Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, what steps he is taking to ensure the Universal Credit framework supports young claimants transitioning into self-employment.
The Government supports self-employment through Universal Credit, where it is a realistic route for customers – including young people – to become financially self-sufficient. Customers who have decided to pursue gainful self-employment may be eligible for a start-up period of up to 12 months, during which the Minimum Income Floor does not apply. Work Coaches can also signpost customers to available support, including business advice, mentoring, and training opportunities.
We recognise the crisis of participation that Alan Milburn has so clearly laid out in his interim report. Between 2021 and 2024, the number of young people not in education, employment or training increased by 250,000. We are considering the interim findings as we develop our reforms and await the final recommendations in the Autumn.