Britain today · Jobs & pay

Youth disengagement is rising — NEET now 13%, up on a year ago — even as pay outpaces prices overall

Unemployment (4.9%) and economic inactivity (21.0%) both remain above their pre-pandemic levels, driven substantially by long-term sickness. Among young people specifically, 981,000 16-24 year olds were not in education, employment or training in April to June 2026 — 30,000 more than a year earlier. Average pay growth does not describe how gains are distributed across the workforce, or reach the young people this page's own numbers say are falling further behind.

16.2% — April–June 2026

People aged 16–24; includes full-time students. Labour Force Survey reliability caveat applies. Next edition (with the May–July 2026 period) is due 15 September 2026.

16.2%
United Kingdom
View data table
youth.unemp.1624 verified data record
Value16.2%
PeriodApril–June 2026
GeographyUnited Kingdom
Serving stateVerified snapshot · checked 2026-09-12

Source: ONS, Educational status and labour market status for people aged 16 to 24 (A06 SA) · series youth.unemp.1624 · as of April–June 2026

Read this first — what else changes the meaning of the headline

Economic inactivity rate
21%

Above the 20.8% pre-COVID (2019) level — people neither working nor looking for work are a separate measure from unemployment, not counted in the headline jobless rate.

ONS, Labour market statistics (series LF2S)

Long-term sickness (inactive)
2.8m

Highest on record — the single largest driver of the rise in economic inactivity since the pandemic.

ONS Labour Force Survey

Young people NEET (16-24)
13%

Up 0.2 percentage points on a year earlier — 981,000 young people neither in education, employment nor training in April to June 2026, 30,000 more than a year before. A different, and here more telling, measure than youth unemployment: it captures disengagement from all three, not just joblessness among those looking for work. (Youth unemployment itself, including full-time students, is 16% — see below.)

ONS, Young people not in education, employment or training (NEET), UK

Real pay vs 2007 (average)
+4.6%

An AVERAGE across all employees — it does not describe how pay growth is distributed between low, middle and high earners. See the Economy page for the full picture.

ONS Average Weekly Earnings, series A3WX

4.9%
Unemployment rate (ILO definition)
United Kingdom · April to June 2026

Up 0.2 percentage points on the year. Pay is growing faster than prices over the same period, but unemployment and inactivity moving up at the same time means the picture is mixed, not simply positive.

MixedOfficial published data· up 0.2pp on the year, while pay growth is positiveSource: ONS Labour Force Survey

UK Unemployment Rate (16+, %)

Unemployment fell steadily from 2012 to 2019, spiked with COVID, and has crept back up since — structural underemployment and economic inactivity remain concerns even when the headline rate looks low.

View data table
UK Unemployment Rate (16+, %)United Kingdom. Source: ONS, Labour market statistics (series MGSX) — official statistics in development. 2025 (released 21 July 2026).
YearUnemployment rate %
20107.9
20118.1
20127.9
20137.6
20146.2
20155.4
20164.9
20174.4
20184.1
20193.8
20204.6
20214.6
20223.8
20234.1
20244.3
20254.9

United Kingdom · Source: ONS, Labour market statistics (series MGSX) — official statistics in development · series MGSX · as of 2025 (released 21 July 2026)

Economic Inactivity Rate (16–64, %)

Economic inactivity — people neither working nor looking for work, a DIFFERENT measure from unemployment — rose after COVID on long-term sickness and has only partly fallen back. It is the context the unemployment rate alone does not show.

View data table
Economic Inactivity Rate (16–64, %)United Kingdom. Source: ONS, Labour market statistics (series LF2S) — official statistics in development. 2025 (released 21 July 2026).
YearInactivity rate %
201023.5
201123.3
201222.8
201322.4
201422.2
201522.1
201621.8
201721.5
201821.2
201920.8
202021.2
202121.5
202221.9
202321.7
202421.8
202521

United Kingdom · Source: ONS, Labour market statistics (series LF2S) — official statistics in development · series LF2S · as of 2025 (released 21 July 2026)

What the facts show

1.68m
Unemployed
ILO definition, LFS April to June 2026
9.1m
Economically inactive
Incl. carers, long-term sick, students
1.712m
Claimant count
UK, May 2026, provisional — Universal Credit job-seeking element

Changing nature of work

  • Full-time employment share declining since 2000
  • Part-time and temporary contracts growing
  • Self-employment rose from ~12% to ~15% of workforce
  • Gig economy platforms created new “flexible” but insecure work
  • Long-term sickness now highest on record — 2.8m economically inactive due to ill health

Source: ONS Labour Force Survey

Real Weekly Pay (£, constant 2015 prices)

2011–2013 and 2022–2023 saw the deepest real wage falls in modern UK history. This is an average — see the Economy page for average-vs-median and the housing/rent context that changes what this recovery means for actual households.

