£16m Investment to Address Economic Inactivity in Northern Ireland
Stormont has allocated £16 million to address the persistently high levels of economic inactivity in Northern Ireland. Recent data indicates that nearly 27% of individuals aged 16 to 64 in Northern Ireland are economically inactive, compared to the UK average of 21%.
This percentage represents approximately 317,000 people, with around 75,000 of them currently engaged in education.
Appointment of Alan Milburn as Chairman of New Commission
Former UK health minister Alan Milburn has been appointed as chairman of the newly established Commission on Work and Wellbeing, tasked with helping to reduce economic inactivity.
Economic inactivity is defined as individuals who are not employed and not actively seeking employment, including those who are sick, disabled, or have caring responsibilities.
Milburn recently completed an interim report focusing on youth joblessness in Great Britain.
Scope and Initiatives of the Scheme
The scheme, led by the Department for Communities, will have a broader remit to assist adults who have exited the labor market. It will feature pilot programs in Londonderry and Belfast, funded through Stormont's public services transformation fund.
The primary cause of inactivity is sickness or disability, affecting 116,000 people. Survey data suggests that approximately 24,000 individuals within this group would like to work.
The commission will concentrate on strategies to support these individuals in gaining employment.
Economic Inactivity Trends and Previous Efforts
Northern Ireland has consistently recorded the highest economic inactivity rates among UK regions, maintaining a rate around 27% over the past 15 years.
In 2015, Stormont launched an ambitious economic inactivity strategy targeting those with work-limiting health conditions or disabilities, lone parents, and individuals with caring responsibilities. However, a budget crisis at the time prevented the strategy from being funded.
