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Innovation Fund

Country of implementation
United Kingdom
General short description of the innovation
The Innovation Fund is a pilot initiative that seeks to enhance social investment projects that support disadvantaged young people aged 14 years and over to re-engage with education, training or employment. It focuses on the most disadvantaged young people rather than those who spend a short time not in education, employment, or training (NEET) whilst in transition between other activities. Contractors are solely paid on the outcome(s) achieved. / / The Innovation Fund (IF) was commissioned via two rounds. The first round of the IF focused on 14-24 year olds and provision starts in early 2012. The second round, which focuses on disadvantaged young people, and those at risk of disadvantage, aged 14 and 15 years to reduce prospects of them being or becoming long term NEET, was launched on the 20th January 2012. The emphasis of the IF is on personalisation and results. Therefore, contractors are given a lot of freedom to innovate and design their services in the most effective and efficient way possible with only minimum of requirements by the DWP. /
Target group
Policy Field
  • education
  • employment
Type of Policy
  • public
  • public-private partnership
Duration of the policy
Since 2012
Scope of innovation
  • Scope: temporary
  • Budgets: 60m package
  • Spatial coverage: national
General description of (intended) objectives and strategies
The Innovation was implemented to support payment-by-results programmes that enable disadvantaged young people to participate and succeed in education and training by tackling some of the long-term structural barriers that stop some young people from getting a job and starting their career. In addition to this, the pilot will also help us to test the effectiveness of different social investment models in the delivery of employment and support services.
Type of innovation
  • new policy, practice or measure
New outputs
  • benefit duration
  • governance
  • training schemes
Intended target group
Young disadvantaged NEETs aged 14-24
Working age population
  • educational level (low/medium/high) (low)
  • employment situation (NEETs)
  • main source of income: social protection (social assistance)
Actors involved in policy-making/implementation and/or evaluation
  • agency or national social insurance body (Jobcentre Plus)
  • central state (DWP)
  • private for-profit organisations (commercial)
  • private not-for-profit organisations (e.g. Third Sector organisation or NGO)
Clarification of the role of various actors
Beneficiaries? access the service differs from project to project and can include referrals from local authorities or schools which have high levels of young people who go on to become Not in Education, Employment or Training (NEET). / The Innovation Fund projects operate separately and in addition to other Government provision. Eligible persons are invited to participate on a voluntary basis and there is no reduction in existing services to other customers as a result of the project. /
Intended output
  • benefit duration
  • governance
  • training schemes
Did the innovation have any outcome related to job quantity?
training levels
Clarification of outcomes in terms of impacting resilience and labour market inclusion
To date the Innovation Fund has supported over 5000 disadvantaged young people and achieved over 1500 successful outcomes. / / References: / /
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