Upcoming modifications to authorities Neet coverage should handle the price of attending to work
In case you are younger and out of labor, training or coaching, the subsequent few weeks may very well be pivotal for you. With over one million younger individuals (aged 16 – 24) not in training, employment, or coaching (Neet), the much-anticipated Milburn overview is due in November to publish its suggestions for the way this authorities can handle the problem. Alan Milburn himself has remarked within the media that this authorities ought to “redistribute cash from the welfare system to extra employment help”. This assertion could have already influenced the design of Chancellor Healey’s finances subsequent week.
The interim Milburn overview, revealed earlier this 12 months, reported that one in eight younger individuals are “Neet”. This statistic was linked to a spread of failings and limitations, key amongst which was the problem of transport.
The report highlighted transport as a major sensible barrier for younger individuals in accessing work, notably for these and not using a driving licence or entry to a automotive. Nationwide Journey Survey knowledge backs this up. Round 15% of younger individuals (round 170,000) in households and not using a automotive report a transport barrier to work, in contrast with 6% of these in households with one. A variety of sensible limitations, together with upfront and working prices, make vehicles inaccessible to many younger individuals, leaving them reliant on public transport, primarily buses, to entry work, coaching or training. Given these prices, lowering the money generosity of social safety for Neets younger individuals could find yourself making it tougher for them to take up employment help and alternatives, nevertheless beneficiant that help could also be.
In his first week in workplace, Andy Burnham reinstated the £2 cap on single bus tickets all through 2027. It will make issues less expensive for bus customers, however when this coverage arrives it’ll solely mark a return to a earlier measure in place from 2023 to 2024 in England. Certainly, the £2 worth cap solely partially addresses the dramatic tempo of worth will increase in bus and coach fares over the previous 25 years, which have risen 150% quicker than inflation.
Younger individuals use buses greater than every other age group, usually counting on public transport to succeed in their first job, traineeship or course, and even simply an interview. As soon as secured, these positions are often paid poorly, or under no circumstances, which means the price of residing is felt acutely amongst younger individuals. Which means the worth and availability of buses can stop younger individuals accessing alternatives.
Bus fares are a barrier to alternative in England
We all know that tackling the price of public transport could make an enormous distinction. In Scotland, after the introduction of free bus journey for under-22s, the share of younger individuals saying value prevented them from getting the bus fell from 51% to twenty%. In Wales, a £1 bus fare cap provided to five-21-year-olds was launched in 2025 and was lately prolonged till March 2027 after being deemed successful. In Europe, free or ultra-cheap younger individuals’s bus journey is extensively accessible, together with in Portugal, Spain, Eire, Austria, Belgium (regional), and shortly Denmark.
The Home of Commons transport committee concluded that restricted companies and excessive fares make it tougher for younger individuals to succeed in faculty, coaching and entry-level jobs, and beneficial piloting an identical scheme outdoors Scotland. This was rejected by the federal government. Which means in England at the moment, all pensioners (and in London, throughout 59 year-olds) can entry free off-peak bus journey, however younger individuals can not.
Fare reductions are provided to some younger individuals in England however range significantly by council or mixed authority space. At NEF, now we have mapped youth bus fare reductions for 16- to 24-year-olds throughout all 153 upper-tier councils in England, together with mixed authorities. The evaluation attracts on Bus Service Enchancment Plans, Native Transport Plans, Enhanced Partnership schemes and council and bus firm web sites. For every council and every year of age, we recorded whether or not a reduction is open to each person who age, or solely to college students, apprentices or jobseekers. We additionally recorded whether or not it’s backed by the council or provided by a person bus firm. Outcomes have been then weighted by native 2021 Census knowledge on younger individuals not in employment or full-time training (used right here as a proxy for Neet). We excluded worth caps accessible to all age teams, comparable to the present nationwide bus £3 fare cap and mayoral flat fares.
