More than one million young people in the UK are now not in work or education, according to new official figures that have reignited concerns about a 'lost generation'. The Office for National Statistics (ONS) reported that the number of 16 to 24-year-olds classified as NEETs (Not in Employment, Education or Training) reached 1.01 million in the first quarter of 2026.
Highest Level in Over a Decade
This is the highest figure since the three months to December 2013, though that period used a different calculation method. The current total represents an increase of 55,000 compared with the previous quarter. Of these, 613,000 were economically inactive, meaning they were unable or not seeking work, marking a record high.
Elise Rohan, head of labour market output at the ONS, said: 'The number of young people not in employment, education or training rose above one million in the first quarter of 2026, to its highest level in more than 12 years. This was driven by greater numbers of young people no longer looking for work.'
Milburn Review Warns of 'Lost Generation'
Former Labour Health Secretary Alan Milburn, who is leading a government review into the NEETs crisis, is set to publish his interim report on Thursday. He is expected to warn that the number could reach 1.25 million within five years without action. Milburn has described a 'bedroom generation' and linked rising economic inactivity to social media-induced anxiety.
In his report, Milburn will say: 'Six in 10 have never had a job. Twenty years ago, that figure was closer to four in 10. Detachment is no longer temporary. For too many young people it is becoming permanent. We are at risk of a lost generation.'
Barriers to Employment
Milburn will argue that the first rung of the career ladder is now 'simply out of reach' for many, creating a 'hopeless Catch-22' where employers demand experience but opportunities have vanished. He will call for urgent government action, stating: 'This is not a failure of young people. It is a failure of a system stuck in the past. Whether it is education or health or welfare, that system fails to enable their participation in the labour market.'
The review found that 84% of NEETs surveyed want a job or training, challenging the narrative that young people do not want to work. It also highlighted a 'fundamental imbalance' in public spending, with £25 spent on benefits for every £1 on employment support.
Decline in Entry-Level Jobs
The report notes that entry-level jobs have sharply declined, with 1.6 million fewer low and medium-skilled positions. Hospitality vacancies have halved in four years, Saturday jobs have dwindled, and apprenticeship starts among young people have fallen by 35% over the past decade.
Milburn also raised concerns about artificial intelligence, telling Good Morning Britain: 'The AI revolution really is starting to bite, but it hasn't fully bitten, and that's why we can't just wait. We've got to start taking action now.'
Government Response
Work and Pensions Secretary Pat McFadden has described youth unemployment as a 'quiet crisis, a ticking timebomb'. He is expected to announce 300,000 extra work experience placements over three years. McFadden said: 'I commissioned this report because we cannot afford to lose a generation of young people. I welcome Alan Milburn's vital work which lays bare the scale of the challenge.'
Marks & Spencer chief executive Stuart Machin called the findings 'shocking but not surprising', while the Institute for Public Policy Research (IPPR) said the system 'is not doing enough to help them build confidence, gain experience or find a secure route into employment'.
