UNIONS have warned more than £1 billion is needed to support further education, after peers called for urgent action to tackle youth unemployment. 

A report by the House of Lords youth unemployment committee said that changes were needed to the apprenticeship levy and the skills system, along with reforms to careers guidance.

The cross-party panel called for new strategies to tackle discrimination and skills gaps and a young people’s commissioner to champion the voice of those aged 16 to 24.

The report said that Covid-19 was a “perfect storm” for youth unemployment, with 70 per cent of job losses hitting the under-25s, about 631,000 young people not in education, employment or training and 475,000 unemployed.

Committee chairman Lord Shipley said: “Youth unemployment has blighted our society for decades and its impact can endure for years.

“Our report makes over 70 recommendations which would help to tackle youth unemployment. We urge the government to act.”

National Education Union joint general secretary Kevin Courtney said that young people have lost out on a great deal during the pandemic, with a huge focus needed on eliminating youth unemployment through industrial plans and proper support for post-16 education. 

He said: “Colleges and the post-16 sector have been severely underfunded, treated as the poor relation with huge cuts imposed from 2010. 

“We need at least another £1.1bn for FE [further education] colleges and sixth forms. The current cuts have left them struggling to make ends meet, let alone provide the sort of training and qualifications the country desperately needs.”

A spokesperson for the government said that tackling skills gaps is at the heart of its reforms to education and training, with an extra £1.6bn in funding pledged by 2024-25 to support more 16 to 19-year-olds through high-quality education.