The Economy & Unemployment

Neil Garratt AM moved, and Susan Hall AM seconded the following motion:

“This Assembly deeply regrets the current state of the UK economy following the consequences of two deeply damaging budgets delivered by the Chancellor (The Rt Hon Rachel Reeves MP).

This Assembly notes that unemployment in the UK has risen to 5.2 per cent, its highest level in five years. This increase is clearly linked to the Government’s decision to impose a Jobs Tax, increasing the cost of employment for businesses at a time of weak growth.

This Assembly further notes that youth unemployment has risen sharply to 16.1 per cent, with young people and students disproportionately affected as employers cut back on part-time and entry-level roles, and that the National Insurance hike has particularly undermined flexible, part-time and student employment across London’s economy.

This Assembly recognises that the combined effect of rising unemployment, persistently high inflation, and economic stagnation has left businesses, families, and communities across London worse off, despite repeated promises from the Government that Londoners would feel better off.

This Assembly therefore calls on the Government to:

• Reverse the National Insurance hike;
• Urgently produce a plan to tackle rapidly growing youth unemployment and get more young people into work.

This Assembly also calls on the Mayor to lobby Government to this effect.”

Following debate, and upon being put to a vote, the motion was agreed with 14 votes being cast in favour and 9 votes being cast against.