Jim Murphy announces £95m jobs and training boost for young Scots

27 Apr 2009

Around 15,000 jobs could be created in Scotland for under-25s as part of a UK-wide initiative announced by the Secretary of State for Scotland Jim Murphy in Glasgow today.

The Minister formally announced the detail of the Future Jobs Funding at an official visit in Glasgow.

As a result of the Budget, the new fund will provide funding for around 150,000 jobs or work-focused training across the UK. It is aimed at 18 to 24 year olds before they reach the 12 month stage of a Jobseekers Allowance claim.

Jim Murphy said:

"The Future Jobs Trust has the potential to help thousands of young Scots across the country by providing around £95m of additional support. The fund has is focused on providing real help now to jobseekers and other people on benefits who would otherwise be unable to find work. That's exactly the right thing to be doing in these difficult times.

"Anything we can do to make sure more people, particularly those aged 18 - 24 who have been unemployed for around a year, are able to take up new jobs or training. That will provide valuable support to those who have been out of work and on benefit for around a year, helping to ensure they do not lose touch with the labour market.

"This approach ensures that young and disadvantaged people do not fall behind when it comes to employment. No one wants to see that and I hope Scottish local authorities and other relevant organisations will be active in bidding for the new funding.

"It's important we offer a helping hand to everyone looking for work - this is just one of the ways this Government is acting on its pledges to do that."

The Secretary of State will make the announcement on a visit to the Parkhead Jobcentre in Glasgow where he will hear more about the Traffic Light Initiative, a scheme which provides support for young jobseekers in preparing them for entry onto the job market. The trial is run in partnership with Jobcentre Plus, the Glasgow East Regeneration Agency and Skills Development Scotland.

Organisations will be invited to bid for funding from the Future Jobs Trust through the Department for Work and Pensions (DWP). Proposals which demonstrate the potential to lead to sustainable employment, include proposals for training to develop individual¿s skills, contribute to the creation of a significant number of new green jobs; and provide value for money and / or include additional funding from other sources are likely to be favoured.

Bids will need to be in line with existing locally agreed work and skills strategies and show that they do not replicate or replace existing jobs. Other large organisations such as social enterprises and voluntary sector bodies will be able to bid as long as their proposals meet the criteria set out during the bidding process.

Funding is expected to be awarded from this autumn on a rolling basis throughout the following 18 months at least until spring 2011. Each job created must last for a minimum of 6 months.

The Future Jobs Fund is a new initiative, backed by significant money, which will help to generate jobs for those in greatest need, particularly young people, but also in areas of high unemployment. It is an important part of the UK Government's commitment to delivering real help for young people and those who face barriers to employment, making sure people stay connected with the labour market and do not suffer the adverse effects of long-term unemployment.

In the Budget the Government announced that we would be introducing a major new Jobs Fund. This aims to create 150,000 jobs across the UK between October 2009 to April 2011 providing real help for young people and who face significant disadvantages in the labour market.