DWP picks 12 providers for national jobs guarantee

An FE college is among 12 organisations chosen to roll out the government’s flagship jobs guarantee scheme to tackle the youth unemployment crisis.

Leeds College of Building has been selected to run the programme in West Yorkshire, while employment support provider Ingeus will cover five of the 25 areas across England, Scotland and Wales.

The guarantee promises eligible 18 to 24-year-olds six months of paid work alongside training and employment support. The national rollout is due to begin in November.

The Department for Work and Pensions announced its preferred delivery partners yesterday. These organisations will source jobs, match participants with employers and deliver tailored support throughout the placement.

After a five-week application round earlier this year, Ingeus was awarded the largest number of areas, covering the North East, Tees Valley, the Black Country, Birmingham, Solihull and Coventry, the East Midlands and Central London.

Employment support providers Fedcap and AKG have been selected for three areas each. PeoplePlus, the King’s Trust, the Growth Company, Reed in Partnership and Seetec will each cover two areas, while Twin Training has one.

Meanwhile, Cornwall Council will cover Devon and Cornwall, and Ealing Council will cover West London on behalf of the West London Alliance.

The jobs guarantee is aimed at young people who have been on universal credit and looking for work for 18 months. Ministers expect it to support more than 90,000 people over three years.

The national rollout follows a first phase, launched in April, across six areas of Great Britain, with the first participants starting jobs in May.

Four of the six organisations running that phase – Ingeus, the Growth Company, Reed in Partnership and the King’s Trust – have been selected for the national programme.

But Catch22, which ran the scheme in Birmingham and Solihull, and Itec Training Solutions, which covered southwest and southeast Wales, are absent from the national list of lead organisations.

Under the published funding model, organisations can claim between £2,150 and £2,650 per participant for running the programme. Guidance states funding cannot be used to make a profit.

The DWP will also cover eligible employment costs for up to 25 hours a week at the relevant minimum wage for six months, plus up to £250 per participant for employers’ onboarding costs.

Referrals must come through Jobcentres. The initial rollout is due to run until November 2028, with final funded job starts by May 2028 and an option to extend the programme by a further year.

Ministers announced last month that young people receiving health benefits would also be able to join voluntarily from April 2027, three months after their work capability assessment.

FE Week has asked whether the selected providers will support this expansion and receive additional funding, and whether November referrals remain on track in all 25 areas. The DWP did not respond.