13th March 2026
The term NEET refers to young people who are Not in Education, Employment, or Training.
It is widely used by governments and researchers to measure how successfully a country is integrating young people into education systems and labour markets.
A high NEET rate is often considered a warning sign because it indicates that a significant proportion of young people may be at risk of long-term unemployment, lower lifetime earnings, and social exclusion.
In Scotland, recent estimates suggest that around 10% of people aged 16-24 are classified as NEET. This rate is slightly below the overall UK average but still represents a substantial number of young people who are not gaining skills, qualifications, or work experience during an important stage of their lives. The issue has drawn attention from policymakers within both the Scottish Government and the UK Government, since responsibility for reducing NEET rates is shared across different policy areas such as education, employment, and welfare.
High NEET rates can create several economic and social challenges. Economically, a large group of young people outside education and employment reduces overall productivity and increases pressure on welfare systems. Socially, young people who remain disconnected from work or education may experience lower confidence, poorer mental health, and fewer long-term opportunities. For these reasons, many governments treat reducing NEET levels as an important policy goal.
Looking across Europe, there are significant differences between countries. Some European nations have managed to achieve very low NEET rates, demonstrating that effective policies and labour-market structures can make a substantial difference. Countries such as the Netherlands, Sweden, Iceland, Norway, and Denmark consistently report some of the lowest NEET rates in Europe, often between 5% and 8% of young people aged 15-29. Among these, the Netherlands frequently records the lowest rate, with fewer than 5% of young people falling into the NEET category.
These countries share several policy approaches that help explain their success. One of the most important factors is the presence of strong vocational education and apprenticeship systems. In countries such as Germany and Austria, the so-called "dual vocational system" combines classroom education with paid work placements. Students divide their time between college and employment, gaining both theoretical knowledge and practical skills. Employers are closely involved in designing training programmes, which helps ensure that the skills taught in education match the needs of the labour market. As a result, many young people move directly from training into permanent jobs.
Another important factor is the flexibility of education pathways. In countries like the Netherlands and Denmark, students can easily move between academic and vocational routes. Technical education is not viewed as inferior to university education, which encourages more students to pursue practical training without stigma. This flexibility reduces the likelihood that young people will leave education without qualifications or skills.
Early and effective career guidance also plays a significant role. In many of the countries with low NEET rates, schools provide structured career advice, employer visits, and work placements before students leave compulsory education. This exposure helps young people understand different career options and make more informed decisions about their future. In Sweden, for example, schools frequently collaborate with local businesses to give students real-world insight into the labour market.
Strong welfare systems combined with active labour-market policies are another common feature, particularly in Nordic countries such as Norway and Iceland. These policies often include training programmes, job-search support, and conditions attached to unemployment benefits that encourage young people to remain engaged in education or work. Early intervention ensures that those who leave school without employment are quickly supported rather than becoming permanently disconnected from the labour market.
Finally, the strength of the local labour market also influences NEET rates. Countries with high youth employment levels and strong economies tend to provide more opportunities for part-time work during education and smoother transitions into full-time employment. In the Netherlands, for example, many students work part-time while studying, allowing them to gain work experience and establish connections with employers before graduating.
For Scotland and the wider UK, these international comparisons highlight several potential policy lessons. Expanding apprenticeship opportunities, strengthening links between employers and educational institutions, improving career guidance in schools, and targeting support toward vulnerable young people could all contribute to reducing NEET levels. While additional government investment may help, research suggests that the design and coordination of policies is often more important than the amount of spending alone.
Although Scotland's NEET rate is relatively moderate by international standards, it still represents a significant challenge. Experiences from other European countries demonstrate that lower NEET rates are achievable when education systems, labour markets, and government policies work together to support young people during the transition from school to work. By learning from these successful models, policymakers may be able to develop strategies that ensure more young people remain engaged in education, employment, or training, ultimately benefiting both individuals and the wider economy.
For England From The Resolution Foundation
The proportion of young people (16-24-year-olds) not in employment, education or training (NEET) in England was 13.3 per cent in 2025 according to new Department for Education data published today (Thursday). The latest figures are slightly lower than for 2024, when the NEET rate hit 13.6 per cent, but remain a wakeup call to the Government who need to work quickly to expand youth employment support, the Resolution Foundation says.
The small decrease in NEET rates has been driven by a higher proportion of young people being in education and training. But worryingly, youth unemployment has continued to rise with 3.7 per cent of young people unemployed for up to 6 months, and 2.2 per cent unemployed for longer – up from 1.6 per cent in 2024 – and the highest rate of long-term youth unemployment since 2014.
The Government cannot wait for the results of the Milburn review or the Autumn Budget to act. Instead, it should expand the Jobs Guarantee scheme that it is currently piloting to help more young people find work sooner rather than later, at an additional cost of around £500 million a year for the next three years.[i]
Currently the Jobs Guarantee scheme is open to 18-21-year-olds who have been on Universal Credit (UC) and looking for work for at least 18 months. If the Government broadened eligibility to all 18-to-24-year-olds who have been on UC and looking for work for 6 months, it would bring it more into line with past programmes like New Labour's Future Jobs Fund (FJF) and the Conservative’s Kickstart programme.
The Foundation estimates an additional 185,000 young jobseekers would be eligible for an extended scheme over three years, alongside the current target of 55,000 – helping alleviate the scarring effect that youth unemployment has on opportunities later in life.
Imogen Stone, Economist at the Resolution Foundation, said:
"Today’s figures are a stark reminder that an increasing number of young people are struggling to find work.
“These young jobseekers can’t wait another six months for help, but fortunately the Government has an almost ready-made solution to hand: it could open up its Jobs Guarantee to all Universal Credit claimants aged 18-24 who have been looking for work six months or more.
“This would cost around £500 million more a year, a price well worth paying to bring down youth unemployment and help a generation get a firm footing in the world of work.