Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment he has made of the potential impact of reducing youth unemployment on UK productivity and economic growth.

Getting young people into work is vital for driving growth in every postcode. Higher youth participation helps expand the workforce, reduce the risk of long-term detachment from the labour market and unlock economic potential across the country.

The Government acknowledges that there are significant challenges facing young people in the world of work. These challenges have been building for some time, with the number of young people not in employment, education or training (NEET) rising by over 100,000 in the last five years of the previous Government. We have also seen a growing challenge from ill health.

That is why the Government is investing £2.5 billion over the next three years in the Youth Guarantee and Growth and Skills Levy, supporting almost one million young people and creating up to 500,000 opportunities to earn and learn. Alongside this, Alan Milburn's independent review is examining the drivers of rising youth inactivity and identifying potential areas for reform. The Government will consider the review's recommendations carefully when it is published in the autumn.