Young people out of work or training could lose their benefits under new plans

The Labour party are doubling down on their promise to tackle benefit fraud, as they prepare to reveal strict changes to the welfare system.

Under the new plans, young people who refuse to take up jobs or training could lose their benefits.

What benefit changes are Labour proposing?

One of the key parts of Labour's new plans involves stricter measures for young claimants.

Work and Pensions Secretary Liz Kendall has said that if they repeatedly refuse to take up job or training opportunities, they could lose their payments.

• Kendall says claimants have a "responsibility" to take part in training or employment programmes.
• A proposed “youth guarantee” would  make sure that all 18 to 21-year-olds are either in work or studying.

While this plan aims to encourage young people to take available opportunities,  it also risks leaving some vulnerable individuals without crucial support if they can’t find suitable work or training.

Youth unemployment on the rise

Between July and September 2024, there were 627,000 unemployed young people aged 16 to 24, much more than the previous year.

There’s been a rise in young people out of work due to mental health issues since the pandemic.

• Over 3 million people are currently claiming incapacity benefits, with projections indicating this could rise to 4.2 million by 2029.
• The number of younger people claiming health-related benefits has also significantly risen.

Kendall said that there’s a “genuine problem with mental health in this country”, adding that some of the people who were out of work had “self-diagnosed”. 

Starmer’s “zero tolerance” approach

Keir Starmer has made it clear that Labour has a “zero tolerance” policy towards benefit fraud. He has committed to lowering the welfare bill by £3bn  over five years, by making sure the support only goes to those who truly need it.

There have been mixed reactions to his approach.

Some MPs, like Diane Abbott, argue that it maintains harmful stereotypes about those who receive benefits.

Starmer says that his party would “treat people with dignity and respect”.

Jobcentre reforms

As part of Labour’s plan to ‘get Britain working’, they plan to overhaul apprenticeships and jobcentres to reduce the number of people who are out of work.

Kendall told the Observer that jobcentres had become a hollowed-out “benefit administration service” that was no longer “fit for purpose”.