David Cameron: bank fines ‘will fund apprenticeships’

David Cameron pledges to create 50,000 apprenticeships using fines imposed on Deutsche Bank for its involvement in the rate-fixing scandal.

The prime minister will announce on Tuesday that he wants to spend the revenue from new interest-rate manipulation penalties on training young people over the next three years.

The £200m cost of the scheme will come from the Deutsche Bank fine.

Earlier this month, the bank was fined $2.5bn (£1.66bn) by US and UK regulators for trying to manipulate Libor and Euribor inter-bank rates.

Under existing Conservative policy, 18-21-year-olds who have been unemployed for six months will have to choose between an apprenticeship or doing daily community work.

The latest scheme will create an extra 50,000 apprenticeships – on top of the three million the Tories are already committed to generating – over the next three years.