Training pledge extended for young unemployed

Nearly four million people have been helped out of unemployment in the last year, said the Chancellor, adding that the claimant count was lower than when Labour came to power in 1997.

"That has not happened by chance – it has happened because of choices we have made. We responded with an extra 5bn to help people find work quicker. Our approach has made a difference."

Alistair Darling pledged that, for the next two years, no-one under the age of 24 will need to be unemployed for longer than six months without before being offered work or training.

Before yesterday's announcement the pledge was due to run until March 2011.

Work and Pensions Secretary Yvette Cooper said: "This investment means we can extend the Future Jobs Fund and keep helping young people as the economy recovers. In the '80s, youth unemployment kept rising for four years after the recession ended.

"We cannot let that happen again. This time we have seen youth unemployment fall for the last four months as a result of the investment we have put into education places and support for people looking for work."

The Chancellor announced that 450m would be invested to extend the Future Jobs Fund and support the Young Person's Guarantee in 2011/12.

Ms Cooper added: "The 5bn that we have invested through the recession has meant that unemployment is lower today than expected."