Drastic action needed to tackle rising unemployment, says FSP

Liz Field, CEO of the Financial Skills Partnership is calling for action to rejuvenate the jobs market as stats show another month of growing unemployment.

Official figures released by the Office for National Statistics show unemployment climbing for another month. Young people are the worst affected, with unemployment hitting a million for the first time ever.

Figures from the Chartered Institute of Personnel and Development have also revealed employers intend to take on fewer new workers - a move that will slow the labour market further.

Field said: "The growing problem of unemployment affecting 16-24 year olds is part of an underlying trend that has been present for many months, and the changing tide in education, with fewer people going to university, makes it all the more urgent that the jobs crisis is addressed.

"Drastic measures are needed to reverse this worrying trend that is rapidly damaging growth prospects of the UK.

"Although there have been calls for the private sector to provide more jobs to offset losses in the public sector, much more needs to be done to instil confidence among private companies who at the moment are hesitant in bringing in new recruits. Investment in young talent and skills is a strategy with longevity but the young people themselves need the support to be integrated into new working environments.

"Employers need clarity of understanding of the skills landscape to inform skills investment decisions which will ultimately create growth and empower more young people with the tools to progress."