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Jodi Fair, Regional Economic Growth and Partnership Manager at Solent Growth Partnership, explores why youth unemployment matters to every business – not just as a social challenge, but as a growth issue for our region.
Drawing on her experience working closely with employers, Jodi highlights how supporting young people into work is key to building a stronger, more resilient local economy. She brings a clear, no‑nonsense perspective on the role businesses can play – whether that’s developing skills, creating opportunities, or helping shape future talent.
By Jodi Fair
15 June 2026
I was at the Eat the Island event last week when a local business owner said something that really stuck with me: they wanted to employ a young person, but the cost felt almost the same as bringing in someone with more experience. And honestly, I could completely understand why that felt like such a hard call. For many businesses, especially smaller ones, it probably feels like the sensible option. But the more I thought about it, the more I realised just how much that one comment says about where we are right now – and why I think we need to be far more honest about it.
Across the UK, youth unemployment is rising, entry-level opportunities are shrinking, and more young people are falling into the NEET category (Not in Education, Employment or Training). But for me, this is not just a labour market issue or a set of statistics for a report. It is a sign that the route into work is becoming harder, narrower and more confusing for too many young people – and I think that should concern all of us, especially if we care about the long-term health of our local economy.
The national picture is shifting – and not in the right direction
Recent data shows that over 1 million young people aged 16–24 are now NEET, representing 13.5% of that age group—the highest level seen in over a decade. At the same time:
Job vacancies have dropped significantly, now around 705,000 UK-wide
Put simply: more young people are available for work, but there are fewer opportunities to step into.
What this looks like on the ground in the Solent?
In the Solent, we’re seeing these trends play out in real time – and if I’m honest, I find that deeply frustrating, because the talent is there, the ambition is there, but the route in often just isn’t.
We have:
To me, this is the kind of disconnect we should have stopped accepting a long time ago. Through our work with local businesses, colleges and partners, the message is consistent: the system connecting young people to jobs is under strain.
The disappearing first rung on the ladder
Entry-level roles have always been the bridge between education and work. But that bridge is narrowing.
Data shows:
Locally, that translates into fewer apprenticeships, fewer trainee roles, and less willingness to take on someone who needs time to develop.
For young people, it means fewer chances to get started.
For businesses, it means fewer opportunities to build future talent from the ground up.
The hiring paradox: when entry-level isn’t ‘low cost’ anymore
A key issue we’re hearing from businesses across the Solent is this:
“It costs almost the same to hire a young person as it does someone with experience.”
While the sources don’t quantify exact cost comparisons, they do confirm that rising employment costs, including wages, National
Insurance and wider employment obligations are making hiring decisions more difficult, particularly for entry-level roles
This creates a difficult reality for employers:
So businesses make what is, on the face of it, a logical decision: if the cost feels similar, they go for experience. I do understand that. But I also think we have to acknowledge what that means in practice: we are gradually removing the first step on the ladder, then acting surprised when young people struggle to climb it.
The result?
The mismatch problem still at the heart of it
Even with rising youth unemployment, businesses continue to report:
At the same time, young people are telling us:
This isn’t just about jobs – it’s about alignment.
Why businesses really need to pay attention?
For me, this is not a short-term challenge we can just keep working around. It is a long-term risk to the Solent economy, and the longer we leave it, the harder it will be to fix.
1. A weakening talent pipeline
If fewer young people enter the workforce today, the future workforce shrinks. That impacts succession planning, growth, and sector resilience.
2. Higher recruitment costs in the future
Without developing early talent, businesses become more reliant on experienced hires, which are both scarcer and more expensive.
3. Persistent skills shortages
Despite high youth unemployment, around two-thirds of UK firms still report skills shortages This tells us clearly it’s not just a supply issue – it’s a system issue.
4. Reduced local growth potential
When young people aren’t earning, they’re not contributing to the local economy. That impacts demand, growth and business confidence. So where do we go from here?
If I’m honest, I don’t think there’s a silver bullet here – and I’m always a bit wary when people pretend there is. But I do think there are practical things we can do, and we need a lot more realism, urgency and joined-up thinking than we’ve had so far.
For businesses:
For the system (and where partnerships matter):
We’re already seeing positive steps nationally, with investment in youth employment programmes, apprenticeships and hiring incentives designed to reduce that risk for employers
But locally, the real impact will come from how well we connect the dots – between businesses, education providers, and support organisations.
A final reflection
What we’re seeing in the Solent and across the UK isn’t just a labour market trend to note and move on from. I think it’s one of the clearest signs that something in the system is no longer working as it should.
And I don’t think we can keep brushing that aside.
A warning that the traditional pathway into work is no longer working for far too many young people. A warning that businesses are being pushed into short-term decisions that could create long-term problems. And a warning that if we don’t tackle this now, we risk widening the gap between talent and opportunity even further.
That said, I’m not pessimistic about it. In fact, I think there’s a real opportunity here – if we’re prepared to stop ignoring the problem and actually do something about it.
An opportunity to rethink how we bring people into work. To rebuild entry points that work better for businesses and young people alike.
To stop expecting young people to arrive fully formed, work-ready and experienced without anyone giving them a proper start. And to make sure the Solent’s future workforce is not just something we talk about at conferences or in strategy documents, but something we actively invest in, back and create space for.
