Yesterday, Prime Minister David Cameron publicly announced his plans to cut youth unemployment by creating 3 million apprenticeships, funded by £1b saved from welfare spending cuts.

The Prime Minister’s plan to reduce the welfare cap from 26,000 to 23,000, and the removal of housing benefit from people aged between 18 and 21 on jobseekers allowance, will raise around £255m a year, which can then be used to fund apprenticeships.

The reduction in the welfare cap will have an impact on an estimated 70,000 households, with 40,000 hit for the first time according to figures released by the Conservative party to the Press Association.

Up to 30,000 young people will feel the effects of the removal of housing benefits, and those aged between 18 to 21 will see their jobseeker’s allowance replaced by an an alternative levy limited to six months. Claimants who fail to find a job or an apprenticeship after this time will be selected to perform community work.

Cameron offered further detail of these new plans, demonstrating how he will fund these apprenticeships.

He said:

“Because of difficult decisions we will make on welfare, we will deliver 3m apprenticeships by 2020. This is a crucial part of our long-term economic plan to secure a better future for Britain.”

“It will help give us the skills to compete with the rest of the world. And it will mean more hope, more opportunity, and more security for our young people, helping them get on in life and make something of themselves.”

“We have already doubled apprenticeships this parliament. We will finish the job in the next and end youth unemployment.”

Liverpool Chamber of Commerce has endorsed the validity of apprenticeships, saying:

“If you are aged 16-24, apprenticeships can provide you with and alternative pathway to learning, qualifications, and direct opportunities to train for a career.”

Local law firm, MSB Solicitors took on two apprentices at their South Liverpool offices earlier this year. Managing partner of MSB, Paul Bibby endorsed the scheme, saying:

“I am not always and wholly a believer in the usual academic route into a professional career. Further and higher education just isn’t for everyone and it is time that there was a more flexible, dynamic and accessible route into employment.

“I have often seen young people enrolled in apprenticeships demonstrate an enormous amount of potential. At MSB we recruited two young apprentices earlier this year, both of whom have exhibited a high level of professionalism throughout their time here and an appetite to learn.

“I am a huge advocate of apprenticeships and I am delighted with the Prime Minister’s announcement to generate more.”

Source: The Guardian
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Words: Daniel Pearce