Unemployment: Young People

Lord Bates Excerpts

Wednesday 24th October 2012 Lords Chamber

Asked By

[Lord Bates]

To ask Her Majesty’s Government what further steps they will take to reduce the level of unemployment, particularly among young people.

[The Parliamentary Under-Secretary of State, Department for Work and Pensions (Lord Freud)]

The recent rises in employment and falls in unemployment, including among young people, are encouraging. We are committed to providing support to young people to give them the work experience and skills they need to find sustained employment. This includes the youth contract, which will provide nearly half a million new opportunities to young unemployed people over the next three years, as well as the Jobcentre Plus offer and the Work Programme.

[Lord Bates]

I am very grateful to my noble friend for a very encouraging answer. It is wonderful to see more young people getting a job, but would he agree with me that there is one thing better than getting a job, and that is creating a job? Would he therefore consider bringing in new measures to encourage more young people—be they unemployed, school leavers or graduates—to set up their own businesses and thereby unlock the vast creative capital among our young unemployed?

[Lord Freud]

Yes, my Lords, my noble friend makes a most valuable point. We are expanding the New Enterprise Allowance to encourage more people—in particular young people—to start up businesses. While this includes financial aspects such as offering loans and financial support, it is the mentoring tied up with that process that helps the youngster, or indeed anyone taking part, in actually making that business a success.