Workplace Report March 2024

Equality news

High living costs trap those out of work

A “vicious cycle” of high costs and mental health problems is keeping young people out of work, according to the Prince’s Trust’s annual Youth Index.

It found that the cost of living crisis is forcing young jobseekers to turn down offers of work because they can’t afford rent, transport or the uniform they need to get started and it’s also having a hugely damaging impact on their mental health.

The online survey of more than 2,000 16- to 25-year olds found that 5% of young unemployed people are prevented from accepting work offers due to high costs, rising to 10% for those not in education, employment or training, and 9% for those who had free school meals. It also revealed almost a fifth leave school early to start earning money, while a quarter miss out on qualifications because they can’t afford the fees.

Overall, 40% had experienced a mental health problem and more than a fifth said it had caused them to miss school or work in the last year. Another 18% said their mental health had stopped them taking a job or going to an interview, and 29% thought employers would not support them if they had a mental health issue.