Alan Milburn, former health secretary, has stated that it will take a decade for the UK's benefits bill to decrease and for youth unemployment to reach a "reasonable level" as a result of his recommendations. He will publish a major review on Tuesday, which will urge ministers to implement significant reforms to address the youth unemployment crisis.
Milburn warned that the additional investment in young people would cost billions of pounds over a 10-year period. He rejected "crude cuts" to benefits, arguing that such cuts would only shift young people to other areas of government spending.
The report will advise sweeping changes to the benefits system for under-25s. This includes recommendations that some young people with disabilities could lose their ongoing Personal Independence Payment (Pip), instead applying to local funds for short-term expenses. Most under-25s would no longer be eligible for Pip or the health element of Universal Credit, receiving a new youth allowance at the standard Universal Credit rate.
Work and Pensions Secretary Pat McFadden acknowledged that the overhaul would have an "element of compulsion" for young people not in employment, education, or training (Neets). He also warned that some individuals would receive fewer benefits under the proposals, citing a doubling in young people claiming Pip and an 80% increase in those on the health element of Universal Credit since the start of the decade.