View data table
Real Weekly Pay (£, constant 2015 prices)Great Britain. Source: ONS, Average Weekly Earnings real terms level (series A3WX, CPIH-deflated, constant 2015 prices). 2025 annual average (series retrieved 2026-08-17).
YearReal weekly pay (£)
2010494
2011487
2012481
2013475
2014473
2015483
2016490
2017489
2018492
2019500
2020504
2021520
2022512
2023513
2024523
2025528

Great Britain · Source: ONS, Average Weekly Earnings real terms level (series A3WX, CPIH-deflated, constant 2015 prices) · series A3WX · as of 2025 annual average (series retrieved 2026-08-17)

Young people’s prospects

Young people face a tougher, slower transition into stable work than previous generations — burdened by student debt, unaffordable housing, and a labour market with more precarious entry-level work.

16%
Youth unemployment rate (16-24)
Structurally high; includes full-time students — see panel above
13%
NEET rate (16-24), April to June 2026
Not in education, employment or training — up 0.2pp on a year earlier
£27,295
Student loan repayment threshold 2024
Graduates repay 9% of earnings above this for 30-40 years

Economic output by sector (2023)

The UK economy is overwhelmingly services-based. Manufacturing’s share has fallen from ~20% in 1990 to ~9% today, while financial services, professional services, and real estate have grown.

UK economic output by sector, share of GDP, 2023, ONS UK Economic Accounts.
SectorShare of GDP
Real estate13.1%
Retail & wholesale9.9%
Manufacturing9.1%
Financial services8.8%
Professional & technical8.3%
Health & social care8.3%

Source: ONS UK Economic Accounts 2023. Services now account for ~80% of UK GDP.

What the headline unemployment rate doesn't show

Unemployment is the most-quoted labour-market number, but it excludes several groups and averages that materially change what 'a healthy labour market' means.

Inactivity is not unemployment

Someone who has stopped looking for work is economically inactive, not unemployed — they do not count in the 4.9% headline rate at all. Inactivity (21.0%) is a separate measure that has to be read alongside unemployment, not folded into it or ignored.

Source: ONS Labour Force Survey

Youth unemployment includes full-time students

The published 16-24 unemployment rate includes full-time students who are looking for part-time or holiday work and meet the official unemployment definition — it is not a measure of young people who have left education and cannot find a job, though it is often read that way.

Source: ONS Labour Force Survey; VerifiedEvidencePanel above

Employment is not the same as secure or sufficient work

The employment figures on this page count anyone in any paid work, including part-time, temporary and gig-economy work. A rising employment count does not by itself tell you whether that work pays enough or is secure — the "changing nature of work" section above lists the relevant trends without asserting a single verdict on job quality.

Source: ONS Labour Force Survey

Average pay does not describe the distribution

Real pay figures on this page are a MEAN across all employees. They say nothing about whether low earners, middle earners and high earners are all seeing similar gains — see the Economy page's "why many people still feel poorer" section for the fuller average-vs-median discussion.

Source: ONS Average Weekly Earnings

What it means

What the data directly shows
Unemployment and economic inactivity have both risen over the past year while pay growth has outpaced inflation; long-term sickness is the largest single driver of the rise in inactivity since the pandemic; youth unemployment as published includes full-time students.
What can reasonably be inferred
A single 'the labour market is healthy' or 'the labour market is struggling' verdict would overstate the consistency of these measures — pay growth is a positive sign, rising unemployment and inactivity are not, and they are happening at the same time.
What is disputed
How much of the rise in long-term-sickness inactivity reflects genuinely worse population health versus changes in how conditions are assessed, diagnosed or reported is disputed among labour-market economists — this page's data cannot settle that question.
A political judgement, not a finding
Whether policy should prioritise getting the economically inactive back into work, improving job security and pay for those already working, or addressing the health conditions driving inactivity is a political choice about where limited resources go.
What the evidence cannot establish
This data cannot establish how many of the newly economically inactive would take a job if one were available and suitable, nor precisely how pay growth is distributed across the workforce (only the average is shown here).

What people often get wrong

What people often think

Low unemployment means the labour market is healthy.

What the evidence shows

Unemployment excludes anyone who has stopped looking for work. Economic inactivity (21.0%) is a separate, larger measure, driven substantially by long-term sickness at a record 2.8m people — a full picture needs both numbers, not one.

