Town halls could be given a greater say over the way the welfare system works under plans being championed by Nick Clegg. The powers are already being used in cities including Leeds, but Mr Clegg indicated he wanted other cities to take responsibility for tackling unemployment.
Mr Clegg acknowledged he had to "bang heads together" in a Whitehall battle with Iain Duncan Smith's Department for Work and Pensions in order to give Leeds the freedom to tackle the problem of jobless youngsters.
"One of the most over-centralised systems of public policy ... is the way the welfare system is run. The DWP, much as I admire much of the work the department does and Iain Duncan Smith, it's very much built on that long-standing culture of the levers being pulled in London."
The cornerstone of the Leeds scheme is a commitment that every young person in the city region has access to a job, training, apprenticeship, volunteering or work experience.
"Whilst recovery in the Yorkshire jobs market was far from guaranteed, these figures are slightly disappointing. This is a hard road we’ve been following, but the economy is improving with firms in the private sector reporting ‘buoyant’ business growth."
Unemployment has risen by one thousand across Yorkshire and northern Lincolnshire between May and July. The latest figures mean 245 thousand people do not have a job there. The jobless total fell in the East Midlands, which includes Mansfield, by 11 thousand.
Stephen Timms, Labour MP
Unemployment in our region has fallen, according to Government figures out today. Data released by the Office for National Statistics show the number of jobless dropped by five thousand in the three months to June.
That means there are now 244 thousand people out-of-work in the region - an improvement of just under one per cent on the same period last year. However the number of people in employment in our region has actually dropped by 20 thousand to two point four nine million.
Unemployment across Yorkshire and in northern Lincolnshire has fallen by 5,000 in the second quarter of the year.Read the full story ›
A farmer from Lincolnshire says he needs migrant workers because of their reliability. Roger Welberry runs a business just outside Boston and says when he gets English workers they get a three month trial, but often they are not as punctual and hard working as their colleagues from the continent.
Figures included in this quarter's release from the Office for National Statistics show there are 112,000 Bulgarian and Romanian nationals working in Britain, but that figure could increase when restrictions are relaxed in the coming months.
Rachel Bull's grandfather moved here from Poland in World War Two. She now lives in Boston in Lincolnshire and she has some concerns about what the effect of that influx might be.
Today's unemployment figures show for the first time how many Romanian and Bulgarian nationals are working here - 112,000 across the country. Karolina Pelka is a shop worker in Boston, Lincolnshire but originally came from Poland. She says better pay and conditions attract people here.
As the latest figures show an increase in the number of people in our region without work, jobseekers in Boston, Lincolnshire have been sharing their stories of job hunting. Despite frequent criticism of migrant workers taking jobs, several said they would not be prepared to take on menial jobs.
Hull North has the 14th highest rate of unemployment among 650 UK constituencies in latest official figures.