As youth unemployment figures are expected to rise again this month, the Confederation of British Industry call for tax credits to be given to companies which employ young people between the ages of 16 and 24. Last month saw the highest figure of youth unemployment since 1992, when records began. The number of youths not in employment reached 991,000, creating fears that it could exceed a million this month.
The CBI director general, John Cridland said:
“We’ll be making the case strongly to the Prime Minister that job creation, especially for young people, must be a major plank of the autumn statement. We are calling for a new Young Britain Tax Credit to encourage employers to take on unemployed 16 to 24 year olds to help them secure that all-important first step on the jobs ladder.”
On Tuesday, 15th November Nick Clegg said that he agreed that more help was required for the young unemployed. He admitted that not increasing support would be “a real dereliction of duty if we did not do more”. Carwyn Jones, Labour First Minister promised to help young people obtain work. Peter Hain, Shadow Welsh Secretary said that difficulties were being experienced by young people who had few skills and students who had recently become graduates.
Howard Archer, from HIS Global Insight has predicted that the total figure of unemployed, including people who aren’t entitled to Jobseeker’s Allowance, will peak at almost 2.6 million, the highest for 17 years.
Want to learn more?
Subscribe to our newsletter to get accounting tips like this right to your inbox