The new scheme will build on existing employment support and work placements delivered by the Department for Work and Pensions.<\/p>\n
It will work with private companies, with the government anticipating businesses would cover at least some of the wages for job placements.<\/p>\n
The government has not given a figure for the cost of the scheme but it will be funded from existing budgets set out in the spending review earlier this year.<\/p>\n
Full details will be set out in November’s Budget, when the chancellor sets out the government’s tax and spending plans.<\/p>\n
Reeves is facing a difficult Budget, with economists warning tax rises or spending cuts will be needed for the chancellor to meet her self-imposed borrowing rules.<\/p>\n
In her conference speech, the chancellor is expected to say: “I will never be satisfied while too many people’s potential is wasted, frozen out of employment, education, or training. There’s no defending it.<\/p>\n
“It’s bad for business, bad for taxpayers, bad for our economy, and it scars people’s prospects throughout their lives.”<\/p>\n
She will add: “Just as the last Labour government, with its new deal for young people, abolished long-term youth unemployment I can commit this government to nothing less than the abolition of long-term youth unemployment.”<\/p>\n
The announcement was welcomed by the Federation of Small Businesses as “hugely important”.<\/p>\n
The group’s policy chair, Tina McKenzie, said: “Reprioritising spending from employment programmes which aren’t working to this type of scheme is exactly the way to get much-needed bang for taxpayer cash.”<\/p>\n
She added: “Key to getting the details right is making sure there is a backstop offer to those who are now over-25, particularly those with health challenges; that young people out of work for health reasons are not excluded through misguided double funding rules; and that small businesses are enabled to play a full role in the delivery of the scheme.”<\/p>\n
However, there are questions over whether businesses facing pressures including increases in National Insurance Contributions and the National Minimum Wage would be able to take on large numbers of new workers.<\/p>\n