Former Labour health secretary Alan Milburn has warned that the crisis of more than a million young people not in education, employment, or training (Neets) has no easy solutions, describing it as a 'whole system failure'. His interim report, commissioned by the government, reveals that nearly one in seven 16- to 24-year-olds in the UK are now Neets, costing the country an estimated £125 billion a year.
Cost and Scale of the Crisis
The report, published on Thursday, comes as data shows the number of Neets reached 1.01 million in the first quarter of 2026, the highest since 2013. Milburn warned this could rise to one in six by 2031, representing 1.25 million young people. The £125 billion annual cost exceeds England's education budget and includes lost taxes, higher health spending, and welfare costs.
No Easy Answers
Launching his report in London, Milburn insisted the issue is 'more than an economic crisis, it is a moral one'. He dismissed claims that government policies like raising national insurance or the minimum wage are root causes, saying: 'There are no easy solutions, guys, none. They're all hard.' He also rejected links between immigration and youth joblessness, calling it a 'blame game issue'.
Root Causes
The report highlights multiple factors, including the pandemic, smartphones, poor school-to-work transitions, and a shrinking job market. Milburn noted the 'death of the Saturday job' and declining apprenticeships. He warned against blaming young people, saying 84% of Neets surveyed want a job or training. 'The story of not trying, being soft, being a snowflake generation – I just don't buy it,' he added.
Government Response
Prime Minister Sir Keir Starmer called the report 'sobering' and vowed 'not to allow a lost generation'. Work and Pensions Secretary Pat McFadden said the government is already acting with the biggest youth employment reforms in a generation, including a Youth Jobs Grant and subsidised employment. Milburn's final report, with fundamental reform recommendations, is due in autumn.
