Surge in Young People Out of Work or Education Raises Alarm Bells

Thomas Wright, Economics Correspondent
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The latest figures from the Office for National Statistics (ONS) reveal a concerning trend: for the first time since 2013, the number of young individuals aged 16 to 24 who are neither employed nor engaged in education or training has surpassed one million. This figure, now standing at 1.01 million, raises significant concerns about the potential emergence of a “lost generation” as the country grapples with the implications for its future workforce.

An Unsettling Increase

The ONS reported that between January and March 2026, the number of so-called Neets increased by 55,000 compared to the previous quarter. This marks the highest level recorded in over a decade, with the last figures reflecting such a concerning statistic coming from a different methodology in December 2013. The rise highlights a troubling trend of disengagement among young people, with many opting out of the job market altogether.

Elise Rohan, head of labour market output at the ONS, commented on the findings, stating, “The number of young people not in employment, education or training rose above one million in the first quarter of 2026, to its highest level in more than 12 years. This was driven by greater numbers of young people no longer looking for work.” Such a statement underscores not just the statistics but the broader implications of youth disengagement.

The Government’s Response

In light of these alarming statistics, the government is set to receive an interim report led by former health secretary Alan Milburn, who is conducting a review of the Neets crisis. Milburn is expected to address the systemic failures that have contributed to this growing issue, suggesting that the pathway to employment has become increasingly inaccessible for many young people. He is poised to argue that the responsibility lies not with the youth themselves but with a system that has failed to adapt to the changing economic landscape.

The Government’s Response

Milburn’s review is anticipated to highlight the urgent need for reforms that bridge the gap between education, training, and employment opportunities for young individuals. His insights could prove pivotal in reshaping policies aimed at re-engaging this demographic.

Implications for Future Generations

The rise in Neets is not merely a statistic; it signals a potential crisis that could hinder the economic prospects of a generation. With many young people disengaging from the workforce, the long-term consequences could include a skills gap and a workforce ill-prepared to meet the demands of a rapidly evolving economy.

As the government prepares to address these findings, the call for comprehensive solutions is louder than ever. Educational institutions, employers, and policymakers must collaborate to create pathways that not only encourage young people to enter the workforce but also equip them with the skills necessary to thrive in it.

Why it Matters

The surge in young people not participating in work or education is a critical issue that goes beyond mere numbers; it reflects deep-rooted challenges in our economic and educational systems. If not addressed, the ramifications could extend for years, resulting in a generation that is not only disconnected but also underprepared for the future. This situation demands immediate attention and innovative strategies to ensure that young people are given the opportunities they deserve to succeed, fostering a more inclusive and dynamic economy for all.

Why it Matters
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Thomas Wright is an economics correspondent covering trade policy, industrial strategy, and regional economic development. With eight years of experience and a background reporting for The Economist, he excels at connecting macroeconomic data to real-world impacts on businesses and workers. His coverage of post-Brexit trade deals has been particularly influential.
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