UK risks ‘lost generation’ as youth joblessness tops 1M: Report

Britain risks creating a “lost generation” of young people as more than 1 million are now out of work, education or training, according to a government-commissioned report published Thursday that warned of deepening economic and social consequences if trends continue.

The interim review, led by former Labour Minister Alan Milburn, said one in six young people could become classified as NEET -- Not In Employment, Education or Training -- within five years unless urgent action is taken.

“Detachment is no longer temporary. For too many young people it is becoming permanent,” said the report. “We are at risk of a lost generation.”

Figures released alongside the report showed 1.01 million people aged 16 to 24 were NEET between January and March, the highest in more than 12 years and equal to 13.5% of the age group.

The report said six in 10 NEET young people have never had a job, compared with four in 10 two decades ago, despite 84% saying they want work or training opportunities.

Milburn blamed declining entry-level jobs, worsening mental health, the impact of the coronavirus pandemic and a welfare system that he said was “exacerbating inactivity.”

Prime Minister Keir Starmer called the findings “sobering” and said the government would do more to prevent a “lost generation.”

The report estimated the long-term economic cost of youth disengagement at as much as £125 billion ($167 billion) annually.