A report from the Centre for Social Justice indicates that non-EU migration is significantly impacting the United Kingdom's youth labor market.. The findings suggest that for every young British citizen hired, 27 migrants from outside the EU are entering the workforce.
The 355 percent surge in non-EU youth employment
Since 2020, the number of young non-EU workers in the United Kingdom has grown by 355 percent. This massive influx contrasts sharply with the domestic workforce, where the number of young British workers has increased by less than one percent.
According to the Centre for Social Justice, this trend has created a massive imbalance in the labor market.. The study reports that for every single young British person hired, 27 non-EU migrants are being employed, a ratio that highlights a growing divide in opportunity. This shift comes as nearly one million 16 to 24-year-olds in the UK remain in the "NEET" category—not in education, employment, or training .
A 250,000-person decline in UK retail and hospitality staff
The shift is most visible in the service sector, particularly in retail and hospitality. Between January 2020 and December 2025, the number of UK nationals working in these sectors dropped by more than 250,000.
During that same period, the report notes that non-EU workers in these roles nearly doubled. This displacement is occurring even as the number of non-EU under-25s on payrolls rose by 33,200 between 2024 and 2025, while UK nationals of the same age saw a decrease of 32,200.
The proposed 30 percent tax incentive for youth hiring
To combat this trend, the Centre for Social Justice is calling on the Labour government to implement specific fiscal measures. The think tank suggests a tax cut for businesses that hire young people, amounting to 30 percent of their salary.
Policy director Joe Shalam noted that starter roles are disappearing due to rising employer costs. Beyond tax cuts, the center recommends that employers must advertise vacancies to the local UK workforce before utilizing work visa schemes. these recommendations follow criticisms from Conservative shadow home secretary Chris Philp, who argued that low-wage immigration is detrimental to the broader economy.
What Alan Milburn’s upcoming review will reveal
While the data presents a stark picture, several questions remain regarding the government's next steps. It is currently unclear how Prime Minister Keir Starmer’s administration will respond to the findings or if the proposed 30 percent tax incentives will be considered in future budgets.
Furthermore, the specific long-term social consequences of this employment gap remain unverified. While Reform UK shadow home secretary Zia Yusuf insists that British workers are being pushed to the back of the queue, the government has yet to provide a formal rebuttal to the specific employment figures cited in the Centre for Social Justice study.
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