United Kingdom youth employment declines in tech and finance sectors

Employment of individuals aged 18-24 in the United Kingdom's technology and finance sectors has decreased by 22 percent over the last three years. According to research by Boston Consulting Group (BCG), the number of young workers in these two sectors fell from approximately 208,000 to 163,000 between late 2022 and late 2025.

Within these sectors, employment in information and communication technology dropped by 30 percent, while finance saw a 10 percent decline. This trend coincides with youth unemployment rising above 16 percent during the summer, reaching its highest level since 2014. Factors cited for this shift include rising employment costs, limited job openings, and technological advancements.

In response to labor market challenges, a new initiative has been announced to provide 10,000 young people with practical work experience in the technology sector over the next three years. Supported by companies including Microsoft, IBM, and Cisco, the program aims to engage those not currently in education, employment, or training. The government also aims to create or fill 20,000 entry-level positions in the digital technology sector annually.