Youth economic inactivity is no longer a marginal issue — it is a test of how effectively our education, employment and support systems work together. The challenge is not simply getting young people into jobs, but ensuring the structures around them are coherent, accessible and built to sustain long-term participation.
Our Policy and Advocacy Lead Anya Strafford explains further here:
The investigation into young people and work led by Alan Milburn warns of a “lost generation” of young people who may never access stable work. Particularly concerning is the rise in economic inactivity – young people not even seeking employment.
This should worry all of us. A generation structurally excluded from the workforce weakens our future economy, deepens inequality and limits our ability to compete globally. Put simply: young people are our future.
A new enquiry has been launched from the cross-party Work and Pensions Committee examining causes and impacts.
At St Giles, we see the barriers up close.
First, social mobility and school exclusion. Young people from disadvantaged backgrounds are disproportionately affected. Negative experiences of education can erode confidence and trust in institutions, leaving lasting scars that shape how young people view work and opportunity.
Second, fractured systems. Support often falls away at 16 or 18. Young people in care or in the justice system can hit a cliff edge at transition points, left navigating disconnected services alone.
Third, postcode inequality. Growing up in areas of entrenched deprivation means limited opportunity, few working role models and intense competition for apprenticeships or college places. In that vacuum, organised crime can step in. We have worked with young people who genuinely believed dealing drugs was their quickest route to lifting their families out of poverty.
Layered onto this are other barriers: criminal records, neurodivergence, poor mental health and a social media culture that promotes quick returns over long-term investment.
But this is not a story without solutions.
Across the country, effective practice already exists. The common threads are early intervention, trusted adults and services that actually join up.
Meeting young people where they are – and working through people they can relate to – is foundational. From in-school mentoring to specialist programmes for young people facing mental health challenges or criminal records, our 20 years of experience delivering education, training and employment support tells us the same thing: lived experience is often the golden thread that builds trust and sustains engagement.
So what now?
If we are serious about removing structural barriers, we need:
Cross-government alignment across education, health and employment to break down silos.
Joint local commissioning, embedding mentoring within schools, PRUs and local authority provision.
Financial support, including reinstating Education Maintenance Allowance and providing transport and subsistence bursaries.
Better collaboration and data sharing to reduce duplication and prevent young people retelling traumatic stories.
And crucially, embedding lived experience across services so they feel credible and accessible to those they are designed to support.
The expertise already exists. The evidence is there. Preventing a lost generation is within reach but only if we put the structures, resources and partnerships in place to ensure every young person has a genuine pathway to opportunity.
Further reading:
https://www.stgilestrust.org.uk/what-we-do/poverty/employment-support-for-young-people/