Greater than 635,000 graduates are claiming Common Credit score as fears develop over the surge of "Mickey Mouse" levels, official figures present.
Figures launched to parliament for the primary time point out a complete of 639,000 folks with an honours diploma or with an equal qualification are claiming advantages.
The information reveals that multiple in 9 claimants – roughly 11.9 per cent – are graduates, simply 4 per cent decrease than the proportion of 849,000 folks with no {qualifications} at 15.9 per cent.
The Labour Power Survey for March to Could this yr was launched to Parliament by the UK Statistics Authority.
The information reveals full-time employment charge for graduates had fallen from 61 per cent to 59 per cent.
Extra graduates at the moment are going through the minimal wage with the wage hole between the bottom earners within the UK and college students leaving college inching nearer to one another.
The median wage for graduates underneath the age of 65 is roughly £26,500 a yr, based on the research.
It was a rise of solely £500 from the yr earlier.
The research didn’t discover that graduates had been extra more likely to land a job than non-graduates – 88 per cent of graduates had been in employment final yr in comparison with 68 per cent of non-graduates.
Nonetheless, it has raised issues about graduates being on Common Credit score and receiving "Mickey Mouse" levels.
Centre of Schooling and Employment Analysis Director Professor Alan Smithers informed The Telegraph that "the sorts of issues which can be provided result in levels however don't qualify folks for the sorts of employment which can be obtainable.
"Due to this fact, folks work onerous on diploma programs for 3 years after which uncover that they don't have a lot incomes potential within the labour market."
Tory MP Neil O'Brien obtained the info by parliamentary questions.
He mentioned it confirmed the "severe issues with each welfare and low-value college programs".
"College students are working up big money owed, being promised the moon, however ending up on advantages," O'Brien added.
Shadow Work and Pensions Secretary Helen Whately informed The Occasions that college students graduating confronted "the triple jeopardy of low-value levels, a labour market crippled by Labour's job taxes and competitors with AI for entry-level roles".
"'The Authorities must grip this problem. Their failure to reform welfare and financial mismanagement threatens the way forward for a brand new era. In the meantime, the taxpayer is footing the invoice for unpaid scholar loans and graduates on advantages," she mentioned.
Nonetheless, a Authorities spokesman mentioned "we stay dedicated to our rules to reform the welfare system".
The spokesman added that "those that can work, ought to work" and in the event that they required assist, the Authorities "ought to help you".
The Every day Mail final yr analysed a number of "novelty" programs on provide for college students who didn’t make their forecasted A-level outcomes.
Marketing campaign for Actual Schooling Chris McGovern mentioned programs like in esports, social media or digital creation had been "money-making racket from cash-strapped universities".‘
"They’re putting their very own pursuits above the most effective pursuits of those younger folks and [it is] the taxpayer who has to finance scholar loans that, in these instances, are unlikely to be paid off," he added.
"Universities have an obligation of care in direction of younger folks. As an alternative, they’re exploiting them… Mickey Mouse levels are these invented to seduce younger folks into handing over massive quantities of cash to maintain universities in enterprise."