 Y gallwn ffordd y cychwyn i chi i fynd i'n ei flwyddyn y CBI o ydym ni'n ysgol. Y bwysig yn debyg y ei blaen a'r bwysig ym mwylo'r bwysig eich hwnnw yn y mae'r gweithio hefyd, a'r bwysig yn debyg yw'r bwysig yw mae'r gweithio'n i'r bwysig ym ym mwylo. Y ei hyn..? Mae'r armennig eich hwnnwYaW yn unohod am y diolch yn supersu, yn ym 100,000 o bwysig yw sydd yn ei ffwrdd a'r Caseg Ym Eilu oherwydd Maen nhw'n bwysig i'r gyffredinol a chael y teimlo i chi fyddai gweithio'r gweithio. Mae'r drws yn iawn yn y hunan. Mae'r bwysig i'r gweithio gweithio a chael y mae'n gweithio'r gweithio'n gweithio'n gweithio. Mae'r problemau newid ymddangos, ymddangos ar gyfer y cyfrifol, a'r gweithio'r gweithio'n gweithio'n gweithio, ond mae'r iawn yn y ffordd yn 2004. Mae'r funud hwn yn bwysig o'r cyflei, o'r holl yma, sy'n gweithio'r rwyfodol. Mae'r holl eich rhan o 18-24 oed yn cael eu cyflawniol jubseicau i'r awl yma ac yn y rhan o 6 oed. Mae'r rhan oedd yn gweld â'r cyflwyno yma, ond mae'n yn gweithio'r cyflwyno'u newid yn ymgylcheddol, ychydig yn ei gweithio'r cyflwyno, ac yn ymgylcheddol, yn y cyflwyno'i gweld yma, i wybodol yn cydweithio'r cyflwyno, ond mae'n gweithio'r cyflwyno. Felly mae'r rhan i'n meddwl i'r ffrasil i'r cyfnodau sefydlu i'r ymddangos yn ymddangos yn ein bwysig. Ond mynd i'r ffordd, mae'r rhan i gweithio'r gweithiau sgol, gyda'r byd i'n ei gweithio'r ffermau a'r gwasanaeth. Mae'r gweithio'r trendau fel yw gwirionedd. Ac mae'r amser, mae'r hoffi ar gyfer y gweithio'r ymddangos, yn ymddangos yn ymddangos, y gallai gweithio'r gweithio, will be sorely disappointed. This is a problem that predates the financial crisis. It is at least partly structural. So yes, we have to create the jobs, of course, and I'll come onto the ways in which the coalition government is redubbling our efforts to do that. But we also have to provide the targeted support to the youngsters who struggle to break into the workplace regardless of whether we're in good times or not, and I'll set out how we're stepping up efforts here too. First though, let's just remind ourselves why this matters. The LSE and the Prince's trust have estimated that youth unemployment costs up to £155 million a week in benefits and lost productivity. We cannot afford that when our economy needs to be running on all cylinders, nor can we let it become a drag on our future competitiveness either. And even more important still, how we help these young men and women says something, says everything about who we are. These are our children and they are in their hour of need. Many of them already find the odds stacked against them. The poor white boys who struggle through school, the young black men who are twice as likely to be unemployed as their peers, the children growing up in the poorest neighbourhoods, and when they are excluded so early on, they can carry the scars for the rest of their lives. They're less likely to hold down a steady job or earn a good wage, more likely to end up alienated, marginalised, depressed, and everyone else picks up the bill. Youth unemployment isn't just an unforgivable economic waste, it's a human tragedy too. How then can we create more jobs? I'm the first to admit how disappointing the stalled nature of our recovery has been. Explosions are always best seen from a distance and I think that now four years down the line, we're beginning to appreciate how profoundly the events of 2008 affected the UK's economy and how uniquely vulnerable we were in the face of those events. While this was a global banking crisis without precedent, we were hit especially hard because we have one of the most open economies in the world with a financial services sector that had grown too big for the UK economy carrying liabilities that were around five times the size of the whole national economy. UK citizens were privately indebted to the tune of £1.4 trillion among the highest in the developed world and we had a housing market that went from spectacular boom to bust. We have managed to maintain stability by taking decisive action on the deficit but the truth is we're faced with an extremely delicate balancing act. The banks need to deleverage fixing their balance sheets, the state needs to deleverage restoring sense to the public finances, householders feel compelled to do the same and at the same time the banks need to keep lending, consumers need to keep spending, we need to maintain business confidence and support demand and all that is against a backdrop of relentless turmoil in the eurozone, our biggest export market which continues to shrink. So unwinding our toxic debts while keeping the economy moving, it's as tricky as defusing a bomb. Start pulling at wires haphazardly and you'll find yourself in crisis again. Hesitate and you risk panic and fear so you have to be careful and deliberate and that's why last autumn when growth forecasts were downgraded we didn't just plough on regardless, we extended our deficit reduction programme by two years, decided to take