Portsmouth youth unemployment shows a dramatic 201 per cent increase

The most recent figures from the Department for Work Pensions (DWP) shows there are currently 10,739 Portsmouth residents classed as unemployed - a rise of 6,607 from last year. Of these claimants,1,842 are aged 18-24 – a rise of 1,231 claimants compared to September 2019.

DWP senior partnership leader for Hampshire, Dorset, Wiltshire and the Isle of Wight, Lynne Grimes, believes the majority of the job cuts are an economic casualty of the coronavirus pandemic.

Lynne said: ‘A huge number of people were laid off in March and April when the country went into lockdown. While the furlough scheme was there to help, many employers knew they were not going to be employing these people again post pandemic.

‘As was the case in the last recession, one of the biggest sectors of people to suffer has been young people aged 18 to 24. Young people tend to work in first tier jobs such as retail, hospitality and tourism.’

Lynne feels the high demographic of young people in the city is one of the reasons why Portsmouth has ‘been hit harder than most’ as a result of pandemic. Nationally there has been a 117 per cent increase across all age groups with a 144 per cent increase in unemployment for young people.

She said: ‘Portsmouth has a relatively young population and there’s no longer a lot of heavy industry and so most people tend to work in those sectors worst hit such as retail and hospitality.’

The situation is ‘a big concern’ for Portsmouth City Council leader, Gerald-Vernon-Jackson.

Councillor Vernon-Jackson said: ‘Portsmouth has always had higher unemployment than other parts of the south but that doesn’t stop this being bad news. I’m particularly worried about the rise in young people out of work.’

With the furlough scheme set to finish at the end of October, both Lynne and Cllr Vernon-Jackson expect to a further ‘significant increase’ in the number of people out of work.

Lynne said: ‘We are already starting to hear from people who were on the furlough scheme and who thought they would have their jobs to back to but are beginning to find out from employers that they are being made redundant.’

Cllr Vernon-Jackson added: ‘The end of the furlough scheme will inevitably see unemployment in the city continue to rise. While there is less justification for furlough as lockdown continues to be relaxed, it may be something the government needs to re-look at if we end up back in lockdown.’

To help people get back into work, Portsmouth Job Centre will be hosting a Jobs Fair every Tuesday between 11am and midday. The government has also launched the Kickstart Scheme aimed at 16 to 24-year-olds in which companies create six month employment and training places for you people to work 25 hours a week and will receive at least the minimum wage.

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Cllr Vernon-Jackson said: ‘As a council we will be looking to support this scheme and we hope employers do to.’

Portsmouth South MP Stephen Morgan said: ‘These figures are of serious concern and it is exactly why in Parliament on Monday I pressed the government, during questions to the Department for Work and Pensions, to fix this very issue.

‘The government’s Kickstart Scheme clearly is not working for everyone, and certainly not for the people of Portsmouth and its young people. With the furlough scheme set to end next month, the government has got to quit being stubborn, ditch its one-size-fits-all approach and offer targeted support to those who are being hit hardest by the pandemic.’

Despite being concerned, Conservative and Portsmouth North MP, Penny Mordaunt, believes the city will ‘bounce back’.

Ms Mordaunt said: ‘The increase in these figures is due to two things; some people will have become unemployed due to the pandemic and some will be people who are still employed but are in receipt of Universal Credit as part of the expansion to help households through this.

‘We have much to do to rebuild our local economy but we will get there. Portsmouth is an entrepreneurial and resilient place. I saw how this city bounced back after the financial crash and I’m determined we will have a strong recovery.’

A message from the Editor, Mark Waldron

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