Government to launch inquiry into ‘crisis of opportunity’ for UK youth

The government has launched an investigation into the rising percentage of young people not in education, employment, or training (NEETs), which it has deemed a ‘crisis’.  

948,000 young people between the ages of 16 and 24 were classified as NEETs in June 2025, a number which is set to continue increasing for the foreseeable future. 

A new government investigation “will look at how to get young people off benefits and into work”, aiming to “cut long-term costs” and improve sustainability. 

Long-term sickness and disability are cited as a reason for over a quarter of young NEETs, up from 12% in 2014.  

The rising number of young people who are not in education, employment, or training is a crisis of opportunity that demands more action to give them the chance to learn or earn

Pat McFadden, Work and Pensions Secretary

The number of young people claiming Universal Credit has also increased by more than 50% in the last five years. Of these claims, 80% cite mental health or neurodevelopmental conditions.  

There has also been a 76% increase in economically inactive 16–34-year-olds reporting mental health conditions since 2019. 

Work and Pensions Secretary Pat McFadden told The Times: “The rising number of young people who are not in education, employment, or training is a crisis of opportunity that demands more action to give them the chance to learn or earn.”  

He further emphasised a sensitive approach and avoided blaming over-diagnosis of mental health conditions in young people. He believes it is more essential to supply young people with resources that aid their diagnoses with a focus oncommunities suffering from poorer living conditions. 

The new initiatives are set to be launched from the spring and will aim to understand how young people’s mental health operates as a barrier to earn and learn, review the current failures in the health and welfare system, and introduce practical reforms. It will not cover the Special Educational Needs and Disabilities system.   

Early applications are higher than they’ve ever been before […] The marketplace is tough and you need to be on it early and apply as soon as possible to be in with the best chance

Grant Thornton’s Director of People

For university graduates seeking work, Indeed reported a 33% decrease in job adverts since last year. A reported 15% rise in applications means competition has reached a record high.

The Director of People at Grant Thornton, one of the UK’s top 100 graduate employers, told the BBC: “Early applications are higher than they’ve ever been before […] The marketplace is tough and you need to be on it early and apply as soon as possible to be in with the best chance.”  

This increased competition comes at a time when job searches are facing increasing risk of being displaced by AI in the job market. Technology Secretary Peter Kyle confronted this issue by urging businesses to “act now” to work with AI or risk being “left behind […] That’s what worries me the most”. 

McFadden underpins the desire of the government to fight the rise in NEETs. He states: “If we get this right, the prize is huge: transforming lives and life chances, with the pent-up potential of the next generation firing our economy and building a better future for all.”