Nick Clegg has announced a new boost for the Youth Contract, which aims to target unemployment in major cities and get young people into permanent job roles.
According to a press release, England’s 8 largest cities will now be able to bid for a share of GBP50 million to employ young people. Under the Wage Incentive scheme, employers can claim a GBP2,275 Wage Incentive payment for each young person.
Deputy Prime Minister Nick Clegg said: “The Wage Incentive is a key part of the Youth Contract to help young people into work and enable businesses to take on staff so that they can grow.
Local leaders are best placed to work with businesses and promote local initiatives to help young people get jobs. The Wage Incentive is demand driven – businesses are paid £2,275 when they take on an unemployed young person. Firms such as Forest Sofa Ltd, which I’m visiting today, prove that if young people are given a chance they are good for business and good for growth, whether that’s through apprenticeships, traineeships or the Wage Incentive.
Take up of the Wage Incentive has significantly increased since January, and now more than 4,000 young people a month are starting work under the scheme. When taken together with the increases in apprentices and work experience placements, the Youth Contract is making a real difference to getting young people into work and kick-starting the economy.
There are more people in work today than ever before. Since 2010 the government has helped to create over 1.3 million jobs in the private sector.”
