A new report by former Labour minister Alan Milburn has highlighted a growing crisis in the UK job market, with young people facing unprecedented difficulty in finding work. The report, titled 'The Lost Generation?', warns that a combination of economic stagnation, lack of skills training, and insufficient support from employers is leaving many young adults without stable employment.
Key Findings of the Report
The Milburn report, commissioned by the Sutton Trust, draws on extensive data and interviews with young people, educators, and business leaders. It found that the number of 18- to 24-year-olds not in education, employment, or training (NEET) has risen sharply since the pandemic. In 2025, over 800,000 young people were classified as NEET, a 15% increase from 2023.
Barriers to Employment
The report identifies several key barriers: lack of work experience, insufficient careers advice in schools, and a mismatch between the skills young people possess and those demanded by employers. Additionally, the rise of zero-hours contracts and gig economy jobs has created precarious work conditions that discourage long-term career development.
Regional Disparities
Regional inequalities are stark, with young people in the North of England and Wales facing the most severe challenges. In some areas, youth unemployment rates exceed 20%, compared to less than 10% in London and the South East.
Recommendations for Action
Milburn calls for a national strategy to tackle youth unemployment, including increased investment in vocational training, expanded apprenticeships, and a new 'youth guarantee' ensuring every young person has access to education, training, or a job. He also urges employers to offer more paid internships and to prioritize hiring young people.
The report has been welcomed by campaign groups but criticized by some business leaders who argue that additional regulation could harm economic growth. The government has said it will consider the recommendations but has not committed to specific policies.
As the UK grapples with a cost-of-living crisis and sluggish economic growth, the Milburn report serves as a stark reminder that without urgent action, a generation of young people risks being left behind.
