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Under-18s on company payrolls at five-year low, HMRC figures show

The number of under-18s on company payrolls has reached its lowest level in five years, according to figures from HM Revenue & Customs (HMRC). This decline has raised concerns about young people missing out on developing workplace skills.

  • HMRC figures show the number of under-18s on company payrolls is at its lowest level for five years.
  • The number of employed under-18s in a region including Kent and Surrey has dropped by almost 19% in the past two years, a decrease of over 14,000 people since 2024.
  • The government stated it is investing £2.5bn in youth employment support and further reform will follow the Milburn Review this autumn.

Figures from HM Revenue & Customs (HMRC) indicate that the number of under-18s on company payrolls is at its lowest point in five years. This decline has prompted concerns that young people may be missing opportunities to develop workplace skills and confidence.

In a region encompassing Surrey, East and West Sussex, Kent, Berkshire, Buckinghamshire, Oxfordshire, Hampshire, and the Isle of Wight, the number of employed under-18s has fallen by almost 19% in the past two years. This represents a decrease of more than 14,000 people since 2024.

Jessica Marshall, 18, who works at the Grapevine Bar in Herne Bay, Kent, said her job has helped build her confidence, social, and time management skills. Fin Dale, 23, and Madison Leaver, 18, also shared how early work experience provided them with valuable skills and helped overcome shyness.

Some employers have cited changes to tax rates, higher minimum wages for teenagers, and restrictions on employing under-18s as factors making it more difficult to hire young workers. Chris Miller, company administrator at Dean's Plaice in Herne Bay, noted fierce competition for seasonal work, with at least 10 applicants for every job advertised.

The government described youth employment as a "complex issue years in the making" and stated its determination to address it. It highlighted a £2.5bn investment in youth employment support, aiming to create nearly one million jobs and training opportunities, and mentioned that further reform will follow the Milburn Review this autumn.

Why this matters: The decrease in under-18 workers could mean young people are missing out on crucial opportunities to develop workplace skills and confidence early in their careers.

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