Simon Wolfson, the chief executive of Next and a Conservative peer, has warned that government policies are creating a crisis in youth unemployment. He called for a reversal of increases in the minimum wage and employer National Insurance contributions to help more young people find work.
Doubling of Job Applications
Speaking to the BBC, Lord Wolfson noted that two years ago, Next would receive around 10 applications for every store job. Now, that figure has risen to 19. 'That doubling of applicants for shop jobs is indicative of just how big the crisis is in youth unemployment at the moment,' he said.
Broader Labour Market Issues
The problem extends beyond retail. According to the Institute for Employment Studies, graduate job vacancies fell by 33% in 2025. The institute reported that nearly one million young people (957,000) are not in education, employment, or training—an increase of 259,000 between 2021 and 2024 alone. Lord Wolfson commented: 'Youth unemployment is really a symptom of wider problems with employment in the economy, and of course, if you've got fewer jobs, the people who suffer most are the people with the least experience and that is the youngest.'
Government Response
The Treasury dismissed Lord Wolfson's arguments, stating that increasing the minimum wage boosted pay for around 200,000 workers. A spokesperson said: 'Cutting wages for the lowest paid during a time of global uncertainty is not the answer.' They added that a £2.5 billion youth employment support package would 'deliver a million opportunities across the country.'
Zero-Hours Contracts
Lord Wolfson also criticised plans to outlaw zero-hours contracts, arguing that retailers need flexibility to manage seasonal demand. 'You can't afford to have the same number of people in your shop in February as you have in and around Christmas,' he said. He warned that banning such contracts would harm both employees—particularly students seeking extra hours during holidays—and customers, as service quality would decline.
