The Department for Business and Trade has welcomed the
Youth Select Committee's inquiry and report into the impact of
the cost of living on young people's wellbeing.
Responding to the recommendations
regarding employment made in the report, the Department
recognised that the youth labour market can be more sensitive to
economic shocks, outlining the measures that would be taken in
regards to the National Minimum Wage.
Regarding the Committee's recommendation on equalising wages for
all workers of legal adult age, the Department for Business and
Trade confirmed that the Government has committed to extending
age eligibility for the National Living Wage to those aged 18 and
over.
The Department for Business and Trade advised that the Low Pay
Commission (LPC) has been asked to recommend a change in the rate
for the National Minimum Wage for 18-20 year olds – to apply from
April 2025 – in order to narrow the gap with the National Living
Wage.
Under the previous government, the Department for Work and
Pensions had also welcomed the
Committee's inquiry and in their response highlighted the
existing schemes and cost-of-living support available to young
people. The previous government had also reiterated its
commitment to support the Access to Work grant scheme, Disability
Confident employer scheme and other local initiatives to support
people with disabilities and people of ethnic
minorities.
The Youth Select Committee found in their report that the cost
of living crisis has had a negative impact on young people,
across many aspects of their lives. Food and financial
insecurity, not being able to afford nutritious lunch, lack of
affordable transport and high costs of student accommodation have
had detrimental effects on young people's mental and physical
health. The Committee's report also highlights that young people
from marginalised communities are more likely to be impacted by
the cost of living crisis.
The Youth Select Committee launched its inquiry last August to
understand the full impact of the cost of living crisis on young
people in order to set out key changes and proposals to the
government. The Committee received 24 written submissions and held
five oral evidence sessions and published
its findings in March 2024.
The Youth Select Committee gives young people the opportunity to
scrutinise and hold inquiries into topics that matter to them.
The inquiry was preceded by a nationwide ballot of over half a
million young people, who declared the cost-of-living crisis as
their biggest concern.
ENDS
Note for Editors
1. The full report of the
Youth Select Committee into cost of living crisis is published
here: The impact of the cost of
living crisis on young people.
2. The full response from the
Department of Business and Trade is published here: DBT-response-to-youth-select-committee-report-cost-of-living
(parliament.uk)
3. Under the previous
Government, the Department for Work and Pensions has also
provided a response into the findings and the recommendations set
out in the Youth Select Committee's report.
4. The full response from the
Department for Work and Pensions under the previous Government is
published here: DWP response to youth
select committee report on cost of living (parliament.uk)
5. The Youth Select Committee
is an initiative supported by the House of Commons. The twelve
committee members are aged 14-19 and include representatives from
young people involved in various programmes and groups across
England, Scotland, Wales and Northern Ireland. For more
information, visit the National Youth Agency
website: British Youth Council - National
Youth Agency.