Half of public say young unemployed need more government support to get jobs

Almost half (49%) of the UK public believe that younger unemployed people need more support from the government to get a job, according to new polling by Opinium and the British Retail Consortium (BRC).

It comes at a time when official figures show youth unemployment has climbed to 16%, with 713,000 people aged 16-24 out of work.

A major stumbling block has been the rise in employment costs, making it harder for businesses to offer entry level roles and pushing youth unemployment steadily higher.

In the last two years businesses have faced two rises to the National Living Wage, a rise in the employer National Insurance Contributions (NIC) tax rate, and a drop in the employer NIC threshold for payment. That has pushed up the costs of employment for retailers by well over £6bn in just two years.

Concern about youth unemployment was highest in Wales, where 63% of respondents said there should be more support for younger unemployed. That comes just before voters in Wales voters go to the polls to elect a new parliament.

Helen Dickinson, Chief Executive of the BRC, said: "Opportunities for young people are disappearing in front of our eyes. The reasons are clear: hiring is more expensive and businesses costs are soaring. The public want decisive action by government to get people - particularly young people - back into work. This is critical for their future, and the future of our economy.

"Instead, we see government pushing up the cost of hiring, from last year's National Insurance hike to poor implementation of parts of the Employment Rights Act. We are sleepwalking towards a jobless generation unless the government halts the upwards spiral of employment costs and red tape."

A second question put to the UK pubic in the poll was whether people agreed or disagreed that the government should "reduce the cost and requirements for employers when hiring people under 25". That showed over half (53%) agreeing, and only 7% disagreeing.

While initiatives like the Youth Guarantee are seen as "a step forward", it is unlikely to meet the scale of the challenge. The BRC believes that retail is ready to step up to support young people across the country, as the industry is one of the country’s biggest gateways into work. It employs around 2.8 million people, including 780,000 16-25-year-olds who account for 28% of its workforce.

Both the BRC and the public believe that the government should expand youth employment schemes and ensure the implementation of the Employment Rights Act "strikes the right balance" in ensuring it gives workers meaningful protection, without adding unnecessary cost and complexity to hiring.

While younger people topped the list of those who need more support in the poll, that was followed by those with disabilities (41%), working age unemployed (36%) and those out of work for longer than 12 months (35%).