UK's recent NEET data reveals massive financial losses due to the untapped potential of young talent
The unemployment and education situation for young people in the UK, particularly those aged 16-24, continues to present challenges. According to the latest data, approximately half of this age group are employed, with around 628,000 young people unemployed as of May 2025. This represents a 30,000 increase compared to the same period last year, with unemployment rates standing at about 12.7%.
While the employment rate for young women aged 16 to 24 is slightly lower than for young men, with a 50.7% employment rate for women compared to 51.7% for men, the data does not provide direct statistics on NEET (Not in Education, Employment, or Training) rates by gender. However, given the slight employment rate gap, young women may face somewhat higher risks of unemployment or inactivity, which can contribute to NEET status.
Economic inactivity among young people remains a concern, implying a notable NEET population, though precise NEET rates and explicit gender-disaggregated NEET data are not provided in the latest figures. The reduction in job vacancies may be impacting these employment trends for young people.
In the face of these challenges, initiatives like the Spear Programme are making a significant difference. John, a former NEET, is a testament to the programme's success. Struggling with drugs and alcohol, John saw no future for himself until he joined the Spear Programme in Leeds four years ago. After completing the programme, John has seen a significant improvement in his life and now works as a caretaker.
The Spear Programme, which has worked with over 11,000 young people facing barriers to work, has ambitious plans to expand and help more young people into work or education. Two more centres will be launched this year in St Helens in Merseyside and York. Of those who complete the programme, 75% move into education, employment, or training and remain there a year later.
The programme has also revealed a postcode lottery across England, with areas in the North of England and the Midlands having a higher risk of NEET. This aligns with the data showing that NEET rates are highest in the North East of England (15.1% of young people).
Young people with fewer than five GCSEs are 75% more likely to be jobless and not in education than average. This suggests that initiatives like the Spear Programme, which provide support and training to young people who may not have traditional qualifications, are crucial in helping to address youth unemployment in the UK.
The UK could potentially add £69 billion to the economy if it replicated the improvements to youth unemployment achieved in the Netherlands. This underscores the importance of addressing youth unemployment not just as a social issue, but also as an economic one.
As the UK continues to grapple with youth unemployment, initiatives like the Spear Programme offer hope for young people like John who have faced significant challenges. With two new centres opening this year and ambitious plans to expand, the programme is poised to make a significant impact in helping more young people turn their lives around.
[1] Office for National Statistics. (2025). Youth labour market statistics. [Online]. Available: https://www.ons.gov.uk/employmentandlabourmarket/peopleinwork/employmentandemployeetypes/bulletins/youthlabourmarketstatistics/may2025
[2] Office for National Statistics. (2025). Unemployment statistics. [Online]. Available: https://www.ons.gov.uk/employmentandlabourmarket/peopleinwork/employmentandemployeetypes/bulletins/unemploymentstatistics/may2025
[3] Office for National Statistics. (2025). Employment statistics. [Online]. Available: https://www.ons.gov.uk/employmentandlabourmarket/peopleinwork/employmentandemployeetypes/bulletins/employmentstatistics/may2025
[4] Impetus. (2021). The state of youth in the UK 2021. [Online]. Available: https://www.impetus.org.uk/wp-content/uploads/2021/06/The-state-of-youth-in-the-UK-2021.pdf
- The Spear Programme, which focuses on education-and-self-development, has shown to make a significant difference in the lives of young people, many of whom have struggled with unemployment and NEET status, providing a possible solution to the ongoing challenges in the UK's general-news sector of high youth unemployment rates and economic inactivity.
- As the UK government contemplates strategies to address the persistent problem of high youth unemployment and NEET rates, they might look towards initiatives like the Spear Programme, which not only addresses this as a social issue but also as an economic one, with the potential to add £69 billion to the economy if the UK replicated the improvements in youth unemployment achieved in the Netherlands.
