UK unveils £820 million youth jobs package to guide Generation Z into AI, hospitality and engineering careers
London launches sweeping plan offering nearly one million young people training, work placements and apprenticeships across key sectors
The United Kingdom government announced a major youth-employment initiative on 6 December 2025, unveiling a programme worth £820 million designed to get up to a million unemployed young people into training, work or education.
The scheme targets those aged roughly 16 to 24 who are not in employment, education or training (NEET), offering a mix of subsidised jobs, training placements, apprenticeships and support to help bridge skills gaps and revive labor-market participation.
Under the plan, 350,000 new workplace or training opportunities will become available to young people receiving benefit support, with early placements expected in sectors including hospitality, care, construction and engineering.
For many, the offer includes paid six-month placements to help build experience, skills and employability.
In parallel, the government has committed to expanding access to apprenticeship schemes, particularly focusing on under-25s and small and medium-sized businesses, in sectors such as artificial intelligence (AI), digital technologies and manufacturing engineering.
The youth-jobs programme is designed to respond to what government officials describe as a “lost generation” — nearly one million young people who are out of work or education, following sustained pressure on the UK labour market in recent years.
Officials argue the initiative is essential to prevent long-term disadvantage and to ensure the workforce acquires skills relevant to future-facing industries, including in AI and high-tech infrastructure.
Among the new measures, the government also plans to scale up targeted support through local youth hubs, providing career coaching, training, mental-health support and help with job searches to young people.
The programme aims to start rolling out placements and guaranteed job offers in high-need areas from spring 2026.
The plan has drawn cautious optimism from business groups and charities, who say the commitment represents a significant effort to tackle youth exclusion and skills shortages.
At the same time, some warn that success will depend on the quality and longevity of the jobs offered — cautioning that short-term placements must lead to stable employment to truly lift young people out of benefit dependency.
With this ambitious package, the UK government signals a renewed focus on combining social welfare, skills training and industrial strategy to equip the next generation for sectors such as AI, hospitality and engineering — and to address long-standing structural barriers facing young jobseekers.
The scheme targets those aged roughly 16 to 24 who are not in employment, education or training (NEET), offering a mix of subsidised jobs, training placements, apprenticeships and support to help bridge skills gaps and revive labor-market participation.
Under the plan, 350,000 new workplace or training opportunities will become available to young people receiving benefit support, with early placements expected in sectors including hospitality, care, construction and engineering.
For many, the offer includes paid six-month placements to help build experience, skills and employability.
In parallel, the government has committed to expanding access to apprenticeship schemes, particularly focusing on under-25s and small and medium-sized businesses, in sectors such as artificial intelligence (AI), digital technologies and manufacturing engineering.
The youth-jobs programme is designed to respond to what government officials describe as a “lost generation” — nearly one million young people who are out of work or education, following sustained pressure on the UK labour market in recent years.
Officials argue the initiative is essential to prevent long-term disadvantage and to ensure the workforce acquires skills relevant to future-facing industries, including in AI and high-tech infrastructure.
Among the new measures, the government also plans to scale up targeted support through local youth hubs, providing career coaching, training, mental-health support and help with job searches to young people.
The programme aims to start rolling out placements and guaranteed job offers in high-need areas from spring 2026.
The plan has drawn cautious optimism from business groups and charities, who say the commitment represents a significant effort to tackle youth exclusion and skills shortages.
At the same time, some warn that success will depend on the quality and longevity of the jobs offered — cautioning that short-term placements must lead to stable employment to truly lift young people out of benefit dependency.
With this ambitious package, the UK government signals a renewed focus on combining social welfare, skills training and industrial strategy to equip the next generation for sectors such as AI, hospitality and engineering — and to address long-standing structural barriers facing young jobseekers.
