The Cumbria Chamber of Commerce has warned that a generation of young people risks being "cut loose from society" without urgent action to address the rising number of youth who are out of work and education.

The warning follows the publication of the government-commissioned Milburn Review, Young People and Work: Interim Report. Author Alan Milburn, a former Labour Cabinet minister, noted that nearly one million young people aged 16 to 24 in the UK are currently classified as NEET (not in education, employment, or training), warning that the figures could rise to 1.25 million within five years if systemic failures are not corrected.

Cumbria currently registers a NEET rate of 3.9%, which sits below the English national average of 5.5%. However, regional business leaders stress that local demographics create unique pressures on the economy.

Suzanne Caldwell, Managing Director at the Cumbria Chamber of Commerce, said: “The Milburn report must be a wake-up call for policymakers about the crisis of young people not in employment, education and training (NEET). Unless urgent, comprehensive action is taken, a whole generation is at risk of being cut loose from society – and economic growth will be hampered as a result.

“The report diagnoses the problem, with suggested solutions to follow later in the year. The issues it identifies are not new to businesses here in Cumbria. BCC research shows that more than half of businesses are facing skills shortages, with high employment costs causing many to cut back on recruitment and training – making it harder for young people to take that first step into work.

“We have particular challenges here in Cumbria with an ageing workforce and too few people in the active workforce to support our currently known needs and growth opportunities.

“Cumbria’s NEET figures are below the national average, with the NEET rate in Cumbria being 3.9% against the England average of 5.5%. However, this does not mean we are complacent. Behind these statistics are real people and we, and other Cumbrian stakeholders, are committed to enabling as many of them as we can to see opportunities and flourish.

“We’re also committed to working with partners to minimise the number of new NEETs emerging from the system, reaching young people before they become NEET – through better careers education, meaningful work experience, finding ways to keep them positively engaged in education and training and ensuring training that’s genuinely aligned with the jobs that exist here. And for both NEETs and potential NEETs, ensuring that wraparound care is in place is fundamental to success, given that many of these young people face one or more significant barriers.

“The Local Skills Improvement Plan structure is a ready-made part of the solution to these problems. The forthcoming 2026-2029 Cumbria Local Skills Improvement Plan, due to be published towards the end of June, puts supporting young people into the workforce as a priority.

“It’s great to see the Milburn Review recognise the “overwhelming desire” of most businesses to employ young people from their local area. And when we talk to businesses, we usually find that they are keen to support and employ young people, and not least those with additional challenges, such as the care-experienced.

“Without strong business input, the government risks setting out interventions that fail to tackle the NEET crisis in a meaningful way.

“An ambitious approach is needed between health, education, the welfare system, and employers. Solutions need to be locally rooted but nationally joined up.”