Young people "frozen out of economy"

Young adults are being hit hardest by the Government sanctions regime, according to new analysis by national charity Citizens Advice.  An examination of Department of Work and Pensions (DWP) figures published today shows that whilst 27 per cent of all JSA recipients are aged 18-24, young people comprise 40 per cent of those hit by sanctions.

Whilst welcoming positive employment figures, the charity’s Chief Executive points out that 27 per cent of JSA claimants are under 24 years old and that there are 38,000 fewer young people in work today than one year ago.

The charity is particularly concerned that with young people receiving 40 per cent of all sanctions, more targeted support is needed to ensure they can contribute to the economic recovery. People receiving support to find work have their Jobseekers’ Allowance withheld for a minimum of four weeks if they are judged not to be doing enough to get a job or miss an appointment, however the charity claims that Government statistics underestimate the impact of sanctions on people’s lives.

Latest figures from the DWP show a 16 per cent rise in the number of people facing a sanction, whilst the number of problems about sanctions reported to Citizens Advice Bureaux in the past year went up by 64 per cent.

Gillian Guy, Citizens Advice Chief Executive, said:

“Today’s figures are welcome but many young people are frozen out of this recovery. There are fewer young people in work than this time last year and more than one quarter of all JSA claimants are 24 or younger.

“Young people are carrying the burden of unemployment and face the daunting prospect of funding rising pensions and social care costs. Despite welcome positive signs, 900,000 young people are out of work, we’ve seen a 57 per cent increase in youth homelessness problems and the total number of young people coming to us for help has gone up 53 per cent since before the recession.

“The impact on some people of the tough new sanctions regime is a chronic problem, based on a bad system, which is getting worse and making it harder for many people to find work. Our experience on the ground shows that people hit by sanctions often don’t understand why they’ve lost their support. The stress of a sanction can mean people are distracted by the desperate task of putting food on the table whilst still working hard to get a job.”

-ends-

Notes to editors:

1. The Citizens Advice service comprises a network of local bureaux, all of which are independent charities, the Citizens Advice consumer service and national charity Citizens Advice. Together we help people resolve their money, legal and other problems by providing information and advice and by influencing policymakers. For more see the Citizens Advice website.
2. The advice provided by the Citizens Advice service is free, independent, confidential, and impartial, and available to everyone regardless of race, gender, disability, sexual orientation, religion, age or nationality.
3. To find your local bureau in England and Wales, visit citizensadvice.org.uk. You can also get advice online at adviceguide.org.uk
4. You can get consumer advice from the Citizens Advice consumer service on 03454 04 05 06 or 03454 04 05 05 for Welsh language speakers
5. Citizens Advice Bureaux in England and Wales advised 2.3 million clients on 5.4 million problems from October 2013 to September 2014. For full 2013/2014  service statistics see our quarterly publication Advice trends
6. Citizens Advice service staff are supported by more than 21,000 trained volunteers, working at over 3,000 service outlets across England and Wales.