UK youth not in work or education falls below 1 million

The number of young Britons not in employment, education, or training (NEET) dipped below the one-million mark in the second quarter of 2026, according to official figures released on Thursday.

The Office for National Statistics counted 981,000 people aged 16-24 as NEET in the April-to-June period, down from 1.011 million in the first quarter. That represents 13.0% of the age group, a slight improvement from 13.5% in the previous three months.

The decline follows a first-quarter reading that was the highest since 2013. Since the COVID-19 pandemic, the share of young people outside the job market or education has been among the highest in Europe.

Work and pensions minister Pat McFadden said the figures underline the government's priority to tackle youth inactivity, pointing to new work experience placements for the long-term unemployed. The government has also hinted at possible limits on minimum wage increases for 18-20 year-olds.

A report by former minister Alan Milburn in May warned of a potential "lost generation," projecting that NEETs could make up one in six of the age group within five years. That report blamed the welfare system for worsening inactivity, but also noted a sharp decline in low- and medium-skilled entry-level jobs, including part-time Saturday roles for schoolchildren, despite a generally buoyant labour market over the past decade.

Thursday's data showed the number of NEETs was still 30,000 higher than a year earlier. A survey by Lancaster University's Work Foundation earlier this week found that nearly half of medium and larger firms had fewer vacancies for young people than a year ago, partly due to the broader use of artificial intelligence and automation.

The Confederation of British Industry said higher employment taxes had reduced firms' overall willingness to hire, despite exemptions for some younger workers.