UK youth unemployment rises sharply, warning of a “lost generation”

A report released today warns that youth unemployment in the United Kingdom is accelerating and could create a “lost generation”. About one in eight people aged 16‑24 is currently NEET (not in education, employment or training), and the study projects this could increase to one in six within five years – roughly 1.25 million young people. The analysis, authored by former Labour minister Alan Milburn at the behest of the government, attributes the problem to a decline in low‑ and mid‑skill entry jobs, especially in hospitality.

The report notes that 84 % of the affected youth want work or training, but welfare spending far outweighs investment in employment programmes. Labour leader Keir Starmer has pledged a society‑wide effort to overhaul the system and create a new social contract for young people. Overall unemployment in the UK rose slightly to 5 % by the end of March.

The findings call for urgent policy action to curb the growing gap between education and the labour market and to prevent long‑term marginalisation of a large cohort of young citizens.