Loughton made the call during a debate at a Conservative Party Conference fringe event hosted by CYP Now and the charity Groundwork UK and chaired by CYP Now editor Ravi Chandiramani.
Loughton told the audience that youth services have been "largely unreformed for too many years".
He suggested that a mixed economy of youth provision, with strong involvement from business, would lead to better quality services, adding that youth centres should expand the range of services they offer to communities.
"I want Myplace youth centres to be the hub for lots of different things, the usual stuff for young people, but companies could also be using the space for training, employers for recruitment of apprentices and young entrepreneurs. We haven't maximised these spaces enough in the past."
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