Benefits to fund work support for young people: Neet review author Alan Milburn’s plan

Milburn calls for welfare shift

The author of a government-led review says ministers should reduce welfare spending and use the money for more employment support. He argues that upfront investment is needed to address the youth Neet crisis.

Milburn’s review found that a record 1 million people aged 18 to 24 were not in education, employment or training. It also reported that 60% of those classed as Neet had never had a job.

A problem beyond unemployment

The former cabinet minister says the figures reflect more than a cyclical rise in youth unemployment. He calls the issue “youth detachment,” pointing to the large share of young people who have never worked.

Milburn also describes the crisis as a health problem. He said ill health was driving higher Neet rates and that not participating was harming young people’s mental health.

Funding and budget pressures

The intervention comes before John Healey’s first budget. The chancellor faces pressure to explain how he will address a multibillion-pound shortfall in the country’s finances and fund more cost of living support without increasing borrowing. The chancellor has indicated he is willing to spend more on youth unemployment programmes in the short term, even if savings from welfare changes take longer to emerge. Last month’s Labour conference saw him announce a £100m local apprenticeship service, which he called “a downpayment on Alan Milburn’s work.”