DWP Secretary launches review to tackle 'silent welfare disease'

Young people are being hit by a "crisis of opportunity" that threatens to "cripple a generation", the Work and Pensions Secretary has warned.

Pat McFadden said rising youth unemployment and long-term illness had become a "silent welfare disease" holding Britain back - as he unveiled an independent review into what is driving the surge in young people out of work, education or training.

The review will be led by former Labour health secretary Alan Milburn and will examine why almost one million 16 to 24-year-olds are now classed as NEETs (not in education, employment or training).

McFadden said the government's welfare reform must be about "creating opportunities".

He said: "The rising number of young people who are not in education, employment or training is a crisis of opportunity that demands more action to give them the chance to learn or earn.

"We cannot afford to lose a generation of young people to a life on benefits, with no work prospects and not enough hope."

He told the Sunday Times: "I am determined to build a system that supports young people, not just in finding a job, but to build a better future because when young people succeed, Britain succeeds. If we get this right, the prize is huge: transforming lives and life chances, with the pent-up potential of the next generation firing our economy and building a better future for all."

Official figures show more than a quarter of NEETs cite long-term sickness or disability as a barrier to work - up from just 12% a decade ago.

The number of young people claiming health-related Universal Credit and Employment Support Allowance has jumped by over 50% in five years.

Around 80% of these claimants report mental health issues or a neurodevelopmental condition such as ADHD.

McFadden warned: "We are heading towards there being more than a million NEETs in the country in the next couple of months. I believe it's a disease affecting a growing number of young people."

Asked whether over-diagnosis could be fuelling the rise in mental health conditions, he replied: "I don't want to play amateur doctor. I want to approach this with sensitivity.

"The question I'm asking is, given the higher reported number of these conditions among young people, what is the best policy response?

"I don't believe there should be an automatic link between diagnosis and benefits. I think at that point we should ask a different question, which is, if you've had a diagnosis, what can we do to help you?"

McFadden said Labour's approach was "progressive" and sought to tackle inequality rather than "pour petrol" on public anger.

"There is a lot of anger and frustration out there right now and there are plenty of politicians who will go around and find something that makes people angry and pour petrol on it," he said.

"I believe in giving people a chance, not a grievance and this is about giving people a chance."

The review - backed by Health Secretary Wes Streeting and Education Secretary Bridget Phillipson - will report interim findings in the spring and a final report in the summer.

Mr Milburn said: "We cannot stand by and let a generation of young people be consigned to a life without employment or prospects.

"The review will be uncompromising in exposing failures in employment support, education, skills, health and welfare and will produce far-reaching recommendations for change to enhance opportunities for young people to learn and earn."

Mr McFadden added that "work is the best antidote to many of the conditions that we're seeing" and said his welfare reforms aimed to "help people build a better future" rather than "write them off".