What our evaluation suggests is that three in 4 younger individuals out of labor or training (75%) stay someplace with no council-backed youth low cost open to everybody their age. If we embody tickets offered by particular person bus corporations this falls to 69%, however these tickets are often legitimate solely on one explicit firm’s buses.
Exterior of London, 71% of Neet younger individuals stay the place there is no such thing as a council-backed open-to-all youth low cost, and for 63% there aren’t even bus firm reductions. In London, free bus journey is on the market by the 16+ Zip card overlaying each 16 – 17-year-old, however from 18 it’s only accessible to these in training or coaching. Consequently, 97% of Neet younger Londoners don’t have any unconditional reductions.
The important thing dividing line in entry to bus reductions is age. 86% of Neets are aged 19 or over and never eligible for typical baby/youth fare affords. In case you are 17, there are 114 councils that can give you a council-backed open-to-all youth low cost. However when you flip 19 this falls to only 48. On the age of 21, there are solely 38 councils and at 22 solely 9. Which means, amongst 22 – 24-year-old Neets in England, 9 in 10 (91%) stay someplace with no open-to-all youth low cost accessible to them. Solely 4 areas overlaying 9 councils recognized provide an open-to-all low cost at that age: West Yorkshire (MCard, discounted fares for 19 – 25), Hertfordshire (SaverCard, discounted fares for 20 – 25), Cambridgeshire and Peterborough (Tiger cross, £1 fares for underneath 25s) and Cornwall (discounted 19 – 25 tickets). South Yorkshire additionally consists of bus firm particular 18 – 22 card.
Younger individuals out of labor and training in coastal areas are the worst off. 83% stay someplace and not using a council-backed youth low cost open to everybody their age, in opposition to 68% elsewhere (excluding London). At 22 – 24, this rises to 98%, in opposition to 88% elsewhere (excluding- London). Together with bus corporations’ personal youth tickets, 75% of coastal Neet younger individuals nonetheless don’t have any low cost open to everybody their age, in opposition to 61% elsewhere (excluding London).
The bus low cost provide to Neets is healthier in six of the mayoral mixed authorities with long-standing transport powers (Better Manchester, Liverpool Metropolis Area, West Midlands, South Yorkshire, West Yorkshire and the north east), the place 54% of younger Neets stay someplace with no council-backed low cost open to all, in comparison with the 75% in England general. In different mayoral areas, comparable to Tees Valley, York and North Yorkshire, this rises to 67%, nonetheless far decrease than the speed in areas and not using a mayor, the place it rises to 83%. Many schemes are additionally time restricted, although since April, bus funding has been allotted on a multi-year foundation, with councils and mixed authorities deciding how a lot of the pot is distributed to youth reductions, or companies.
Many youth bus reductions are just for college students, apprentices or different particular teams, which, by definition, most younger individuals out of labor and training can not use. Exterior London, enrolling in a course or apprenticeship unlocks a youth bus low cost for roughly half of Neet younger individuals who presently have none (54%). Roughly half of this comes by council-backed pupil and apprenticeship transport schemes and half by bus corporations’ personal pupil tickets. In London, Transport for London’s 18+ Oyster card covers each pupil, but it applies to season tickets solely. London’s Jobcentre Plus Journey Low cost reaches solely 18 – 24-year-olds claiming job seekers allowance or common credit score who’ve been unemployed for 13 – 39 weeks.
Nonetheless, even counting bus firm, pupil and jobseeker schemes, 32% of younger Neets aged 22 – 24 years outdated don’t have any bus low cost of any variety, 54% in coastal areas.
Provision of buses can also be a serious barrier
Utilizing the Division for Transport (DfT)’s metric of public transport connectivity to employment knowledge, we discover coastal areas have the weakest public transport entry to jobs (Determine 1), with simply 0.3% of coastal left-behind communities (right here grouped in Decrease Layer Tremendous Output Areas — LSOAs) and a couple of.6% of different coastal communities falling inside the most-connected quintile.
