A NORTH-EAST training organisation wants to see the Government's £1bn youth jobs fund encourage more businesses to recruit apprentices.

Steve Grant, Managing Director of Middlesbrough-based TTE Technical Training Group welcomed the Youth Contract initiative unveiled last week by Nick Clegg, the Deputy Prime Minister, which aims to get more young people into work or training.

Mr Grant said: "This is excellent news for young people and industry and shows that the Government want to proactively address unemployment. Any support to get young people into employment is extremely welcome.

"We must avoid a generation of young people losing hope and depriving the UK of a skilled workforce. I would like to see some of the funding targeted at areas with the most need, and Teesside should be top of that list.

"I hope that the subsidies that are being offered to companies will encourage more employers to see the benefits of having young people working in their businesses.

"It should lead to these businesses turning these young people into apprentices providing individuals with a structured skills path for the future, which will benefit both employees, employers and the UK economy. While the Governments new scheme will hopefully create jobs, apprenticeships will transform them into careers."