Andy Burnham, the newly elected Labour MP for Makerfield and expected successor to Sir Keir Starmer as Prime Minister, has outlined plans to cut the welfare bill by targeting young Universal Credit (UC) claimants who are not in employment, education, or training (NEETs). The former Greater Manchester Mayor aims to reduce spending through employment support rather than "crude cuts," according to sources familiar with his thinking.
Milburn Review Recommendations
Burnham is taking the Milburn Review "very seriously," which is expected to recommend restricting access to Universal Credit for NEETs as a counterpart to enhanced employment support. The review, released last month, warns of a "lost generation" with an estimated cumulative cost of £125 billion. About 1 million young people in the UK—roughly one in eight—are currently NEET, and the situation is worsening both in absolute and relative terms.
Work Placements and Apprenticeships
Burnham has promised to offer a "much greater supply" of 45-day work placements and apprenticeships for young people. A spokesperson for the Makerfield MP stated that Burnham has "talked about supporting young people into work as the most effective and sustainable way to grow the economy and lower the welfare bill." On Monday, Burnham emphasized his desire to "reduce the welfare bill in a way that is fair and lasting and helps people move forward," with plans for the "devolution of employment support."
Health and NEETs
The Milburn Review highlights that health "has become central to who becomes Neet and who stays Neet," calling this "a story that should disturb anyone who cares about the future of young people in this country." Burnham's approach aims to address both economic and health-related barriers to employment.
