Decision Maker:

Outcome: Recommendations Approved

Is Key Decision?: No

Is Callable In?: No

Date of Decision: February 6, 2025

Purpose:

Content: 12.1 The Committee received a report from the Executive Director of City Futures which sought approval from the Economic Development and Skills Policy Committee to accept and become the Accountable Body for £3.08m Department for Work and Pensions funding for an Economic Inactivity Trailblazer in 2025-26 aimed at supporting residents who are not engaging with the labour market to access employment. This programme will become part of an integrated system of employment, skills and health services within South Yorkshire known as Pathways to Work. The report also sought authority to use funding and commission providers to deliver frontline employment support services in Sheffield, which form part of the Pathways to Work system.     12.2 RESOLVED UNANIMOUSLY: That the Economic Development and Skills Policy Committee:     (a)  Approval to accept £3.08m in Economic Inactivity Trailblazer funding from the Department for Work and Pensions (DWP) to fund activity targeted at economically inactive residents of Sheffield. (b)  Approval to act as the Accountable Body for the funds allocated to Sheffield City Council. (c)  Approval to use the DWP funds to commission providers to deliver frontline employment support services, as part of the Pathways to Work system. (d)  Approve the delivery of Pathways to Work activity in Sheffield in accordance with the proposals outlined in this paper. (e)  Note that the Pathways to Work Programme needs to be commissioned and delivered in conjunction with the People & Skills UK Shared Prosperity Fund (UKSPF) activity.     12.3 Reasons for Decision     12.3.1 Approval of the recommendations will allow SCC to commission and deliver a scaled-up programme of employment support which aims to address the long-standing and increasing problem of economic inactivity, as part of a regional integration of employment, skills and health services under Pathways to Work. This will provide vital support for disadvantaged and under-serviced residents across the city, provide access to employment which can boost household incomes and improve health and wellbeing, and make a positive contribution to the city economy.     12.4 Alternatives Considered and Rejected     12.4.1 Alternative Option 1: Do not participate in Pathways to Work. Pathways to Work is envisaged as region-wide system change within the employment, skills and health landscape, with a view to simplifying the system, improving the lives of residents, strengthening communities and addressing long-standing structural economic challenges. SYMCA and the four South Yorkshire LAs need to work in partnership to achieve this. Given the high profile of the Pathways to Work Commission, and with Government funding an Economic Inactivity Trailblazer for South Yorkshire, nonparticipation would carry significant reputational risk for SCC. It would also negatively impact on SCC’s relationship with SYMCA and result the loss of VCS employment support services across the city, which SCC would no longer be able to fund.     12.4.2 Alternative Option 2: Pilot delivered by Barnsley only. Pathways to Work is based on the recommendations of Barnsley’s Pathways to Work Commission. This report is cited as influential in the Government’s ‘Get Britain Working’ white paper, which announced Economic Inactivity Trailblazer funding for South Yorkshire. There is an expectation that Pathways to Work will be delivered as a regional programme through Economic Inactivity Funding (£10m to SYMCA for the region) and not participating in would carry reputational risk to SCC.