Youth Jobs Grant: Giving Tamworth’s Young People a Real Chance

In May, the interim findings of the Milburn Review into youth unemployment were released. The findings were stark. One million 18-to-24-year-olds are classified as Not in Education, Employment or Training (NEET). Worryingly the Youth Futures Foundation reported that in Tamworth young people are more at risk of falling out of work, training or education than the average across the West Midlands.

This week, the Government announced a package of measures to tackle this crisis, including the Youth Jobs Grant. This will offer businesses £3,000 to hire 18-to-24-year-olds who been claiming job seekers benefits for at least six months. These measures will support 60,000 individuals to transition from welfare and into work where they can develop their skills and build their confidence.

The Youth Jobs Grant will be introduced alongside a significant expansion of the national network of Youth Hubs. These will directly benefit young people in Tamworth, as our town will be home to one of 360 Youth Hubs across the country. These are welcoming community spaces which bring together mental health and housing support with skills and training opportunities. In Tamworth, the Youth Hub will be based at the employment centre on Victoria Road with direct links to local employers and skills providers.

Research has found that declining mental health outcomes for young people are associated with worsening opportunities for professional development. I recognise that common mental disorders, such as anxiety and depression, can make the prospect of work daunting for some people which can create a sense of isolation. Therefore, I support the sensible approach the Government is taking by combining mental health support with skills training and local employment through the Youth Hubs programme.

Our young people have immense talent and potential. However, I understand that hiring can be a risk, especially for small businesses. In my capacity as a member of the Business and Trade Committee I have spoken to numerous employers on the skills and cost challenges they’re currently facing.

Across our economy there is a mismatch between the skills demanded by businesses and those provided by the education system. It is for this reason, I have been delighted to witness the success of South Staffordshire College’s campus in Tamworth over the last year. It has been exciting to see our young people gain practical skills in a range of sectors from IT, cybersecurity and engineering to fitness and catering. These are the skills our region needs to fuel future prosperity and illustrates the power of strong partnerships between our local businesses and further education colleges. 

Finally, the Government must continue to engage with businesses and workers to ensure the costs of employing young people do not deter hiring. I support the announcement of a new £2,000 grant for small firms recruiting out-of-work young people, and additional financial support for hiring those with an EHCP. Additionally, employers will not pay National Insurance Contributions (NICs) for workers under-21 and apprentices under 25. Following the Government’s action to equalise the national minimum wage for 18- and 21-year-olds, these measures will ease the costs of hiring to ensure workers receive a fair deal, and young people are given a fair chance.

Young people are the future of our country and our economy. The Government must continue to invest in skills and work with businesses in areas like Tamworth to ensure every young person is given the opportunity to fulfil their potential.