New Deal has made economy “half a billion pounds richer”

Long-term youth unemployment would be twice as high without the Government’s New Deal for Young People programme, according to a new report.

The report by the National Institute of Economic and Social Research (NIESR) on the first two years of New Deal (April 98 to March 2000) also concludes that the economy is richer by half a billion pounds a year due to the Government’s investment in New Deal.

Education and Employment Secretary David Blunkett welcomed the report saying, “”This report underlines the key contribution of New Deal to the economy and this Government’s investment in turning our wasted youth into working youth. It’s valuable findings will add to our continual analysis of New Deal and help us develop the programme further.”

“The report says that there are 25,000 more people in work and 40,000 fewer young people unemployed at any one time. Youth unemployment is now at its lowest level since the mid-seventies,” said Employment Minister Tessa Jowell.

Comments are closed.