Source: ONS Labour Force Survey

What people often think

Youth unemployment of 16% means 16% of young people who want a job can't find one.

What the evidence shows

The published 16-24 rate includes full-time students looking for part-time or holiday work, who meet the official unemployment definition. The NEET rate (11-15%, not in education, employment or training) is the narrower, arguably more relevant measure for 'young people locked out of work'.

Source: ONS Labour Force Survey; ONS NEET statistics

What can change this

Where there are meaningful levers, drivers or constraints on this picture.

Health-focused return-to-work support

Current policy

Long-term sickness is the largest single driver of the rise in economic inactivity since the pandemic — health-focused employment support targets that specific driver rather than job-search requirements alone.

Evidence:
2.8m economically inactive due to long-term sickness, as shown above.
Expected effect:
Could reduce inactivity among people who want to work but face health barriers, though this page does not carry a registry-verified evaluation figure for any specific programme.
Time horizon:
Years — health-focused interventions take time to show workforce effects.
Trade-offs:
Requires sustained NHS and employment-support capacity investment simultaneously (see the NHS page for the capacity constraints on the health side).
Unknowns:
How much of the sickness-driven inactivity reflects genuinely worse health versus assessment and reporting changes, as noted above.

Youth employment and training programmes targeting NEETs specifically

Current policy

Targeting the narrower NEET measure (11-15%) rather than the broader youth-unemployment figure (16%, which includes students) focuses resources on young people genuinely outside education, training and work.

Evidence:
NEET and youth unemployment figures above, both ONS-published.
Expected effect:
Better-targeted programmes should, in principle, reach the young people most at risk of long-term labour-market exclusion.
Time horizon:
Years for a durable trend change.
Trade-offs:
Requires distinguishing NEET from broader youth unemployment in programme design and public communication, which this page's own myth panel above shows is often blurred.
Unknowns:
This page does not carry a registry-verified evaluation of any specific existing programme's effect on the NEET rate.

Job-quality and job-security measures beyond the headline employment count

External option

The "changing nature of work" trends above (declining full-time share, growing part-time/temporary/gig work) are not directly addressed by policies that only target the headline employment rate.

Evidence:
ONS Labour Force Survey trends, as listed above.
Expected effect:
Job-security-focused measures (e.g. minimum-hours guarantees, gig-work classification reform) would address a dimension the employment count does not capture, though this page does not carry a registry-verified quantified effect for any specific proposal.
Time horizon:
Varies by specific measure.
Trade-offs:
Increased job-security requirements can affect employer hiring decisions in ways this page's evidence base does not quantify.
Unknowns:
The net effect of any specific job-security policy on overall employment levels is contested in the wider economic literature.

Local comparison

How this plays out locally: Portsmouth claimant count

Claimant count, Jul 2026

Portsmouth: 4.4% · England: 4% · +0.4% vs England

4.4
4

+0.4 vs England

Claimants as a proportion of residents aged 16–64. This is NOT an unemployment rate — it counts people claiming unemployment-related benefits, which since Universal Credit includes some people in work. Two structural breaks matter: the 2013–2018 Universal Credit rollout widened who is counted, and April 2020 combined COVID with a further widening of eligibility. Portsmouth peaked at 7.4% in May 2020.

The 4.9% unemployment rate and 21.0% inactivity rate above are UK-wide, ILO-definition Labour Force Survey measures with no directly comparable Portsmouth-specific breakdown on this site — the claimant count above is a different, narrower measure (Universal Credit job-seeking claimants as a share of working-age residents), shown because it is the one labour-market figure genuinely comparable at this geography.

See Portsmouth’s full economic picture →

Detail data and technical notes

Unemployment, inactivity and real wages: ONS Labour Force Survey. People neither working nor looking for work. The rate rose after COVID on long-term sickness and fell back to 21.0% in 2025. Same Labour Force Survey caveat: official statistics in development since November 2023.

Youth unemployment (16%) and NEET (11-15%) are two different, non-interchangeable measures: youth unemployment includes full-time students seeking part-time work; NEET excludes anyone in education, so it is generally the narrower and arguably more policy-relevant figure for “young people locked out of work and training”.

Claimant count (Portsmouth/England comparison above): Claimants as a proportion of residents aged 16–64. This is NOT an unemployment rate — it counts people claiming unemployment-related benefits, which since Universal Credit includes some people in work. Two structural breaks matter: the 2013–2018 Universal Credit rollout widened who is counted, and April 2020 combined COVID with a further widening of eligibility. Portsmouth peaked at 7.4% in May 2020.

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