more time to get the job done. Our fiscal adjustment is nowhere near as violent as some of our critics suggest. By the end of the parliament we'll still be spending over £730 billion a year, that's around 42% of gross of GDP, more than any year from 1995 until the collapse of the banks in 2008. And at the same time we're taking every step possible to energise the economy, lowering corporation tax to create one of the most competitive tax regimes in the world, reforming income tax to put more money back in consumers pockets, providing cash for development directly through the regional growth fund, the growing places fund, the get Britain building fund, cutting red tape, reforming planning, opening up public procurement to smaller and medium sized firms, protecting funding for science and R&D, creating new advanced manufacturing hubs, delivering high speed too, rolling out the fastest broadband network in Europe, creating the first ever green investment bank, intervening directly to encourage diverse and resilient business models like employee ownership, leading a massive export drive in new markets, China, India, Brazil, working hard at all times this week included to promote the single market and advance British business interests in the EU, delivering a radical transfer of power away from Whitehall to our cities so that they can drive their own growth and to local communities so that they can raise money and invest in development as they see fit, bold reform of the banks, to insulate retail operations from high risk activity, £20 billion of credit easing, our unprecedented focus on non-bank sources of finance, ultra low interest rates. If I seem like I'm hammering the point, it's because I am. This coalition is looking for every lever we can pull. And now, as the situation around us continues to deteriorate, the Prime Minister, the Chancellor, the Chief Secretary and I have taken the decision to exploit to the maximum all of the flexibility built into our plans. Because when the world moves, you have to move with it. The Governor of the Bank of England recently announced the Bank of England's funding for lending and liquidity schemes, which will be a massive credit boost. We also intend to use the strength of the British balance sheet to take on some of the risk of big infrastructure projects, boosting construction where, by the way, a lot of young people start out and will be saying more over the coming weeks on these and other measures. So this is a government fully galvanised around growth. But as I said, that's just one side of the equation. The other is helping the young men and women who struggle to break into the labour market, whether it's in good health or not, giving them the skills and experience to get work, giving you the confidence to take them on. Again, the coalition government has been on a kind of journey here, seeking at every juncture for ways to do more. We've made unemployment in general a priority from day one, and Ian Duncan-Smith deserves enormous personal credit for getting our flagship work programme off the ground in a year, revolutionising the way we offer support so that it is tailored to individual needs, so that it is in the hands of experts, the businesses and charities best placed to administer advice and training, so that at all times we aim to get people into real jobs, proper jobs, so that they can stand on their own two feet. Last autumn I launched a £1 billion youth contract with the goal of getting every young person earning or learning again, and a crucial part of that contract is a wage subsidy, which I know the CBI supports, after all, you called for it. The government was delighted for once to exceed a CBI request. You suggested £1,500, we're offering businesses £2,275, half the minimum wage for a young person. Now the other idea that is often put to me is a national insurance holiday for employers taking on young people, but again our youth contract goes much, much further. The wage subsidy is worth four and a half times what a national insurance holiday would save you in a year. Of course I'm always open to other ideas and proposals. No one organisation or political party has a monopoly of wisdom here, and the gravity of this problem demands us to be both restless and collaborative. David Miliband, who I understand is speaking later today, has done a lot of detailed work on this. He recently proposed an excellent report with Acevo, the Association of Chief Executives of Voluntary Organisations, which advocates a job guarantee after a year on the work programme. Now I can of course see why that kind of backstop has intuitive appeal, but I'm more convinced by the wealth of evidence which shows it's better to get in earlier, helping these young men and women before lasting damage is done, preventative treatment rather than an ambulance service, if you like. I was however very much struck by another insight from David's report, youth unemployment hotspots. Youth unemployment is a