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Fury as Philip Hammond suggests disabled workers are suppressing economic productivity

The Chancellor's comments are being branded "ignorant" and "shocking" as Labour accuses him of "disgusting scapegoating".

Philip Hammond
Image: Philip Hammond made the comments to the Treasury select committee
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Philip Hammond has been criticised for suggesting disabled workers are suppressing productivity rates.

The Chancellor said "increasing participation" in the workforce, "for example of disabled people", may have "had an impact on overall productivity measures".

He made the comments to the Treasury select committee on Wednesday afternoon, also saying the higher rate inclusion was "something we should be extremely proud of".

Mr Hammond said productivity was not the only indicator of economic health, adding: "It may have collateral impact on measured productivity performance."

Two robotic arms manufacturing something in laboratory while female engineer is in the background.
Image: The Government is trying to tackle the UK's low productivity

But the comments sparked fury among Labour MPs.

Marsha de Cordova, shadow minister for disabled people, who is registered blind, called the comments "disgusting scapegoating".

She wrote on Twitter: "Shocking that Philip Hammond is trying to blame disabled people for low productivity!

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"Disabled people contribute enormously and disability employment gap has barely changed since productivity started to stall. Disgusting scapegoating!"

Debbie Abrahams, Labour's shadow work and pensions secretary, also called for the Chancellor to apologise, saying in a statement: "We should be increasing disabled people's access to employment, not denigrating their contributions. The Chancellor should apologise immediately."

Treasury committee member John Mann said on Twitter: "Appalling. Chancellor just linked low productivity growth to the labour market and specified the increased employment of disabled people.

"My experience of employing disabled people is that they are brilliant employees. The Chancellor's comments are ignorant."

Around 300,000 more people with disabilities are in work now than in January 2014, according to the latest figures from the Office for National Statistics.

The Government has been aiming to drive more people into work through changes to the benefits system, and announced in last month's Budget a plan to get a million more into employment.

It comes after the Chancellor's gaffe last month, when he insisted there are "no unemployed people".