Prime Minister Andy Burnham will make his first major intervention into the welfare bill on Tuesday, with plans to cut costs by better integrating young people into the workforce. The Makerfield MP, who took office last week, hinted at the upcoming announcement during a BBC Panorama interview on Monday, where he warned that some young people have been 'quite seriously let down' by a lack of support.
Welfare Bill Focus on Youth Employment
According to the Financial Times, Burnham will order schools to tailor their curriculum to the needs of local employers to close the 'gap between the classroom and workplace'. He will argue that the best way to bring down the welfare bill is to stop people being disconnected from work, according to people briefed on discussions. The Prime Minister plans to channel his experience from working in the North West as Greater Manchester Mayor to drive this agenda.
During the BBC interview, Burnham also warned that Department for Work and Pensions (DWP) payouts could become conditional on 'people taking opportunities that are presented in front of them'. This marks a shift towards greater conditionality in the welfare system.
Conditionality and Pending Reviews
Burnham is currently awaiting the outcomes of two major DWP reviews: the Timms Review, into Personal Independence Payment (PIP), and the Milburn Review, which focuses on the issue of NEETs (young people not in education, employment, or training). Both reviews are due to give final recommendations to the Prime Minister this autumn, the DWP has confirmed. These reviews are expected to inform the longer-term direction of welfare reform.
The announcement on Tuesday is seen as the first step in a broader effort to reduce the welfare bill, which has been a growing concern for the government. Burnham's background as a former mayor and his focus on local employment links are expected to shape his approach to welfare policy.
