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Report says New Deal fails

This article is over 24 years, 5 months old
Issue 1679

Report says New Deal fails

NEW LABOUR’S flagship New Deal policy is not only failing to help young people. It is making things worse for people in the north of England. That is the startling conclusion of an independent survey of the government’s own statistics by researchers at Cambridge and Edinburgh universities. The government claims that 169,000 young people between the ages of 18 and 24 have found jobs. It has now extended the scheme to the over 25s.

But the new survey reveals such figures to be a con. It found that in the north of England three quarters of unemployed people who are forced onto New Deal schemes find themselves out of work again within six months. Most of those who do get a job find themselves in low paid, part time, temporary and insecure work. The survey argues that the New Deal “needs to be accompanied by active policies to stimulate job growth as well as associated measures to ensure those jobs are not simply marginal, low paid types of work”.

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