The proportion of young people in work in London is at its highest rate for nearly a decade. Employment rates have been climbing steadily since the recession and annual figures from the ONS show that 457,000 16-24 year olds were in work in 2015.
Although London presents financial challenges for millennials who want to live and work here, the data from the Annual Population Survey reveals they are finding work at a better rate than at any time since 2006.
It has taken almost a decade for the employment rate of London’s young workforce to hit similar heights as 2006 when 47.4% of them had jobs. After a drop in youth employment rates following the financial crisis of 2008, the picture has gradually become brighter with 47.1% of the capital’s 16-24 year olds now working – a 3.8% increase from the previous year.
The rate of increase for young women in particular has been higher with 5% more in jobs than 2014.
The steady increase in youth employment over the past six years may have contributed to a drop in the proportion of 16-24 year olds who are NEET status (not in employment, education or training). In 2014, 5000 fewer young people were NEET throughout the capital compared to the previous year as the total number of youngsters with jobs increased by 17,400.
At the end of 2015 London had the lowest proportion of England’s 16-24 year olds who were NEET at 9.4%
The proportion of 16-24 year olds in work in the capital is below the national average of 53.5% but London has historically had a much higher rate of people of this age remaining in full-time education than other regions, keeping them out of the workforce.