The Youth Engagement Fund is a £16 million payment by results fund. It aims to help disadvantaged young people aged 14 to 17 to participate and succeed in education or training. This will improve their employability, reduce their long term dependency on benefits, and reduce their likelihood of offending.
The funding will be provided through social impact bonds (SIBs) with investors funding innovative initiatives to prevent young people from becoming NEET (not in education, employment or training). Government will only pay if the initiatives are successful and lead to positive outcomes. The Youth Engagement Fund is jointly funded by the Cabinet Office, Department of Work and Pensions and the Ministry of Justice. Read about how social impact bonds have helped young people in East London.
The Youth Engagement Fund will be awarded through a competitive bidding process over 2 stages: the initial application form and then the invitation to tender for shortlisted bidders. The initial application stage, explained in the prospectus, is now closed. Shortlisted bidders have been asked to tender by 10am on 28 November 2014.