A deepening crisis is emerging in the UK labour market: nearly one million young people aged 16 to 24 — around 946,000 — are classified as NEET (Not in Education, Employment or Training), highlighting a growing generation locked out of work or learning.
Charities, analysts, and politicians are sounding the alarm over how this crisis has quietly taken hold. A significant portion of these young people have shifted into “economic inactivity” — about 44% are no longer seeking work, having moved instead to sickness or disability benefits. This shift signals not just joblessness but a retreat from the state’s formal mechanisms for support, with mental and physical health cited as a key barrier.
Many of the root causes trace back to the COVID-19 pandemic. Lockdown disrupted crucial formative years, eroding confidence and social skills — making the transition to work much more challenging. According to employment charity Rise Up, young people now struggle with basic professional skills such as communication, eye contact, and managing rejection. The disillusionment is palpable: many report applying to as many as 150–200 jobs, only to be rejected repeatedly.
Adding to the challenge is the changing nature of entry-level work. With advances in artificial intelligence (AI) and automation, firms are using technology to replace the kinds of simple, early-career roles that young people typically rely on. Some businesses are even requiring justification for hiring humans over machines — a move that could further squeeze out young job seekers.
The crisis is also traced back to structural failings in policy. Support systems for young people are fragmented: while the Department for Work and Pensions manages benefits, the education system — including underfunded further education colleges — remains disconnected from efforts to prevent youth exclusion. Experts say reforms must cut across multiple departments, targeting not only benefits, but education and employment pathways.
In response, the government has launched a review led by Alan Milburn, a veteran of New Labour, to examine how to better support young people — particularly those with disabilities or mental health challenges. There’s also renewed emphasis on a “youth guarantee” that could offer training, apprenticeships, or job placements to those who have been on Universal Credit without engaging in work or education.
Yet, despite these efforts, many remain skeptical. There is concern that policy prescriptions could veer toward penalising vulnerable youth (for instance, by threatening benefits cuts), rather than addressing the underlying social and economic problems. As the crisis mounts, critics argue it requires more than short-term fixes — it demands a fundamental rethink of how work, learning, and support systems are structured to include those at risk of being permanently left behind.
