Baroness Sherlock
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(9 years, 9 months ago)
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Baroness Sherlock
To ask Her Majesty’s Government what action they are taking to reduce levels of youth unemployment following the recent closure of the youth employment contract incentive scheme.
The Parliamentary Under-Secretary of State, Department for Work and Pensions (Lord Freud) (Con)
Tackling youth unemployment remains a priority for this Government, and our successful Youth Contract will continue. The wage incentive will end as planned next March, just three and a half weeks earlier than anticipated. The youth claimant count has fallen by 134,000—the largest annual fall since 1997—taking it to its lowest level since 2008.
Baroness Sherlock (Lab)
My Lords, I have asked repeatedly about the Youth Contract wage incentive scheme in this House, and the Minister has repeatedly assured us that all is well. On 20 March, in relation to youth unemployment, he talked about,
“just about the most comprehensive response that has ever been seen”.—[Official Report, 20/3/14; col. 280.]
On 5 February, of the Youth Contract, he said: “Our approach is working”. On 7 April, he said:
“Our approach continues to work”.—[Official Report, 7/4/14; col. 1129.]
On 17 June, we were back to “the most comprehensive response”, et cetera. Now we learn that the wage incentive scheme is being scrapped. Can the Minister tell the House, first, how many of the target 160,000 wage incentive payments have been made? The last note that I saw had a figure of 10,000. Secondly, when did he realise the scheme was not going to reach its target and why did he not tell the House sooner?
Lord Freud
My Lords, I am keen to reaffirm that the Youth Contract is both comprehensive and working. One element, the wage incentive, has now helped more than 65,000 youngsters into jobs. The other elements of the programme are performing powerfully: 148,000 youngsters have started work experience on the programme, and 46,000 have gone into sector-based work academies.