Oral Answers to Questions Debate

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Department: HM Treasury

Oral Answers to Questions

Karl McCartney Excerpts
Tuesday 7th September 2021

(2 years, 6 months ago)

Commons Chamber
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James Daly Portrait James Daly (Bury North) (Con)
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4. What fiscal steps he is taking to help young people into work as part of the economic recovery from the covid-19 outbreak.

Karl McCartney Portrait Karl MᶜCartney (Lincoln) (Con)
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19. What fiscal steps he is taking to help young people into work as part of the economic recovery from the covid-19 outbreak.

Rishi Sunak Portrait The Chancellor of the Exchequer (Rishi Sunak)
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It is absolutely right that we remain relentlessly focused on helping young people into work, and our plan for jobs does exactly that with a range of initiatives. I would just draw colleagues’ attention to the fantastic youth offer that our jobcentres are rolling out, providing 13 weeks of intensive tailored support for those young people who enter universal credit and creating 140 dedicated youth hubs across the country.

Rishi Sunak Portrait Rishi Sunak
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I thank my hon. Friend for all the work he does as chair of the APPG on youth employment, and I thank him and his colleagues for their advice as we have developed these initiatives. He is right to highlight kickstart. This is a signature initiative of this Government, providing Government-funded, high-quality jobs for young people at risk of long-term unemployment. It has got off to a fantastic start, with 50,000 kickstarters already having started and thousands more to come.

Karl McCartney Portrait Karl MᶜCartney
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That initial response is helpful, and of course I commend the Chancellor and his Treasury colleagues for their financial support to some businesses over the last 18 months, and I realise important announcements from the Treasury and the Prime Minister are imminent. However, in a city such as Lincoln with such a vibrant hospitality sector, the cumulative impact of successive lockdowns has hit my constituents hard, especially young people, and my right hon. Friend knows that they are disproportionately employed in those businesses that are forced to close. Does the Chancellor agree that we must do everything possible to keep the economy open so that instead of paying young people not to work, we focus on creating well-paid jobs for them?

Rishi Sunak Portrait Rishi Sunak
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My hon. Friend is absolutely right to highlight the importance of hospitality in employing young people, which is why, together with our VAT cut for that sector and indeed £16 billion of business rates reductions, we have helped support all those jobs. He should also know that employers do not pay employers national insurance on those young people under the age of 21, nor on most apprentices up to the age of 25, demonstrating our support to those employers to keep young people in work.