Determine 1. Least related areas to jobs by public transport are in coastal areas
Charges of younger individuals not in employment, training or coaching are greater in “left-behind” areas (areas with excessive deprivation and few neighborhood belongings). Amongst 16 – 24-year-olds, the Neet charge is 24% in coastal left-behind neighbourhoods and 22% in different left-behind neighbourhoods, in comparison with the 13% common throughout England. Put one other method, 42% in coastal left-behind areas and 45% of Neet younger individuals in different coastal areas, stay in poorly related neighbourhoods, in contrast with 33% throughout England.
We will check whether or not variations in connectivity to jobs are related to completely different Neet charges throughout comparable areas. This isn’t causal evaluation, because it doesn’t management for different components, comparable to earnings ranges or job availability. In coastal left-behind neighbourhoods, the Neet charge falls from 27% within the least related fifth of areas to 22% in second best-connected fifth. In different coastal areas it falls from 14% to 9% between the least and finest related (Determine 2). However elsewhere in England, Neet charges range little with connectivity.
Determine 2. In coastal areas, the Neet charge falls as public transport entry to jobs improves
To check this extra robustly, as soon as area, rural or city location and deprivation (earnings, well being, crime and residing surroundings) are accounted for through statistical regression, areas with higher public transport connectivity to jobs are related to decrease youth Neet charges. This hyperlink seems stronger in coastal areas.
At its worst, England combines excessive prices and poor provision
At its worst, public transport in England combines excessive value and poor provision. We in contrast accessible youth reductions with DfT knowledge on public transport entry to jobs knowledge to see what number of younger Neets face each limitations.
We estimate that 25% of younger Neets in England face each poor public transport entry to jobs and no council-backed youth low cost open to everybody their age (22% together with bus corporations’ tickets). In coastal areas, this goes as much as a 3rd (33% in coastal left-behind areas and 37% in different coastal areas). In 28 of England’s 97 coastal cities with no less than 200 Neet younger individuals, Neets face each limitations: round 14,700 younger individuals in all. These embody individuals in Lowestoft, Margate, Folkestone, Clacton-on-Sea, Paignton, Ramsgate, Dover, Torquay and Weymouth.
Buses can go additional
Buses can go additional. Extra bus companies would attain probably the most left-behind rural and coastal areas and a bus low cost can attain those that would profit most. If this authorities launched free bus journey for under-25s, alongside funding extra bus companies the place provision stays restricted, this may create £110 of worth a 12 months per bus consumer, and price £1.1bn upfront, rising to £1.5bn a 12 months over the long run. Full evaluation of the prices of delivering such a scheme is ready out in our 2026 paper Getting Shifting on the Value of Residing
Forward of the finances and any modifications to the social safety system for younger individuals, this authorities ought to discover alternatives to shut a spot for younger individuals of their capability to get to work, training and coaching alternatives. Free buses for underneath 25s, paired with expanded service provision, notably for coastal and a few rural areas, could be transformative in resolving some pervasive regional and earnings disparities. With out this, any plan to change spending from advantages to employment help for younger individuals dangers leaving them stranded.
Methodology notice: NEF mapped youth bus fare reductions for every age from 16 to 24 throughout all 153 upper-tier councils in England, utilizing round 380 Native Transport Plans, Bus Service Enchancment Plans, Enhanced Partnership schemes and council and bus firm net pages, as of October 2026. Paperwork have been gathered and coded with AI help (Claude), and each scheme was checked by NEF researchers. Outcomes are weighted by Census 2021 counts of 16 – 24-year-olds not in employment or full-time training, used as a proxy for Neet standing. Poorly related neighbourhoods are the least-connected 40% of small areas (LSOAs) in England on the DfT’s measure of public transport entry to jobs. Left-behind areas, makes use of Native Belief/OCSI’s 225 left-behind neighbourhoods (2019, ward-based). Coastal areas, makes use of ONS coastal built-up areas (2022 classification, 568 areas). Extra particulars on the methodology right here.
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