The number of young people not in education, employment or training (Neet) has dipped below one million, but experts have warned there is no quick fix to the crisis.
Figures from the Office for National Statistics show 981,000 people aged 16 to 24 were classed as Neet between April and June, down from 1.01 million in January to March. Numbers have fallen by 30,000 compared with the first quarter of 2026 but are still 30,000 higher than a year ago.
Milburn warns of lost generation
Former Cabinet Minister Alan Milburn, tasked with an urgent review into the crisis, warned in May that one in six young people would be out of work in five years without action. He is expected to publish the second part of his report in the coming weeks.
Mr Milburn said: "Nearly one million young lives on hold is a scar on this country. Young people are desperate for an opportunity to learn or earn. Instead, we're creating a lost generation. They want to work - they just need a chance."
He previously pointed to contributing factors including the "death of the Saturday job", the shrinking labour market, use of smartphones, and the pandemic.
Welfare reform and government response
Andy Burnham is expected to make a fresh attempt to reform the welfare system after Keir Starmer's attempt to reduce the number of people claiming disability benefits was abandoned following a backlash from Labour MPs. Two major reports are due in the autumn - one on disability benefits by Sir Stephen Timms and another from Mr Milburn on youth unemployment.
Work and Pensions Secretary Pat McFadden, leading efforts to get young people into work, told the Mirror this week that he is "seeing the early fruits" of a drive to guarantee jobs for unemployed youngsters.
Experts call for matched opportunity
Ben Harrison, Director of the Work Foundation at Lancaster University, said: "Today's figures indicate there are no quick fixes to the youth employment crisis facing the UK. The number of young people out of education, employment or training may have dipped just below one million, but it would be a mistake to assume this is a turning point as it remains 30,000 higher than a year ago."
Henry Parkes, principal economist at IPPR, said: "These figures confirm that too many young people are still struggling to get a first foothold in work. The answer isn't simply to tell young people to try harder. Where you live can make a huge difference to your chances, and in too many parts of the country there simply aren't enough suitable first jobs to go around."
He said support must be matched with opportunity, adding: "Every young person should have a clear route into work and adulthood, wherever they grow up."
Mr McFadden said: "We are determined to turn the tide on the youth unemployment crisis, which has been years in the making with the number of young people not in education, employment or training rising by 248,000 between 2021 and 2024.
"These latest figures underline why we are addressing youth inactivity as a priority. The Jobs Guarantee is already supporting those most in need with the first young people to be supported by the scheme now in work, and our wider £2.5 billion investment will help create almost a million opportunities to earn or learn. Further reform will follow the Milburn Review, which will report shortly."
