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Milburn review: Impact on food leaders

28 May 2026

The Milburn review highlights youth inactivity as a growing structural crisis, strengthening the case for food businesses to act on skills and early careers. 

Alan Milburn has now published the interim findings (Report 1) of his review into young people not in education, employment or training (NEET), setting out a stark diagnosis of a worsening and long-standing problem in the UK labour market. For food businesses, the message is highly relevant: a large potential workforce is being held back by a system that is not consistently helping young people move into work, while employers are being asked to play a more visible role in shaping solutions. 

What the review says so far 

Report 1: Diagnosis of a structural challenge 

The first report sets out why the review was commissioned and what has changed in the labour market for young people. It focuses on diagnosis rather than solutions, drawing on data, evidence and engagement with employers, young people and other stakeholders. Its central argument is that this is not a short-term or cyclical problem, but a deeper structural challenge that has built over time, with participation in the labour market weakening for parts of the younger population. 

The review sets out the scale of the issue. Around 1.01 million young people (13.5%) are now NEET, the highest level in over a decade, equivalent to around one in eight 16 to 24-year-olds, with the review warning that as many as one in six young people could be NEET within five years if current trends continue. It highlights that a majority of those who are NEET are now economically inactive, meaning they are not just out of work but not actively seeking it. 

The proportion who are economically inactive has risen in recent years. It argues that the system is fundamentally imbalanced, with significantly more spent on supporting young people through benefits than on helping them move into work. The diagnosis spans schools, skills, health, and welfare, rather than placing the issue on any single part of the system. 

The report also argues that the labour market facing young people has changed materially. Entry-level roles have declined over a long period; recruitment routes have shifted, and many employers see greater risk in hiring younger workers whose support needs may be higher. At the same time, the review highlights a sharp rise in young people experiencing work-limiting health conditions, with mental health and related challenges becoming a defining feature of youth disengagement from work and education. The implication is that employers are not simply dealing with a pipeline problem; they are operating in a labour market where access, readiness and support all need to work better together. 

Report 2: What comes next?

The second report is expected to turn from diagnosis to action. For employers, that means the next phase is likely to focus on how public policy and business practice can work better together, including through recruitment, support, skills, and local delivery. It also points to a broader coalition-building role for business leaders, as employers are being encouraged to help make the case publicly for a more joined-up approach. 

Why this matters to the food industry 

This is not a marginal issue for the food industry: it affects one of the UK’s biggest entry-level employers. As IGD set out in its submission to the review, the food industry supports one in eight jobs across the UK and has traditionally offered many young people their first experience of work. The sector includes a higher proportion of under-30s than the workforce as a whole in several parts of the chain, including agriculture, retail, and hospitality. That means the industry has both a strong interest in the issue and a strong platform from which to act. 

IGD’s evidence also highlighted a practical challenge: too many young people do not understand the breadth of roles available in food and drink. If awareness is limited, opportunities can be missed before recruitment even begins. For a sector that spans farms, factories, logistics, retail, hospitality, technology and head office functions, better routes into work could help address both youth participation and longer-term workforce needs. In that sense, the Milburn review aligns closely with the food industry’s own interest in building a stronger pipeline of future talent. 

What employers are being asked to do now 

One of the clearest messages from the review is that employers are not being asked only to wait for public policy change. Businesses are being encouraged to act now by looking at how recruitment, work experience, line management and pastoral support could help more young people enter and stay in work. There is also a strong emphasis on collaboration: large and small employers, educators, and local systems are all likely to need to work together more effectively if participation is to improve. 

  • review recruitment routes into entry-level roles 

  • strengthen work experience and early careers pathways 

  • improve line manager and pastoral support 

  • work with educators, local partners, and other employers 

  • speak publicly about the policy changes needed 

For senior leaders, there is also a growing expectation that businesses will play a visible role in shaping what comes next. While the review focuses primarily on diagnosis, it is already clear from engagement around it that employers will be central to building momentum for change. 

That points to the next phase being not only about policy design, but also about whether a coalition of employers is willing to help make the case for a more joined-up approach. Given the scale of the challenge, progress is likely to depend as much on building consensus as on specific policy interventions. 

For food businesses, that could mean taking a more active role in demonstrating the value of entry-level work, highlighting the support young people may need to succeed, and helping to articulate where current policy and systems could work better together. 

Why Feeding Britain’s Future matters now 

The review’s diagnosis matters even more as labour market conditions soften. A weaker jobs market does not remove the structural barriers that leave the food system short of people and skills. If anything, it creates a window to rebuild future talent pipelines. 

That’s why we’re relaunching Feeding Britain’s Future. It is IGD’s long-standing initiative to connect young people with employers across the food and drink system, helping them understand career opportunities and build confidence about entering work. 

We know that one of the most important things we can do to prevent young people from falling out of the system is to provide opportunities for them to engage with employers. Young people who have four or more encounters with employers are 86% less likely to become NEET. 

Our ambition is simple: 

  • To provide experiences of work in every secondary school by 2030 

  • Mobilising the scale and diversity of the food and drink system 

  • To equip young people to work and progress in the industry 

  • Reversing NEET numbers and inspiring the next generation to make their career in food 

By helping businesses reach young people earlier, strengthen work-readiness support and improve perceptions of the sector, Feeding Britain’s Future gives the industry a practical way to act collectively. 

Email feedingbritain'[email protected] to formally join the movement 

  • Share your high-res logo  

  • Join our launch event on 4 June with speakers including CEO of Tesco, Greencore and Sainsburys and Director General from Department of Workforce and Pensions. 

In a period of cost pressure and uncertainty, collaboration at scale can help reduce long-term recruitment risk and rebuild confidence in future talent pipelines. 

What senior leaders should watch next 

The review raises a practical question for food leaders: how far does the industry want to help shape the solution? Its significance lies in framing the problem not as a temporary labour market dip, but as a long-running systems challenge with consequences for productivity, participation, and life chances. It also highlights the economic risk of sustained disengagement, including long-term impacts on workforce participation and future growth. 

With labour pressures still evident across parts of the food system, a clear social purpose around youth opportunity and an established platform through Feeding Britain’s Future, there is a strong case for the sector to be part of the coalition calling for change.

Michael Freedman
Head of Economic and Consumer Insight

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