Memorandum from The Prince's Trust
The Prince's Trust has taken an active role
in the delivery and development of The New Deal since it's inception.
In this financial year (2000/2001) we expect to deliver the following
"Volunteers": an opportunity
lasting 20, 60 or 120 days aiming to move 10,600 from unemployment
into work or to take up further education or training. The programme
combines a challenging period in the outdoors with different,
and difficult, community placements. "Volunteers" join
a team of young people from different backgrounds including, uniquely,
a substantial group (1400 in 2000/2001) who are already in work.
This year we expect to provide 60
and 120 day opportunities for 2200 New Dealers. The programme
is offered in 315 locations across the UK.
Outcomes: 37 per cent of all participants
who complete the programme find work. 12 months after completing
the programme 82 per cent are in employment.
"Work Away": work based
placements exclusively with New Dealers (18-25) but run in co-operation
with partners in Sweden and Italy. Last year (the programme is
currently being redesigned) 450 young people took part in a programme
lasting 60 days. Young people spend periods of work and training
in two partner countries.
Outcomes: 34 per cent of completers
are now in work.
"Business": the Trust has
encouraged the development of the self-employment option of New
Deal. This year we expect 1700 young people (18-30) who have been
unemployed for over six months"New Dealers" (even
if they are not registered as such) to take this self-employment
option. The Trust provides business advice, a soft loan or grant
and a mentor. This support runs for three years. Curiously only
484 18-25's were registered as starting their own business under
Outcomes: 78 per cent of businesses
survive after 12 months, 47 per cent after 36 months. 57 per cent
loan repayment after 36 months.
This briefest of brief summaries demonstrates,
I hope, the Trust's commitment to New deal: we may be the largest
single provider in the voluntary sector.
Issues which we would be interested in exploring
further with the committee:
The need to reduce or remove the
rigidities created by the four options.
The managerial and financial difficulties
faced by voluntary sector organisations committed to the New Deal
(most, if not all, operate at a loss).
The desirability of promoting the
self employment option. It achieves the best results and could
suit more young people.
The continual challenge of working
with young people who, all too often, have very low motivation
and even lower levels of skill. Getting these young people in
to work and keeping them there takes a great deal of time and
The Prince's Trust