In the UK, nearly one million young people are neither in school nor employed. Officially termed NEET—Not in Education, Employment, or Training—this group comprises approximately 940,000 individuals aged 16 to 24, an increase of 200,000 from two years ago, according to a report by the Resolution Foundation. This is not a transient phenomenon but rather a systemic issue.
The government explains that many are unable to work due to health or disability issues. While this is true, it obscures deeper problems. Post-pandemic, mental health issues have indeed risen, but the scale is insufficient to account for such a large unemployed demographic. Social media has further given rise to a new phenomenon—’sickfluencers.’ These individuals share their health struggles on platforms like TikTok, garnering sympathy and followers, with some even teaching how to use specific keywords and descriptions to enhance the success rate of disability benefit applications, such as Personal Independence Payment (PIP). The Guardian describes this as a culture of ‘identity through illness,’ normalizing withdrawal from society.
The welfare system has entrenched this trend. The UK’s Universal Credit (UC), originally designed as a safety net, has become an incentive. Young people can survive on UC and housing benefits even without work; if they return to the workforce, they lose 55 pence of benefits for every additional pound earned. Coupled with a 20% income tax and approximately 8% National Insurance (NI), the effective marginal tax rate can reach as high as 80%. Under such a structure, while work still yields some benefits, the returns are minimal compared to the time and effort expended. For many, striving does not improve their circumstances and may even tighten their disposable income.
A larger issue is the ‘marginal benefits.’ As long as one maintains their UC status, they can enjoy a range of additional perks, such as the Jobcentre Plus Travel Discount Card, which offers a 50% discount on national rail and certain bus services. Losing UC status results in an immediate cessation of these supports. For low-wage earners, commuting and rental costs can easily offset any new income. The cost of exiting the safety net is so high that many prefer to remain within it.
The government has attempted to address the issue through punitive policies. The so-called ‘Youth Guarantee’ requires unemployed individuals aged 18 to 21 to either seek work or undergo training, or face benefit cuts. However, this system has been hollowed out by formalism. Simply registering, submitting a resume, and attending perfunctory interviews counts as ‘actively seeking work.’ Bureaucrats cannot verify sincerity, and young people have no incentive to genuinely change.
Excessive welfare, insufficient work opportunities, and weak oversight intertwine to create a generational phenomenon—’lying flat’ becomes a rational choice. This is not laziness but a calculated decision. When the system renders effort futile and escaping poverty difficult, the social mobility pathway begins to rust. Education loses its power, and diligence loses its meaning.
To reverse the situation, cuts and threats will not suffice. The problem lies in the structure, not the individuals. The current UC base amount is too high, forcing the government to set steep tapering rates. By lowering the base amount, the tapering could be eased, making work more rewarding. Another approach is to introduce a low-level Universal Basic Income (UBI) to simplify the system, reduce loopholes, and ensure that the safety net remains without ensnaring individuals.
Young people are not lacking ambition; they are trapped by the system. To help them restart, labor must regain its dignity, and effort must truly lead to life changes.
