
Former Labour minister proposes shifting £22bn youth benefits spending toward employment support
Former Labour minister Alan Milburn has called for a legal guarantee of a job, training, or employment support for young people, proposing to shift £22bn in youth benefits spending toward employment measures, with benefit losses for those who refuse help.
AI-generated summary
Almost one million young people in the UK are not in employment, education or training (Neet), according to the latest Office for National Statistics data. Alan Milburn's proposals on welfare and young people will be unveiled on Tuesday, with a statement in Parliament and draft laws expected early next year.
Young people should have a legal guarantee of a job, training or employment support, the author of a major review of youth unemployment has told the BBC.
Alan Milburn, the former Labour minister whose proposals on welfare and young people will be unveiled on Tuesday, said those who refuse to take up the help could lose their benefits.
In an interview to be broadcast on Sunday, Milburn called for a radical shift in government spending away from benefits for young people to measures that support them into work.
He claims spending on benefits for young people is 25 times as much as spending on employment support, and believes the ratio should shift to two to one.
That would mean significant cuts to benefit spending and significant extra taxpayers' cash for training, education or other forms of support.
Milburn said "the pendulum's swung far too far from the one to the other - £25 to one, and we can take everything to £2 to one".
He added: "To do that, we've got to invest, less in benefits, so we've got to be paying out less in benefits."
The former MP acknowledged that would mean some young people losing out on benefits, arguing the system should focus on helping people into work rather than keeping them dependent on welfare.
Milburn said the government is already spending £22bn a year supporting young people who are economically inactive, and that money needs to be spent differently.
He has already said that the under 25s should no longer be able to claim some health benefits – the personal independence payment and the health element of Universal Credit.
In his other major announcement, Milburn spoke of the proposal he calls an "opportunity guarantee" for young people.
This would put a legal duty on government to ensure young people have access to a route into employment.
He said: "It should be a guarantee for a young person. Because at the moment the only guarantee they've got is a very simple thing. To get a benefit. What sort of life is that?"
The "opportunity guarantee" might work similarly to the way that councils have a legal responsibility to offer homeless people accommodation or advice, or accommodate children in care.
Milburn argues previous employment schemes have been temporary, and says a permanent legal entitlement is needed to tackle the long-running problem of young people not in education, employment or training.
The government is expected broadly to welcome the proposals, which will be published in full on Tuesday, with a statement in Parliament and draft laws early next year.
Almost one million young people in the UK are not in employment, education or training - otherwise known as Neet - according to the latest data from the Office for National Statistics.
Prime Minister Andy Burnham has described Milburn's forthcoming report as a "watershed moment," but stopped short of committing to implementing its recommendations in full.
Burnham also insisted paying for the reforms would not mean "more money" but "spending differently" in government when pressed on the large upfront investment they are expected to require.
Asked whether he would accept the politically sensitive report in full, Burnham declined to provide that "blanket assurance".
Speaking to reporters in a trip to Dublin on Thursday, he said: "We will have to wait until the report is published. It's a wide-ranging report, and obviously we'll set out our response next week.
"But I think it's really important to see the report as quite a watershed moment I think in terms of how we think about supporting young people and supporting young people into work."
Conservative Party leader Kemi Badenoch has previously said the government should not be spending "lots of time" on employment schemes, which she said would ultimately fail.
Her party and Reform UK have argued for significant cuts to welfare, including to fund a boost to defence.
Reform economy spokesman Robert Jenrick said: "This review is pointless unless we get action from Burnham straight away.
"It cannot be right that this continues for another 10 years before the youth benefits bill comes down."
The Liberal Democrats want the government to introduce a 100-hour work experience guarantee and a careers coach for every young person.
They believe this would equip youngsters with the best possible skills before they leave school.
The Green Party has warned against "demonising" young and disabled people and wants the government to address the "structural inequalities stacked against them".
AI outlook — possibilities, not facts
The government will publish Milburn's full report on Tuesday with a statement in Parliament.
Very likely · Within days
The government will set out its response to the report next week.
Very likely · Within weeks

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