Students at several major UK universities are being advised to apply for benefits from the day their courses end, amid concerns about youth unemployment. Some guidance encourages graduates to apply for universal credit even if they are living with their parents or have a job lined up in the near future. One institution suggested that students apply for benefits before their courses conclude to avoid delays in their claims.
This advice comes during a significant youth employment crisis, with only 8,383 graduate job vacancies available in July, marking a 45% decrease in job advertisements compared to the previous year. The number of available graduate jobs is currently lower than it was in May 2020, during the peak of the Covid-19 lockdown.
Official statistics indicate that unemployment among individuals aged 16 to 24 rose from 16.2% to 16.4% in the three months leading to July, reaching the highest level in over a decade. Critics argue that instead of preparing students for the job market, universities are inadvertently guiding them towards reliance on benefits.
At King's College London (KCL), students were informed in a blog post that they should not feel guilty about claiming benefits such as universal credit and jobseeker's allowance (JSA). In Scotland, the University of Stirling has stated that students may begin claims from the day after their official course end date, while Loughborough University has specified eligibility dates for benefit applications.
Loughborough University's advice page noted that graduates may wish to apply for universal credit if they are not starting paid work immediately. It emphasized that benefits are designed to assist graduates during their transition from education to employment. The University of Stirling echoed this sentiment, indicating that students may need to claim universal credit while seeking employment or preparing for further studies.
In response to the youth unemployment crisis, Andy Burnham has announced a new government initiative aimed at helping young people secure employment. The Jobs Guarantee scheme will offer 18-to-24-year-olds on universal credit, who have been out of work for 18 months, a direct route into employment. The government will fully fund up to 25 hours of paid work for six months, with the goal of supporting over 90,000 young people over the next three years.
Work and Pensions Secretary Pat McFadden stated that the Jobs Guarantee aims to provide young people with opportunities that have been previously denied. He highlighted the importance of the scheme in creating real jobs and pathways to careers.
A spokesperson for King's College London noted that the university boasts a high employment rate for graduates, with 86% in skilled employment or further study 15 months post-graduation. They also mentioned offering advice to students lacking savings or alternative support while they search for work, fulfilling their duty of care. The Daily Mail has reached out to Loughborough University and the University of Stirling for comments.