He also spoke about the government’s plans to get young people off Universal Credit and into jobs, which it is spending a further £820m on.
Some 55,000 six-month placements will be rolled out from next April for those who have been on a benefit for 18 months or more.
The placements will be rolled out in six parts of the UK with high youth unemployment and will be “fully subsidised” for 25 hours a week, paid at the legal minimum wage. The money will also fund training and work support.
Employers taking part in the scheme are yet to be announced, but ministers have said new opportunities will be created in sectors including construction, health and social care and hospitality.
In total, the government plans to create 350,000 training and work experience placements.
McFadden’s Conservative counterpart Helen Whately said the scheme showed that Labour had “no plan for growth, no plan to create real jobs”.
