“Giving 18 to 21 year olds training allowances rather than unemployment benefits will be an attractive idea to many in the business community, who express concern that young people often don’t have the right skills to succeed in the world of work.


“The acid test will be whether these proposals help to address the confidence gap between businesses and young people. As our own Skills Manifesto has shown, companies aren’t confident when recruiting school-leavers and young people feel that businesses don’t give them a chance.


“If a new training-focused Youth Allowance can help tackle the confidence gap between young people and firms, it could receive real support from companies across the UK.”