Labour poised for fresh welfare changes after scale of youth jobs crisis revealed

Alan Milburn’s landmark report says unemployment among young costs UK £125bn a year and warns of ‘lost generation’

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Labour is poised for a fresh attempt at changing the welfare system after a major government-backed report said youth unemployment was costing Britain more than £125bn a year.

As official figures revealed the number of young people not working or studying had surpassed a million for the first time in more than a decade, Alan Milburn said the government had a responsibility to the next generation to take action.