From the TUC

Cuts Watch #71: Cuts in support for unemployed people

17 Jun 2010, by in Cuts Watch

Yesterday the Coalition were keen to tell us about the “tragedy” of unemployment, and the importance of helping the “forgotten millions” into jobs. But so far their key action in this area has been to make significant cuts in support for those who are out of work.

Today’s Treasury Annoucement confirms that £290 million is being cut from the Future Jobs Fund, that £30 million is being cut from the golden hello scheme.

New information has also been provided:

  • £450 million is being cut from the Young Person’s Guarantee, which will no longer be extended into 2011/12. This Guarantee provides all young people with a guarantee of a job, training or work after six months of unemployment – from next year these services will no longer be available.
  • £515 million is being cut from the Jobseeker’s Guarantee, which provides all unemplyed people of any age with additional support and help to find work after 6 months of unemployment.

The Government point out that they are introducing a new ‘Work Programme’ – but this is only a replacement for Labour’s existing Flexible New Deal, it will not provide a replacement for the support provided by the lost Guarantees. In addition, the new programme will not be in place until Summer 2011.

Across the UK today there are still close to 2.5 million people who are unemployed, and many more who are economically inactive and want to work. Supporting them into jobs should be a Government priority – cutting support for jobseekers is no way to go about it.

One Response to Cuts Watch #71: Cuts in support for unemployed people

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