WNY Chamber responds to publication of the Milburn Review

Responding to publication of the Milburn Review, Mark Casci, Head of Policy and Representation at West & North Yorkshire Chamber of Commerce, said:  

“The contents of the Milburn Review, while shocking, will not come as a massive surprise to business. 

“Our own research shows that businesses in all sectors are scaling back or scrapping altogether entry levels positions, not out of choice, but out of necessity owing to the eyewatering cost of employing people at present.  

“Rises in National Insurance Contributions and the Minimum Wage are punitive policies to employers who are already battling a challenging business landscape. 

“The net result is that thousands of young people, many with enormous potential, are being left behind. 

“This is a tragedy for all parties, as I know from experience that business owners love nothing more than creating opportunities for young people and watching them develop and thrive.  

“What is needed now is a progressive policy approach to tackle this crisis head on.  

“I urge Government to engage strongly with business groups to craft policies that uplift people’s prospects, create opportunities and provide employers with the pipeline of talent they so desperately want but cannot afford.”   

Shevaun Haviland, Director General of the British Chambers of Commerce said:  

“The Milburn report must be a wakeup call for policymakers about the crisis of young people not in employment, education and training.   

“Unless urgent comprehensive action is taken a whole generation is at risk of being cut loose from society, and economic growth will be hampered.  

“Today’s report accurately diagnoses the problem, with suggested solutions to come later in the year. The issues identified in the Milburn Review have long been reported by businesses. It is important that government urgently takes steps to address these.  

“BCC research shows that more than half of businesses are facing skills shortages, but high employment costs are causing many to cut back on recruitment and training.   

“Both young people and employers often see risk as a barrier to taking a chance on a job or on someone with less experience. We welcome the Jobs Guarantee which will reduce this fear factor on both sides.   

“Now, government needs to take even bolder action to tackle those at risk before they become NEET. That means earlier and better careers education; more training routes at Level 2; and reducing costs for employers.   

“Businesses are keen to engage with the Milburn Review and with government in the coming months as solutions to these critical issues are developed. For example, Chambers are already bringing businesses to the table through Local Skills Improvement Plans, to match up training with the real jobs available to young people. The LSIP structure can be a ready-made part of the solution to these problems.  

“It is welcome to see the Milburn Review recognise the “overwhelming desire” of most businesses to employ young people from their local area.   

“Without strong business input, the government risks settling on interventions that fail to tackle the NEETs crisis in a meaningful way.   

“An ambitious approach is needed between health, education, the welfare system, and employers. Solutions need to be locally rooted but nationally joined up.”