What is a Neet? The term behind Britain’s growing youth unemployment crisis
Without urgent government intervention, Britain could face hundreds of thousands more young people unemployed, uneducated or missing out on vocational training (Neet) by the early 2030s, a landmark report has warned.
Alan Milburn said it is currently estimated that more than 1 million young people in the UK are Neet and this number could rise to 1.25 million unless necessary steps are taken.
The former Labor health secretary is leading a government-commissioned review into young people’s economic inactivity; It is expected to call for steps to overhaul schools, health services, the welfare system and the labor market, and published its interim report on Thursday.
“This is not a failure of young people. It is a failure of a system that is stuck in the past. Whether it is education, health or social assistance, this system cannot ensure their participation in the labor market.”
“Instead, it often ends up putting young people on a path to a life based on benefits rather than work. This should be the government’s priority. “This should be the priority for all of us.”
This problem is far from a new one, as the percentage of people aged 18-24 with Neet status reached nearly 20 percent in late 2010, almost 5 percent higher than current levels.
However, this rate has continued to rise steadily following the Covid outbreak and experts have warned that steps must be taken now to reverse the current trend.
What does Neet mean?
A teenager is considered Neet if:
- unemployed, looking for a job; or
- Not economically active, not actively looking for work, waiting to start work, or caring for family
People who are receiving formal education, doing an apprenticeship or working part-time are not new.
How many Neets are there?
There are currently 1.01 million young people with net status aged 16-24 in the UK, according to data published by the Office for National Statistics on Thursday. This is equivalent to 13.5 percent of all people aged 16 to 24.
Most of them are in the economically inactive group, numbering 613,000 people.
The latest figure represents a 5.7 percent quarter-over-quarter increase from the 957,000 recorded for October-December 2025.
The largest quarterly Neets total was 1.24 million recorded from July to September 2011, after the 2008 financial crisis; it represented 16.9 percent of all youth during that period.
What did Alan Milburn say in his report?
The former Minister of Labor released his interim report on Thursday, focusing on the reasons for the rising number of Neets rather than solutions to the problem.
He writes that the UK’s youth unemployment crisis costs the country around £125bn a year, more than the country spends on education and almost twice its defense budget. This amount takes into account higher health and welfare expenses as well as lost tax revenue.
Mr Milburn’s report also reveals a decline in entry-level jobs, with 1.6 million fewer low- and middle-skilled job positions available than in previous decades.
Its report also warned of a “bedroom generation” in which concerns linked to social media and mobile phone use are increasing economic inactivity among young people.
Speaking to the press on the issue, Mr Milburn said Britain was facing a “chronic problem that is getting worse” and warned that the government had “no system or plan to deal with this problem”.
What is Labor doing about Neets?
The government’s flagship policy to tackle youth economic inactivity is the ‘youth guarantee’, announced in September last year.
The scheme, backed by £820 million over three years, aims to provide anyone aged 18 to 21 in England with access to apprenticeships, education, training opportunities or help finding employment.
It will also guarantee a six-month paid work placement to anyone who has been Neet for more than 18 months, helping them prepare for a full-time job.
Those who refuse to risk having their benefits taken away.
Work and Pensions Minister Pat McFadden said: “We are already taking action to bring forward the biggest youth employment reforms in a generation to create 500,000 opportunities for young people from next month, including the Youth Jobs Grant for businesses, more apprenticeships and subsidized employment to help young people get on the ladder.”
