The livelihoods of hundreds of job centre staff have been given a late, unexpected reprieve by the surge in unemployment.

With so many people left jobless by the hostile economic climate, the Government has cancelled plans to close dozens of Jobcentre Plus offices in the coming months.

James Purnell told the House of Commons today that an extra 6,000 job centre staff would help people who lose their jobs as the recession deepens. The Confederation of British Industry predicts the unemployment figure will reach almost three million next year.

The Work and Pensions Secretary said that yesterday’s Pre-Budget Report granted sufficient funds to halt Jobcentre Plus closures.

Mr Purnell said, as Labour MPs cheered, that: “This Government is taking action. Action on the economy and action to help people face the effects of the global crisis. The right thing to do for this country, for individuals and for jobs.

“Unemployment began rising in January as we, like so many other countries, began to feel the shock waves of the credit crunch rippling out from the US banking system.

“But all governments have the same goal - to make the downturn as shallow and as short as possible.

“Yesterday’s announcement will enable us to continue with our reform of welfare to offer real help to people in these tough times.”

Mr Purnell said that an extra £1.3 billion investment will help job centres to respond.

Chris Grayling, the Conservative shadow work and pensions secretary claimed that the announcement was farcical.

“The Government’s claims on job centre closures are frankly downright misleading,” he said. “They have closed nearly 500 job centres since 2002 and they have been closing one a week whilst unemployment rises.”

The Conservatives insist that the Government had almost completed its closure programme before announcing this moratorium.

The Public and Commercial Services union said it was concerned that the additional 6,000 job centre staff could be at the expense of services in other parts of the Department for Work and Pensions (DWP), such as pensions and carers.

The union warned that the DWP was in danger of “robbing Peter to pay Paul”, unless job cuts were halted across the DWP and assurances given that the new job centre staff were not at the expense of resources in other crucial areas of the department.

General secretary Mark Serwotka said: “We have consistently argued that job cuts and office closures undermine vital services and the ability to tackle rising unemployment. We are glad that the Government has recognised this by halting jobcentre closures and with 6,000 new frontline staff.

“However, with the department already struggling to cope against a backdrop of 30,000 job cuts, we would urge the Government to give assurances that the new posts will not be at the expense of services in other parts of the DWP, such as pensions and carers.

Explore UK News

• Crime News

• Education News

• Health News

• Science News

• Scotland News

Times Recommends

• Tree stump 'shows image of Virgin Mary'
• BBC drops Strictly judge for younger model
• Trafalgar Square 'reduced to a spectacle'