Young People on Benefits to Be Offered Construction and Hospitality Work

Key Highlights

  • The UK government will offer 350,000 training and work experience placements to young people on benefits.
  • A guaranteed job in high-need areas is promised for 55,000 individuals starting from spring 2026.
  • 946,000 young people were Neet (not in employment, education or training) as of September.
  • Chancellor Rachel Reeves announced £820m to support jobless young people through various measures.

New Government Plans Aim to Tackle Youth Unemployment

The UK government is rolling out a series of initiatives aimed at addressing the rising issue of youth unemployment among those on benefits, as part of its broader strategy to boost employment rates and provide young people with opportunities in sectors like construction and hospitality.

Training and Work Experience Opportunities

In a bid to offer tangible support to out-of-work young individuals, the government has announced the creation of 350,000 training and work experience placements. These initiatives are designed to equip young people with the skills necessary to enter the job market, particularly in areas such as construction, hospitality, and health and social care.

Guaranteed Jobs for the Long-Term Unemployed

A key component of this plan is the guarantee of 55,000 jobs starting from spring 2026. These positions are targeted at individuals who have been out of work or education for extended periods and are in sectors identified as high-needs by the government.

Support Mechanisms for Jobless Youth

The Department for Work and Pensions (DWP) has also outlined a comprehensive support framework. According to the department, 900,000 young people on Universal Credit who are actively seeking work will be provided with a dedicated work support session followed by four additional weeks of intensive support.

During this period, employment coaches will guide these individuals through six potential pathways: finding work directly, gaining work experience, pursuing an apprenticeship, engaging in wider training, participating in learning programs, or joining workplace training schemes that offer guaranteed interviews.

Critics Weigh In

The plans have not gone unchallenged. Shadow Work and Pensions Secretary Helen Whately criticized the government’s approach, stating that the tax hikes included in Chancellor Rachel Reeves’ Budget are driving up youth unemployment, effectively “snatching a career from a generation of young people.”

Whately further emphasized that this scheme is merely an attempt to compensate for other measures in the budget, describing it as “taking with one hand and giving with the other.” This criticism reflects ongoing political debates surrounding economic policies and their impact on youth employment.

Contextual Background

The issue of youth unemployment has been exacerbated by various factors, including long-term sickness or disability, which affects a quarter of young people. Additionally, there is a growing trend in the number of individuals claiming health and disability benefits, adding to the challenge faced by policymakers.

To tackle this persistent issue, the government recently announced an independent review into the rising numbers of young people who are neither working nor studying (Neet). This review aims to identify underlying causes and propose solutions to address the root of the problem.

Reeves’ £820m funding package is part of a broader strategy to support jobless young people, encompassing not only the training and work experience placements but also measures aimed at making apprenticeship training for under-25s in small and medium-sized businesses completely free. These efforts are expected to form an integral part of the government’s national youth strategy, which is set to be published in the coming week.

By implementing these strategies, the government hopes to provide young people with the necessary support and opportunities to succeed, ensuring they have a fair chance at building successful careers.