A quarter of young people don’t think they will ever feel financially secure

Nearly a quarter (23 per cent) of young people aged 25 and under do not think they will ever feel financially secure, a survey has found.

The research conducted by Co-op found that among young people who are not in education, employment or training, less than half (43 per cent) believe they will eventually achieve financial security.

Three-quarters of people in this age group generally want to earn more than their parents, but the survey showed that less than two-thirds (60 per cent) believe that they will.

Financial security is just one of several things young people are worried about, the research revealed.

Only two-thirds (66 per cent) think it is likely they will ever be able to buy their own home, with the proportion tumbling to just 37 per cent among those not in education, employment or training.

Co-op surveyed more than 5,000 young people aged up to 25.

According to government data on youth unemployment, there were 459,000 young people aged between 16 and 24 who were unemployed between August to October in 2021.

The coronavirus pandemic resulted in a large fall in employment levels among young people due to lockdowns and a rise in the number of those who were economically inactive (not in or looking for work).

Although the unemployment rate has since fallen below pre-pandemic levels, the number of young people in employment and the number who are economically inactive remains above those levels, according to the research paper published in the House of Commons Library.

Steve Mirrells, Co-op group chief executive, said a significant number of young people feel that financial security and buying their own property is out of their reach.

“Sadly, the disparities are even greater for those currently out of employment, education or training,” he added.

“It is vital that decision-makers take note of this and combine the lived experience of young people with subject matter knowledge from experts to develop tangible solutions that will actually make a difference to young people’s lives.”

Additional reporting by PA