UK retail chiefs urge Starmer to address youth unemployment crisis
UK retail chiefs urge Starmer to address youth unemployment crisis

Bosses of major UK retailers including Marks & Spencer, Sainsbury’s and Tesco are poised to sign a letter to Prime Minister Keir Starmer, warning that the “ladder of opportunity for young people is wobbling”. The letter, drafted by the British Retail Consortium (BRC) and expected to be published on Wednesday, calls for a joint retail and government taskforce to tackle rising youth unemployment.

The BRC’s draft warns that the current system is failing young people and urges the government to reduce employment costs and simplify support for youth employment. It notes that many retail leaders started on the shop floor and that the sector has traditionally offered opportunities for those with few qualifications.

The appeal follows a government-commissioned review by former Labour minister Alan Milburn, who warned of a “lost generation” as the number of young people not in work or study passed one million for the first time in over a decade. Milburn’s report estimated youth unemployment costs Britain more than £125bn annually.

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M&S chief executive Stuart Machin, who began his career pushing trolleys at 16, launched a training scheme this week offering 1,000 placements for 16- to 24-year-olds over 18 months, with no degree required. The six-month programme aims to build skills and confidence, with potential progression to store manager.

The government has announced a £2.5bn youth employment package, creating 300,000 work experience and training placements in sectors including retail, construction and hospitality. Measures include hiring bonuses and subsidised jobs for long-term unemployed. Simon Wolfson of Next noted a “dramatic fall” in entry-level roles, with twice as many applicants per shop role than two years ago.

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