Member Article

Up to 10,000 new Yorkshire businesses set up in scheme to get people back to work

10,630 businesses have reportedly been set up in Yorkshire and the North East as part of government scheme to create jobs by backing businesses started by former jobseekers.

In total more than 53,000 new businesses have been set up thanks to a government scheme to help people on benefits become their own boss an average of 460 every week over the last year.

The New Enterprise Allowance is available to people over 18 who are claiming Jobseeker’s Allowance, lone parents on Income Support and people on Employment and Support Allowance in the work-related activity group.

People on the scheme get expert help and advice from a business mentor who will help them to develop their business idea and write a business plan.

If the business plan is approved, they are eligible for financial support payable through a weekly allowance over 26 weeks up to a total of £1,274. Participants can also access a loan through the BIS start-up loan scheme.

Minister for Employment, Esther McVey said: “Small businesses are the backbone of the UK economy and are delivering a significant share of new vacancies – and it’s thanks to their hard work, creativity and entrepreneurial spirit that we are recovering from one of the biggest recessions in living memory.

“As part of the government’s long-term economic plan we are successfully moving people off benefits, and helping them to achieve their dreams of becoming their own boss.

“Tens of thousands of new and innovative businesses are now up and running thanks to the scheme, some of which are now employing people and are helping to make the goods and provide the services which are powering the UK’s economic recovery.”

This was posted in Bdaily's Members' News section by Clare Burnett .