Young People Hardest Hit in UK Jobs Downturn

Tuesday, October 14, 2025

Young people are facing the sharpest impact from the UK’s cooling job market, according to the latest employment data. The figures reveal that unemployment and job scarcity are rising fastest among younger workers, with many struggling to secure entry-level opportunities in an increasingly competitive environment.

The Office for National Statistics (ONS) reports that the national unemployment rate has edged up to 4.8%, but among workers aged 18 to 24 the figure is significantly higher. Analysts say that while overall vacancies have fallen, graduate and school-leaver roles have been hit particularly hard as businesses slow recruitment and prioritise experienced hires.

A combination of economic uncertainty, higher operating costs, and increased wage pressures has led many employers to reduce or delay entry-level hiring. The introduction of higher minimum wage thresholds and National Insurance adjustments has also made it more expensive for some firms to recruit younger or lower-paid staff.

Youth employment specialists have warned that the downturn could have lasting effects if support for early-career development is not strengthened. Many graduates are now applying for dozens of roles before receiving interview offers, while apprenticeships and trainee schemes remain oversubscribed.

At the same time, employers are being urged to continue investing in inclusive recruitment and skills development, particularly for young people from underrepresented backgrounds. Experts argue that widening participation in entry-level hiring will be key to ensuring long-term workforce diversity and resilience.

Despite the challenges, sectors such as technology, healthcare, and green industries continue to show some demand for young talent, especially where digital and technical skills are in short supply. However, competition remains fierce, and policymakers are under growing pressure to deliver targeted measures to support youth employment and training.