One in eight young people still out of work or education ahead of major review

Here is a story making headlines in the economy: One in eight young people still out of work or education ahead of major reviewImage source, Getty ImagesByHazel Shearing Education correspondentPublished27 August 2026Just under one million young people in the UK are not in education, employment or training - or "Neet" - according to data published ahead of a major report about a "lost generation". The latest data from the Office for National Statistics (ONS) suggests 981,000 people aged 16 to 24 were Neet between April and June. That is about one in eight people in that age group.

The final instalment of a major report by former minister Alan Milburn is expected to set out recommendations for tackling the problem in the coming weeks. Work and Pensions Secretary Pat McFadden told the ministers would "take those forward". Want your job application to stand out?

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Employers say they look for these six skills Published18 hours agoCompetition for degree apprenticeships quadruples as university costs rise Published19 AugustThe new data suggests the number of young people who are Neet has fallen compared to the first three months of the year, when it was over one million, or 13. 5% of the total population of people aged 16 to 24. But it has risen by 3% compared to the same period last year, when it was 951,000 young people.

The estimates are based on information from a sample of households. The ONS says looking at a smaller subset, like Neets, leads to more "variability" - which can explain small changes from quarter to quarter and means it is best to look at long-term, rather than short-term, changes. Asia Mason, 22, from London, says she spent more than two years applying for jobs before she finally secured her first role in the NHS.

After leaving college with a health and social care qualification, Mason hoped to work in maternity. She applied for more than 30 jobs but was repeatedly told she lacked experience. "I remember thinking, 'How am I supposed to get experience if nobody is willing to give me the opportunity to gain it?

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She ended up securing her first NHS role after completing a social care programme run by The King's Trust charity, which helped her gain experience and confidence. Image source, The King's TrustImage caption, Asia eventually wants to be a midwifeWork and Pensions Secretary Pat McFadden said the UK labour market was "in a robust position" but there had been "a long-term challenge for young people". He said he was "looking forward" to recommendations on how to tackle the issue from Milburn.

"We'll have proposals, legislation, if necessary, to take those forward," he said. McFadden spoke to the during a visit to Boots in Nottingham, where young people had started jobs in a pilot of the government's Jobs Guarantee scheme. Over the next three years, it aims to support 90,000 young people who have been claiming Universal Credit and looking for work for 18 months.

It funds 25 hours of paid work every week for half a year.

Economists are analysing what the news means for the markets.