Youth Unemployment

Barry Sheerman Excerpts
Wednesday 9th November 2011

(12 years, 6 months ago)

Commons Chamber
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Liam Byrne Portrait Mr Byrne
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That is such an important point that we will dwell on it at length shortly.

Barry Sheerman Portrait Mr Barry Sheerman (Huddersfield) (Lab/Co-op)
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Will my right hon. Friend please ignore Government Members? They are in denial about what is happening to young people in this country. Young people are always the ones to suffer most in a recession. Does he agree that outside some parts of London and the south-east, we are in recession? We are in recession in Huddersfield and in his constituency, and we have to do something about it, but the Government are doing nothing.

Liam Byrne Portrait Mr Byrne
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My hon. Friend is absolutely right.

Under the Labour Administration, youth unemployment was 300,000 lower on average than under this Government today, even while the economy is supposed to be in recovery.

--- Later in debate ---
Liam Byrne Portrait Mr Byrne
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Is the hon. Lady seriously denying that a crisis in youth unemployment is unfolding now? [Interruption.] I am glad that she says from a sedentary position that she agrees that there is a crisis, because the question now is what we do about it. That is the answer we want from the Government.

Before I set out what the Opposition believe is the right next step, let us remind ourselves who is paying the bill for this failure. Since the Government came to office, the benefits bill alone is projected to rise by more than £12 billion, which is £500 for every house in this country. To pay that bill for the new workless, the Government are having to squeeze working people through cuts to child care and tax credits, and the acceleration of the rise in the state pension age. Good people who are doing the right thing and who are trying to get on and go up in life are being squeezed to pay the bill for people who have been put out of work by this Government.

Barry Sheerman Portrait Mr Sheerman
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Does my right hon. Friend agree that we need a massive plan for young people in our country, because this problem will get worse? We need education and training leading to work in the community and the environment. We need something bold and imaginative. The fact is that Government Members know that it is cheaper to keep young people on the dole.

Liam Byrne Portrait Mr Byrne
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My hon. Friend is absolutely right—

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Chris Grayling Portrait Chris Grayling
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I can indeed, and I shall carefully go through the different measures we have taken to tackle the youth unemployment problem. It is also important to note that we are targeting investment and support on parts of the economy where we want private sector growth so that jobs can develop.

It is worth remembering that the previous Government fiddled the figures on youth unemployment; they claimed to have abolished it. When people moved on to the new deal, they had a period of work experience and were transferred to a training allowance, at which point they no longer showed up in the figures. By that mechanism people who remained out of work for long periods temporarily disappeared from the figures, so long-term youth unemployment was, according to the previous Government, “abolished.” That was absolute nonsense.

Barry Sheerman Portrait Mr Sheerman
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I have known the right hon. Gentleman for a long time, and he is a reasonable man. People outside this place want a positive initiative, to which we can bind other parties. They want an adventurous and innovative scheme to give young people the chance to get off the dole and into training and work. That is what we are waiting to hear. If the Minister comes up with a scheme like that tonight, we shall support him.