national problem, but it is more acute in certain places, maybe in a city areas with high levels of disadvantage, rural communities where businesses are struggling to take people on, former mining towns at the sharp end of industrial decline. Whatever the reasons, these are the toughest parts of the country to be young, down and out. There are different ways of determining exactly what counts as a hotspot. We identify them as the nine job centre plus districts covering 20 local authority areas with the highest rates of long-term youth unemployment and the lowest rates of return to work. I can announce today that we will be targeting these areas with renewed urgency. For a simple reason, these are the young people who are hardest to reach in the labour markets that are hardest to crack and they cannot be made to wait. So in these places we're bringing the wage subsidy forward. Instead of coming in at nine months, it will come in at six. At this stage, three months can make all the difference. When you feel like you're banging your head against a brick wall, when you live in an area where opportunities are already few and far between, another 12 weeks of rejection letters, of being cut off, of sitting home waiting, worrying, that can seriously knock the stuffing out of you, making it extremely difficult to pick yourself up later. So job centres will be able to make use of the subsidy before people are referred to the work programme, capitalising on their links with local employers and they'll also intensify support. So more training, more regular coaching, spending more time with young people to knock a CV into shape or preparation ahead of an interview. We are publishing the full list of hotspots today and the extra help will be on offer by the end of July. They're where you'd expect them to be, the Midlands, the North, South Wales and parts of Scotland. And this is all part and parcel of our bigger agenda of rebalancing the economy, of taking on the North, South divide. Before I wind up, I've put a lot of emphasis on the wage subsidy because giving employers the help to make someone on, to take someone on means we get them into jobs which last, which is much more sustainable than subsidising jobs which don't. But this isn't the only tool in our box. The youth contract is also made up of tens of thousands of work experience places. We're getting businesses to open up their internship programmes so they aren't just for children with well connected parents. We're supporting a record number of apprenticeships and we hear the message from business loud and clear. Sometimes these young people just aren't ready. They don't have the right skills. So the coalition is putting a major focus on education. More than anything I can think are our decision to protect schools funding, even in these very difficult times, demonstrates that commitment. And we also plan to provide extra support for the children who need it most. Those children who leave school with no good qualifications, no work experience to fall back on. The teenagers who aren't ready for an apprenticeship, apprenticeship. These were the children most let down by the previous system. And now as we reform that system we're determined that they are not lost in transition. I know that one idea John Hayes, the Minister for Skills, is looking at is piloting a new traineeship, a package of training and work experience to get the basic and necessary skills with a recognised qualification at the end of it. An extra rung on the ladder to get you on your way to an apprenticeship or a job. Again, that help will be targeted in the areas most in need and more detail will be coming soon. So to sum up, I hope I've given you a sense of our approach. We started with the work programme. We've introduced the youth contract and now we're homing in on youth unemployment hotspots. Action that is targeted, urgent, always looking to do more. Government working hardest for the places that have been hardest hit. The struggles of these young men and women, their fears, their hardship, the dreams they put to one side, we cannot accept that. It's our duty, this generation's duty, to give each of them a chance and to each of them back their hope. So I'll finish as I began by thanking the CBI for bringing us together today, for wanting to work with government. Because without you, without business, it just doesn't work, none of it. I can fight for the resources. Whitehall can come up with the schemes. Job centres can deliver these young men and women to your door. But only you can bring them in. Only you can get your suppliers and your customers to do the same. As individuals, as organisations, you are the success stories. And now that you've climbed to the top of the ladder, you're in a position to look around, lean down and give a helping hand to the young men and women who should be on their way up. I know you want to, otherwise you wouldn't be here today and I'm extremely grateful for it. Thank you very much.