The Government must invest in businesses in order to give young people better work skills and Labour must support them, says Lord Digby Jones.
In Philip Hammond's first budget he announced that small businesses and the self-employed will have to pay more taxes.
Lord Jones, who served as an business advisor to the Royal Family and a business minister under Gordon Brown, told Paul Ross we must help such people.
"What we need is lots of people creating wealth, making money, therefore paying more tax, therefore building more schools and hospitals," he said.
The Government, Lord Jones believes, needs to give money to small businesses to take on more young people and "get education into schools so they come out at 16 able to start learning on the job, that is the secret to it all".
He added if that Labour want to get people making more money, "they’ve got to start fighting for the businesses," but they won't because "they don’t believe in it.
"If you say ideologically 'I’m not in favour of you creating wealth', I’d ask [Jeremy Corbyn] 'where is the tax going to come from?'"
Listen to the full interview above