Ed Miliband will today declare a central ambition for the next Labour government is to conquer long term youth unemployment as he sets out a proposal for young people to be guaranteed six months of paid work if they have been out of work for a year.
In a speech to Labour’s youth conference on jobs in Warwick, Mr Miliband will launch the Real Jobs Guarantee for under 25s who are long term unemployed. This will see the bank bonus tax used to pay the wages of young unemployed people taken on by businesses who would be expected to meet the costs of their training.
Ed Miliband will say he plans for the real jobs guarantee to be taken up by private sector business right across Britain, with a presumption towards small firms wherever possible.
Following this week’s figures showing youth unemployment has risen to 1,042,000, Mr Miliband will say that the first line in a Labour Budget next week would be to introduce a Bank Bonus Tax to help get young people back to work.
He will emphasise that government has a responsibility to provide opportunity to them, employers have a responsibility to train them, and young people themselves have a responsibility to make the most of their chances.
His speech will explain why Labour’s offer, which on current figures would help at least 100,000 people, is a significant improvement on the existing Work Programme and would provide better long term prospects than the Future Jobs Fund that the last Labour government used to tackle youth unemployment.