The Government will next week set out its response to Alan Milburn's review of youth unemployment, but the Prime Minister has declined to commit to implementing all of its recommendations. Andy Burnham described the forthcoming report as a "watershed moment" in how the Government thinks about supporting young people into work, yet told reporters he could not give a "blanket assurance" on accepting the proposals in full. The timing of this caution comes as some Labour MPs have already expressed concerns about the extent of future support for young people under the Government's welfare plans.
Milburn's review addresses the number of so-called Neets, shorthand for 16 to 24-year-olds not in education, employment or training. This group topped a million earlier this year for the first time in more than a decade, prompting the independent review. The report is expected to recommend that under-25s no longer be able to claim the health element of universal credit or personal independence payments, instead moving them to a proposed "youth allowance" paid at the same level as the standard rate of universal credit. The review will also recommend investing billions in career support to help young people find work.
Burnham's reluctance to back the full package reflects the politically sensitive nature of welfare policy within Labour ranks. Asked about the proposals during a visit to Dublin, the Prime Minister said the Government would have to see the detailed recommendations before responding. He emphasised that implementing the review's suggestions would not require "more money" but instead involve "spending differently" across Government. When pressed on the substantial upfront investment the reforms are expected to require, Burnham argued the Government would reprioritise existing resources rather than increase overall spending.
The Prime Minister pointed to several areas where he said better use of current resources could support young people. He highlighted the need to fix young people's access to mental health support and the importance of an education system that treated technical and academic paths as equally valuable. Burnham stressed that the Government's approach would focus on "reprioritising within what we've already got" rather than seeking additional funds. Milburn's independent review told The Times that the proposals would require "significant" upfront investment and could take 10 years before savings are realised.