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Youth service budget cuts in poor areas make it harder for young to find jobs

Young people in deprived areas will be most vulnerable to unemployment as local youth services become subject to budget cuts, according to the Prince's Trust.

Research from the Prince's Trust and the ESRC Centre for Giving and Philanthropy at Cass Business School found more than 450,000 people under 25 are claiming jobseekers allowance - an increase of 80% in the past year. This is costing the taxpayer £23 million every week.

In some deprived areas such as Merthyr Tydfil in Wales and Wansbeck in Northumberland one in six under-25s are claiming jobseekers allowance and this rises to one in five in Blaenau Gwent in South Wales.

The report also found charities working with young people to help them find employment receive five times less in donations than animal welfare organisations.

Martina Milburn, chief executive at the Prince's Trust, said: "Britain's most vulnerable youngsters will be permanently damaged by the downturn unless they receive the support they need. We need to help young people into jobs - only with their ideas and creativity will we be able to pull ourselves out of the recession."