WIREDGOV

More than a million unemployed people are falling through cracks in national work schemes that are failing to reach some of the most vulnerable jobseekers, councils warned yesterday.

Latest employment figures released in December show that the number of unemployed people not claiming Jobseeker's Allowance has passed one million for the first time.

This means many of the hardest-to-reach jobseekers, such as young people or those with complex needs, are not receiving any government help into work with national schemes too focused on getting people off benefits rather than helping them into a job.

The challenge is growing rapidly, with a 28 per cent increase in the proportion of unemployed people not claiming benefits in the last 18 months.

The Local Government Association (LGA) said councils are being left to pick up the pieces to prevent more vulnerable people slipping further into long-term unemployment and disengagement.

Councils are warning that they cannot afford to continue resolving the failings of these national schemes in their communities without the appropriate funding. The LGA is calling for the next government to commit to devolving all nationally-run, education, skills and employment schemes to local areas so councils can join-up services to support their most vulnerable residents.

A report published today by the National Institute of Economic and Social Research (NIESR), commissioned by the LGA, explores in detail how a sample of councils across the country have provided a safety net for their most vulnerable and hardest to reach residents.

Working with employers, charities and voluntary groups, schools, colleges and housing associations, local schemes have provided one-to-one mentoring, training, work placements and apprenticeships. Specialist advice and guidance also supported people's wider needs such as housing and childcare, critical to helping people get a job and keep it.

The schemes have had success with helping some of the hardest to reach residents into work, such as lone parents, ex-offenders and disabled people which has contributed to reductions in the number of young people not in employment, education or training (NEET), lower re-offending rates and less use of health and social services which helps save millions of pounds from the public purse.

LGA Chair Cllr David Sparks said:

"Unemployment is falling, but the headlines hide the plight of our most vulnerable residents who are falling through the cracks. Too many are let down by national job schemes which are unable to identify or help them because they have not signed on at their local Jobcentre Plus.

"Councils across the country are desperate to ensure no-one is left behind and have sought to support those being forgotten by these national services by using their local knowledge, expertise and connections with local organisations and services to target their hardest to reach residents.

"These successful schemes act as a vital safety net for people but are under real threat with local government funding cut by 40 per cent during the life of this Parliament and pressure on vital services continuing to grow.

"It will be our most vulnerable who will suffer unless government commits to devolving nationally-run education, skills and employment schemes to local areas able to join-up and target services so that our vulnerable people are not left behind.

"This would allow councils to reduce long-term unemployment by a third by the end of the next Parliament."

The NIESR report's lead author, Dr Heather Rolfe, said:

"Local authorities have a unique position in their communities, able to bring services together, forging partnerships and strengthening referral networks. It is through such work that they are able to help unemployed people who are beyond the reach of national programmes."

Case studies

Bradford

The ‘Get Bradford Working' scheme saw Bradford Council invest over £10 million in Employment and Skills initiatives. This includes £1.4 million for the Routes into Work commissioned fund to target unemployed people, such as those with ill-health and disabilities who account for more than a third of the city's workless. It saw 35 per cent of those taking part ending up finding work, with 62 per cent of these still in sustained work when surveyed after 3 months.

North Tyneside

An Outreach team, set up by North Tyneside Council in partnership with Jobcentre Plus, tackled deprived areas by providing specialists advisors to help long-term unemployed people. A quarter of those given advice were helped into work.

Surrey

Specifically targeting young NEETs aged 16 to 19, Surrey Council invested £750,000 into a ‘Ready for Work' scheme to increase the take-up and availability of apprenticeship and work opportunities. It halved the number of NEETs in the county, which now has one of the lowest levels in England.

Gateshead

A locally-led work programme saw Gateshead Council provide mandatory support for unemployed residents to bring in income to be reinvested in council services. It saw 42 per cent of 18 to 24-year-olds in work, significantly better than the 28 per cent achieved by the national work programme.

Haringey

Advice, guidance, work placements and training were given to jobless residents from the first day of their unemployment. Haringey Council's scheme focused on lone parents and disabled people with a quarter of those helped finding work.

Southampton

Offenders from custody and probation were targeted with skills training and placements by Southampton City Council as part of its ‘Offender Skills and Employment Scheme'. It saw a 62 per cent reduction in re-offending rates and is estimated to have saved the Treasury £24 million.

Bury

The ‘Backing Young Bury' scheme, run by Bury Council, targeted long-term unemployed 18 to 24-year-olds. It worked with 38 young people with 32 progressing to jobs and training. In total, the council offered 160 apprenticeship opportunities since 2010.

Liverpool

Liverpool Council's ‘Streets Ahead Plus' scheme targeted lone parents in the city. It engaged 80 lone parents with 15 entering employment.

Cornwall

Cornwall Works Hub has supported and given advice to 10,000 people to reduce worklessness and raise employment rates in the county.

Notes to editors

1. The full report 'Local Authority Schemes Supporting People Towards Work': The LGA commissioned NIESR to compile the research with interviews taking place with councils during July and August.
2. CESI analysis of recent benefits data shows that 51.4 per cent (1,005,000) classified as out of work and wanting a job, having actively sought work in previous four weeks, are not claiming Jobseeker's Allowance – www.cesi.org.uk/statistics/labour/december-2014
3. The number of 16 to 24-year-olds out of work for more than two years has quadrupled in the past decade and reached 90,000, up from 21,000 in 2005 – www.local.gov.uk/media-releases/-/journal_content/56/10180/6664268/NEWS#sthash.GRCWLeOJ.dpuf
4. There are around 28 national schemes and services scattering provision across local areas, delivered by 10 different national departments and agencies and costing more than £13 billion.
5. The LGA has set out proposals for what the next Government should do in its first 100 days in power to tackle the big issues facing Britain today. It includes an aim to reduce long-term unemployment by a third. Find out more at http://100days.local.gov.uk

ends

Greg Burns, Senior Media Relations Officer
Local Government Association
Telephone: 020 7664 3184
Email: greg.burns@local.gov.uk
Media Office (for out-of-hours contact): 020 7664 3333
Local Government House, Smith Square, London SW1P 3HZ

www.local.gov.uk