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£338 million jobs plan launched to support sick and disabled workers

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Passed into law last week and part of the wider £3.8 billion Plan for Change, the Connect to Work scheme expands existing employment support by delivering one-to-one coaching, job matching services and ongoing guidance for participants and employers. In total, around 300,000 people across England and Wales are expected to benefit over the next five years.

The Department for Work and Pensions (DWP) says the initiative is central to its ambition to increase the UK’s employment rate to 80 percent and tackle the country’s long-standing issue of economic inactivity. The programme builds on existing schemes like WorkWell, which launched in October last year, and aims to offer a more integrated approach to health, skills and employment.

Tackling economic inactivity

According to government figures, 2.8 million people in the UK are currently out of work due to ill-health. Of those not in work, more than one in four cite long-term sickness as the main reason, compared with just one in 10 in 2012. Ministers say this shift highlights the need for tailored and localised support that directly addresses the complex barriers faced by people with health conditions or disabilities.

Work and Pensions Secretary Liz Kendall said too many people had been left behind.

“For too long, millions of people have been denied the support they need to get back to health and back to work. It’s bad for their living standards, it’s bad for their families, and it’s bad for the economy,” she said.

“That’s why we’re taking decisive action by investing millions of pounds so sick or disabled people can overcome the barriers they face and move out of poverty and into good, secure jobs as part of our Plan for Change.”

Support at a local level

The funding is being allocated to local councils and regional partnerships, with each tailoring services to the needs of their communities. The largest share has been awarded to Central London Forward, which will receive up to £71.9 million to support more than 16,000 people in the capital. Other significant allocations include £47.1 million for the Local London Sub-Regional Partnership and £35.3 million for South Yorkshire.

South Yorkshire Mayor Oliver Coppard said that his region had pioneered the type of employment support now being rolled out nationally.

“I want South Yorkshire to be a place where we all thrive,” he said. “Where poor health doesn’t hold us back. And work plays a huge part. It’s not just about wages; it’s about dignity, pride and the security that comes from knowing you can support yourself and your family.”

The mayor said that currently, over “140,000 people across South Yorkshire aren’t in work. But many of those people desperately want to have a job, want to provide for their families, and contribute to the future of our communities. Which is why I’m proud that South Yorkshire is one of the areas delivering Connect to Work”.

He said the scheme was “designed to help those with disabilities, long-term health conditions or from disadvantaged backgrounds, into good, secure jobs”.

He added that South Yorkshire’s own Pathways to Work initiative had served as a model for Connect to Work, positioning the region at the forefront of national policy development.

One-to-one coaching already changing lives

Early results from pilot areas have shown promising outcomes. In West London, where £42.8 million was allocated earlier this year, participants have already found employment through the help of specialist coaches who provide targeted guidance and emotional support.

One participant, Awais Ashraf, credited the programme with helping him rebuild his life after a difficult period following a family bereavement.

“My health suffered with the loss of a family member, which led me into a period of depression and anxiety, and meant I lost my employment just under two years ago,” he said.

“My (Jobcentre) workcoach referred me to Connect to Work. I received a blend of support – from advice and tools in self-managing my health condition to identifying what skills I already had and could be transferred to another role. I’m now working as a teaching assistant, and knowing I have my employment specialist supporting me while I am in work is also a great reassurance.”

A joined-up approach for lasting change

Connect to Work is part of a broader strategy to deliver more localised support by empowering councils and regional authorities. This move towards community-level delivery has been welcomed by local leaders and workforce experts.

Councillor Tom Hunt, chair of the Local Government Association’s Inclusive Growth Committee, said that giving councils the lead role would improve outcomes.

“The Government’s decision to provide grant funding to councils and mayoral areas to deliver Connect to Work is a positive step. Evidence shows that councils are best placed to understand and respond to the needs of their communities,” he said.

“This not only facilitates supporting people move closer to work but also helps reduce wider social and financial pressures on communities and services, which helps reduce long-term welfare dependency and creates stronger and more productive, resilient local economies.”

CIPD backs personalised employment support

The Chartered Institute of Personnel and Development (CIPD), the professional body for HR and people development, told HRreview that it welcomed the government’s commitment to expanding employment support for groups that were often left behind in the labour market.

“We’re pleased to see additional investment for employment support to help more people access and stay in work,” Rachel Suff, senior wellbeing adviser at the CIPD, said. “Individualised placement support is proven to be effective in helping those who can face complex barriers to employment and it’s positive to see the linkage between work, health and skills to boost economic participation.”

She said it was crucial to ensure support across regions, and added that “[o]ffering targeted support and incentives for businesses to hire individuals who face disadvantages in the labour market, particularly those with disabilities or aged 50+, can help these groups into work, boosting overall economic productivity”.

More than just a job

Officials say the emphasis is not just on finding any job but one that matches a person’s skills, interests and capabilities, and ensuring support continues after the role begins. The approach is designed to lead to longer-lasting employment outcomes and reduce the likelihood of people cycling in and out of work due to health setbacks or inadequate workplace support.

The government says those eligible can self-refer to the scheme or be referred via local authorities, healthcare professionals or voluntary sector organisations. The first wave of expanded support is expected to roll out fully later this year.

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