr Emily Andrews, Deputy Director for Work
What has gone well: A new Employment Rights Bill banning exploitative zero-hour contracts, ending fire-and-rehire practices and extending sick pay and flexible working rights was at the forefront of Labour’s election manifesto and they have been true to their word in putting that high up their policy agenda.
The fact that the legislation has not passed as quickly as Labour intended, and that some elements of the reform won’t come into being until 2027, is evidence of the battle that the government has had to go through to convince employers that this reform can also benefit them. But that is politics, concession and deal making are all part of the art. We hope that the new bill will ensure that many more people in their 50s, 60s and beyond can find the work that works for them – which ultimately will benefit employers and the UK economy too.
What has gone less well: One of the biggest rebellions the government has had to face in its first 12 months is over its Welfare Reform Bill. This was a fight that was brewing from day one of the new government as it inherited spending plans that had large, but unspecified, welfare cuts baked into it and which Labour committed to broadly sticking to.
It simply isn’t credible to say that the package of welfare cuts put forward by the government would substantially boost employment rates for Disabled people – certainly not enough to make up for the loss of benefits.
What needs to happen in Labour’s second year: We hope that the government will show a greater focus on older workers in its second year.
If the government is to succeed with its economic growth mission, and if it has any hope of reaching its ambitious 80% employment rate, then there needs to be a specific focus on the 50+ workforce who have powered employment growth since the turn of the century until the pandemic. In its first year, the government has come out with a strong youth employment offer and that is certainly needed. But it has offered little so far to support people at the other end of the spectrum entering the final third of their working life.
The rewards are there if they can get this right. Closing the employment gap with younger age groups and achieving our employment targets for the 50-64 and 65+ age groups could increase GDP by at least £9 billion a year and boost income tax and NICs revenues by £1.6 billion a year.
Natalie Turner, Deputy Director for Localities
What has gone well: The government launched its Digital Inclusion Action Plan earlier this year. Considering the Digital Inclusion Strategy had not been updated for more than a decade means this reform is well overdue. And given the rapid pace of digitisation and technological advancement in that past decade, it is also vitally important. The Digital Inclusion Action Plan aims to address digital exclusion and promote equitable access to digital services across the country. We know that digital exclusion impacts a wide range of people and groups in society, not just older people, so it is good to see that reflected in the plan.
And we also know the scale of the challenge the plan will need to overcome. A quarter of people aged 65 and over don’t have access to the internet at home and only half of people aged over 75 have essential digital skills. Greater support is needed to overcome both these barriers.
What has gone less well: One of the first big battles this government has fought, and lost, and one of the major issues it will be remembered for in its first year, is the winter fuel payment cut and subsequent U-turn.
Has the government got either of the thresholds right for who needs winter fuel payments? Arguably not. Has the government struck the right balance between offering support to those who need it while delivering sufficient savings to the Treasury? Doubtful.
But at least in restoring the winter fuel payment to more low-income pensioners, the government has likely averted the worst-case scenario of a cold homes death crisis this winter. Ultimately, the government needs to find longer-term solutions to the challenge that this country has some of the least energy efficient homes and highest energy costs in Europe. ‘Warm Spaces’ have been a brilliant community and local government-led response to the crisis but in one of the richest countries in the world, there should not be the need for such initiatives.
What needs to happen in Labour’s second year: One of the highlights of the past 12 months in Parliament has been the publication of the Women and Equalities Committee’s Rights of Older People report which made the unequivocal case for greater government action against ageism and in addressing a lack of cross-government strategy on ageing.
It offered the government a golden opportunity to be more proactive in establishing a Commissioner for Older People and Ageing in England. That the government did immediately pledge to appoint a Commissioner is disappointing, but we are pleased that it is looking to explore the possibility.
A Commissioner for Older People and Ageing would help bring a cross-government, big picture strategy to manage the fundamental changes that come with the demographic shift we are experiencing. Hopefully the government will come to recognise the importance of such a role in the near future.
Millie Brown, Deputy Director for Homes
What has gone well: The government's commitment to investing more than £13 billion in its Warm Homes Plan has been a significant and welcome step in its first year in office. Although we are still waiting for full details of the plan, this fund has the potential to fix millions of cold and draughty homes, through insulation and other energy efficiency measures.
We hope that the delivery of this will succeed in reducing fuel costs for older people, and we encourage the government to use our vision of a national network of local Good Home Hubs to roll out the plan.
What has gone less well: In 2022, the previous government said that it planned to raise minimum accessibility standards for all new homes. It has now been three years since this commitment and we are still to hear anything from the new government on this issue. With its major focus on building 1.5 million new homes, the government should simultaneously be looking at how to raise the accessibility of these new homes to help future proof housing stock for an ageing population.
Mandating minimum accessibility standards, such as step-free access to all entrance level rooms, across the country is a quick-win for accessibility and would give developers clarity in an environment where many local authorities already require higher accessibility standards.
What needs to happen in Labour’s second year: There are nearly double the number of non-decent homes in the owner-occupied sector (2.1 million) compared to the private rented sector, and over half of non-decent owner-occupied homes are headed by someone aged 55 and over. This may be surprising, but many low-income homeowners lack the finances or confidence to carry out the work their home needs.
The government is doing lots to improve standards in the private rented sector and in social housing, but the upcoming Housing Strategy needs to set out detailed plans to provide support for low-income homeowners to make their homes healthier and safer places to live. A national network of Good Home Hubs, a local one-stop shop for all aspects of home repairs and adaptations, would provide a key local delivery mechanism to achieve this.
