This audit looked at the New Deal for Young People programme, first introduced on 6 April 1998 and attempted to answer the question: how successful had the New Deal, costing almost £2 billion, been in combating youth unemployment? It concluded that the New Deal had had only a modest impact on unemployment, on the numbers not in education, employment or training, and therefore the numbers recorded as inactive. The New Deal needed to be recast as a matter of urgency. Changes needed to be introduced to:
- Implement the New Deal from day one of unemployment.
- Devolve employment schemes and budget powers to local offices giving them the ability to promote individual programmes.
- Encourage local offices to work with any organisation or firm offering successful employment programmes for young people
- Embrace time-limiting benefit where there had been continuous expansion in jobs.