Wes Streeting has urged cuts to national insurance contributions for employers and supported drilling for oil and gas in the North Sea. The former health secretary and Labour leadership hopeful told the Sunday Times that a focused reduction in employers’ national insurance would help stimulate recruitment, especially among younger workers. A recent report by former minister Alan Milburn highlighted how fewer hospitality positions have worsened youth unemployment across Britain, with vacancies in that sector dropping by half over four years. Data indicate Britain ranks third among wealthy European nations for the share of 16- to 24-year-olds neither working nor studying. In 2024 the employer national insurance rate rose from 13.8 percent to 15 percent, while the threshold fell from £9,100 to £5,000. Officials expected the change to raise £25 billion annually, yet firms argued it discouraged taking on lower-paid and part-time staff. Work and Pensions Secretary Pat McFadden noted on Sky News that employers already pay no national insurance for staff under 21. He acknowledged debate over expanding the exemption but stressed any tax adjustment carries costs that must be balanced. McFadden said pulling one tax lever produces wider effects. He also linked higher national insurance receipts to recent reductions in NHS waiting lists, describing the drop as a positive labour-market signal. Within Labour, discussion continues over whether to approve drilling at the Rosebank and Jackdaw fields. Although the party manifesto pledged no new fossil-fuel licences, these sites received exploration approval under the prior Conservative administration and now require only drilling consent. Energy Secretary Ed Miliband is expected to decide soon, weighing consistency with climate targets. Streeting suggested Miliband would likely approve the projects, noting they would increase tax revenue even if consumer bills stayed unchanged. Streeting has called for Keir Starmer to step down and expressed interest in a leadership race. Manchester mayor Andy Burnham, seen as a leading contender, is seeking a parliamentary seat via the Makerfield by-election scheduled for 18 June.
