Albert Ellis, the chief executive of recruitment and outsourcing consultancy Harvey Nash has backed calls by the Confederation of British Industry (CBI) for a tax break to encourage employers to hire young people.

With youth unemployment close to 1m, the CBI has called for £1,500 of the first year’s national insurance to be waived when employers hire jobless 16-24-year olds.

Ellis tells Recruiter: “Effectively it means that for every 10 young people a company hires it gets one free.

“The government would be paying for it completely, all employers do is provide the facilities, the tools and the desks, there is no risk for the company.”

Ellis says the idea, if implemented, would encourage Harvey Nash to take on more graduates.

He also backs calls for the National Minimum Wage for young people to be frozen to encourage hiring, telling Recruiter: “We are in tough times, and every rule should be looked at, and every barrier to hiring should be taken away.”