Young people in UK’s poorest households three times more likely to be out of work, training and education

New analysis from Health Equals, a coalition of more than 100 organisations including employment and education groups, reveals that where young people live, their financial circumstances and their parents’ education can all have a profound effect on their life chances. 

Analysis was carried out by the Health Equity North’s Academic Co-Director Dr Luke Munford, using Understanding Society data, a nationally representative survey of over 20,000 households across the UK.

The analysis reveals that young people living in the UK’s lowest income households are around three and a half times more likely to be out of work and education than those from the highest (25% vs 7%). Similarly, those whose parents had no formal qualifications were around two and a half times more likely to be NEET than those whose parents had a degree level qualification (24% vs. 9%)

The data also shows entrenched regional disparities. The North East has seen persistently high rates over the last 15 years and right now, the North East (18%) and West Midlands (17%) have NEET rates almost double that of the South East (10%). This reflects wider trends in employment rates and educational performance.

One trend that has emerged however, is the finding that men are now more likely to be NEET than women. 20% of millennial women were likely to be NEET in 2009-10, compared with 17% of millennial men but now, Gen Z men (15%) are now more likely to be NEET than Gen Z women (12%) in 2023-24. This could indicate two things: that fewer women are out of the workforce due to caring responsibilities, and that changes to the types of jobs available – such as manufacturing and manual labour – are disproportionately affecting men.

On top of this, the proportion of NEET young people with a likely mental health condition has doubled over the last 15 years. Of those 16-24 year olds who were NEET, 30% had a likely mental health condition in 2009-10, increasing to 60% in 2023-24. Better diagnosis and awareness plays a big role in this trend, which is positive, but must be met with better support.

Work and education are key building blocks of health. The government’s announcements this week of the Youth Jobs Grant, apprenticeships incentive and the expansion of the Jobs Guarantee are all welcome measures to give young people the best chance possible to get a foothold in the workplace. But as this data shows, these initiatives must support those with the greatest need, so that communities don’t continue to be left behind.*

Awaiting former health secretary, Alan Milburn’s imminent investigation into the ‘lost generation’ of young people not earning or learning, Health Equals and its members and supporters are calling for the government to invest in community-based support to get people back into employment, and work with employers and education providers to prioritise prevention to stop people from becoming NEET in the first place. 

Dr Luke Munford, Health Economist at the University of Manchester and Academic Co-director of Health Equity North said:

“Our analysis shows a worrying reversal in progress. After years of decline, the proportion of young people who are NEET has risen again. Even more striking is the sharp increase in mental ill-health among NEET young people: double the rate seen among Millennials.

“The evidence is clear: government must offer a package of support to meet mental health needs, expand high-quality training and apprenticeships, and target resources to regions and groups facing the greatest disadvantage. Without decisive action, we risk embedding inequalities that will shape outcomes for decades to come.”

Paul McDonald, Chief Campaigns Officer at Health Equals, said:

“This data tells a story of deep-rooted generational inequalities in the UK, creating a vicious cycle where some young people are being forgotten.

“The right job or training can do so much more than simply pay the bills or help you learn a new skill. It can bring financial stability, a sense of purpose and achievement. When we’re in good, stable employment, education or training, we’re more likely to stay mentally and physically well.

“Labour’s growth agenda hinges on the country being in good health, and crucially, ensuring communities aren’t left behind. That’s why health needs to become a key pillar in every decision this government makes. A cross-government health inequalities strategy that prioritises prevention, sets ambitious targets and makes better health a shared goal for every part of government will set us on the right course to make health equal in the UK.”

Jordan Cummins, UK Competitiveness Director at CBI, a Health Equals member, and Chair of Health Sciences University said:

‘Business fully understands the centrality of their role in working with government to address the rising number of young people who’re falling out of employment, education and training, and are acutely aware of the health drivers within this. Though without tackling the rising cost of business, alongside the cost of living, their ability to create jobs and training will remain limited. Collective approaches designed to unlock investment and intervention are essential to help government and industry play their equally important roles.’”

Becci Newton, Director of Public Policy Research at the Institute for Employment Studies, a Health Equals member, said:

“This data shows a stark divide in young people’s life chances. Those from the poorest households are three and a half times more likely to be NEET than those from the richest, and the number of NEET young people with a likely mental health condition has doubled to 60% in just 15 years. 

“We need urgent government action: earlier mental health support, better access to quality training and apprenticeships, and locally tailored help to get young people into good work. Without it, we risk writing off a generation.”