Unemployment

Debate between Lord Freud and Lord Young of Norwood Green

Wednesday 26th January 2011 Lords Chamber

[Lord Young of Norwood Green]

To ask Her Majesty’s Government what action they are taking to deal with the increase in the number of unemployed people aged between 16 and 24.

[The Parliamentary Under-Secretary of State, Department for Work and Pensions (Lord Freud)]

The Government recognise the need to help young people into work and the adverse effect of long-term unemployment. Personalised support for young people through Jobcentre Plus, coupled with the new work programme will enable young people over 18 make the transition into work. We will help young people to make an effective transition from learning to work, and increase participation to reduce the numbers of young people who are not in education, employment or training.

[Lord Young of Norwood Green]

My Lords, given that these are the highest numbers of 16 to 24 year-olds recorded as unemployed since records began in 1992, does the noble Lord think that it is time for the Government to reconsider their decision to abolish the Future Jobs Fund, the guarantees on youth employment and the education maintenance allowance, as there is now a real danger of another lost generation? That concern is reinforced by the latest lack-of-growth forecasts, as I like to call them.

[Lord Freud]

My Lords, the figures for unemployment among young people aged 16 to 24 have risen with the recession and have been broadly flat from around the middle of 2009. They are still too high at 951,000 but they have been broadly flat in that period. However, I am worried about the number of NEETS in this country, which rose over the period of the previous Government by 250,000 to 1.4 million. That is a serious, long-term structural issue, and we have long-term structural plans to sort it out.

Welfare Reform

Debate between Lord Freud and Lord Young of Norwood Green

Thursday 11th November 2010 Lords Chamber

[Lord Young of Norwood Green]

My Lords, I, too, welcome the direction of travel of the Government. If there is a doubt, it is about whether, after the comprehensive spending review, their growth strategy is coherent. The Statement referred to 450,000 vacancies, but that is before we have seen the impact of the comprehensive spending review. The Minister has just mentioned skills. We have concern about the Government’s abolition of the Train to Gain programme and the funded NVQ programme.

I shall focus on two areas on which I would welcome some further explanation. As I think the Minister would readily acknowledge, matching people to jobs will in some cases require an awful lot of support. In the other place, the Secretary of State talked of mentoring, not only to get people into work but to provide support when they are in work. The Minister has spoken of integrated back-to-work support. Who will provide this support and will it be resourced and properly costed?

The Secretary of State denied in the other place that the Access to Work grants had been cut, saying that they had just been refocused on larger employers. However, on other occasions, the Minister has stated that job growth will come from SMEs. That is a contradiction. If the Government want people with disabilities to get back into work, Access to Work grants are an important part of creating employment opportunities.

[Lord Freud]

My Lords, I thank the noble Lord, Lord Young, for that question. We have an integrated strategy. Measures in the CSR will ensure that mentoring takes place; there is also the new enterprise allowance and so on. We are building those packages and will announce details in due course. Our main change to Access to Work is to make sure that when someone goes for a job they have the funding required. No one will take someone if they do not know whether they will receive Access to Work. That is the main way in which we are refocusing Access to Work, which we think is a good programme.