Youth Labour Market in England: National context for local labour market analysis

Summary

Data used in this report is data available at the time of the Connected Futures programme, and therefore does not include the most recent updates in some cases.  

This report provides a national overview of England’s youth labour market. It builds on analysis delivered to local partnerships in our Connected Futures programme by providing local, regional and national stakeholders with an understanding of the wider economic and labour market conditions that are shaping opportunities for young people, and to act as a guide for local areas wishing to gain a deeper understanding of their local youth labour market through data.  

It presents the data provided to Connected Futures partnerships locally, now analysed at national and (in some cases) regional levels. 

Key insights

From the Employer Perspective and National Forecasts sections, the report highlights several key findings, including: 

• Most employers across England (61%) cite relevant work experience as a critical or significant factor in their recruitment decisions, rating it higher than academic or vocational qualifications. Yet only 38% of employers offer work experience, suggesting employers may not be embedded early enough in supporting young people to get experience of the workplace. 

• The most common routes taken by employers across England to hiring young people (under the age of 25) are word-of-mouth and personal recommendations. This can disadvantage young people who lack access to professional networks. 

• Employers also report a high prevalence of skills mismatches, with many vacancies considered “hard-to-fill” due to a low number of applicants with the required skills. 
•  The demand for highly qualified individuals is set to rise, with over half (54%) of all jobs in England expected to require a degree-level qualification by 2035, a substantial increase from the equivalent figure of 41% in 2020. Consequently, there will be very few opportunities for those with no qualifications at all, accounting for just 2% of all jobs in 2035.