DWP expands Jobs Guarantee to 90,000 young Universal Credit claimants
DWP expands Jobs Guarantee to 90,000 young claimants

The Department for Work and Pensions (DWP) is extending its Jobs Guarantee scheme nationwide across England, Scotland, and Wales from the end of November, following a successful pilot. The initiative aims to help more than 90,000 young people who are most distant from the employment market into work by March 2029.

Reduced waiting period

From April, eligible 18 to 24-year-olds will be provided with a fully-funded position after 12 months of unemployment, rather than the previous 18 months. The nationwide rollout follows a successful pilot in six regions with the highest rates of youth unemployment and comes before a landmark review into youth inactivity by Alan Milburn, which is expected to be published next week.

How the Youth Guarantee works

Under the Youth Guarantee, the Government fully funds up to 25 hours of paid employment weekly for six months at the relevant minimum wage. Positions are specifically tailored to each claimant's abilities. Young people will also receive bespoke pre-employment and in-work assistance to help address obstacles to employment, from developing confidence to acquiring on-the-job skills.

More than 400 employers have already signed up to the initiative, including recognisable high-street brands such as Lidl, Boots, and Leonardo Hotels. Local authorities and mayors have assisted in choosing delivery partners to ensure the positions benefit communities in their areas.

Official response

Work and Pensions Secretary Pat McFadden said: "The longer someone is out of work, the harder it is to get back in, and no young person should be left waiting on a scrapheap for an opportunity. That is why we are expanding our guaranteed jobs scheme across Great Britain and bringing it forward, so that help arrives when it matters most."

He added: "Employers are crying out for talent, and there is a generation of talent ready to be unleashed. We are backing them with the support they need to build a fulfilling future."

Participant and employer views

One young person currently on the Jobs Guarantee scheme, placed at Kenny Waste, said the programme had a "really positive impact" on their confidence. They said: "Before starting my placement, being out of work made me feel uncertain about my abilities in settling into a workplace and being able to handle the job role after being out of one for so long. Working in a supportive team and having reassurance from my brilliant co-workers helped me overcome this."

They continued: "Even though I have only been in the role for six weeks, I feel like it was the perfect placement for me and have gained so much from it already. They really do find the right role for each person."

Stephanie Rogers, Chief People Officer at Lidl GB, shared similar views, observing that young people frequently "struggle to find the right door to open". She continued: "Through this scheme, we are not just offering a placement, but industry-leading training and a supportive environment where young people develop transferable skills to secure their future."

Future changes for health claimants

The DWP has also confirmed that the programme will be expanded further down the line. From April 2027, those claiming the health element of Universal Credit will be provided with a guaranteed job on a voluntary basis. The Government states this demonstrates a pledge to ensure young people with health conditions or disabilities receive the assistance they require to engage in the workforce, rather than facing an assumption that they cannot work.

The Jobs Guarantee represents the final stage in a broader £2.5 billion package of support for young people on Universal Credit, which encompasses early intervention from Work Coaches, local Youth Hubs, and employer hiring payments for those out of work for six months.