The £1bn initiative includes grants for employers hiring young people, expanded job guarantees and new apprenticeship incentives designed to help more 16-24-year-olds move into work or training.
The reforms also include new foundation apprenticeships in sectors such as hospitality and retail, alongside changes to the Growth and Skills Levy to prioritise opportunities for younger learners.
The announcement comes as youth unemployment and economic inactivity among young people have risen sharply, with close to one million people currently not in education, employment or training (NEET).
Responding to the announcement, Dr Joe Marshall, Chief Executive of NCUB, said:
“This is an important signal that the Government recognises the scale of the challenge facing young people as they enter the labour market. Expanding apprenticeships and creating more entry-level-job opportunities is essential to ensuring the next generation can access meaningful work and develop the skills our economy needs.”
“However, unlocking opportunity for young people requires more than funding alone. Universities, colleges and employers must work together to ensure that education pathways, skills provision and labour market needs are properly aligned. When these partnerships work well, they can create clear routes from education into high-quality careers.”
“If we are serious about unlocking opportunity for young people and tackling skills shortages, we must ensure that universities, colleges and employers are fully integrated into the design and delivery of UK’s skills system.”
