Young People Living in Poverty and in Despair, in the UK.

Sylvie Rouhani Deputy Editor, Taxpayers Against Poverty August 2025

With cuts to many services and, to support in the community. the Covid – 19 pandemics, the lack of mental health support, and the cost of living crisis, young people, aged 16 – 24, are living in poverty and in despair, in the UK.

The reasons for the decline in the young people standards of living, and of their mental health, are tenfold and often, interlinked. Most young adults, are now feeling hopeless about their future, stuck in jobs that do not pay, in a society that expect so much of them, but gives them so little, to embark into their adult lives.

15 years of severe cuts

·       Child Benefit Cap and cuts Disability Benefits

In 2017, The Conservative government implemented a fatal change to Child Benefit by imposing a two chid cap. This pushed thousands of parents and their children into poverty. Young people who grew up in a destitute household will be more at risk of mental illness, of isolation from peers and of falling behind their education.

 During the 2025 Spring Statement, Chancellor Rachel Reeves, announced some concerning changes for young people under 22 years of age: they will no longer be able to receive the “UC Health Element” (LWCRA,) even if they already receive PIP. They will be “encouraged” to train or, to seek further education or to gain employment, instead. This will only push young people into further poverty and despair.

·       Cuts in Youth Centres. 

The latest Youth UK Survey - shows a decline in the number of youth centres, in England: from 931 youth centres, in 2011 in England, to 429 centres, in 2024. Fifty-four percent fewer. This is linked to a decrease of Local Government expenditure in youth services, which was, in 2010, £1648.9 million, In 2024, it was down to £446.05 million. The Covid – 19 pandemics also put a strain on already struggling local youth services. Many closed and didn’t re-open, leaving many young people with missing on community support.

·       The Covid -19 pandemic

The Pandemic, in 2020, and the lockdowns had a disastrous impact on young people’s mental health and education. The pupils set to pass their GCSEs were asked to study and to get on with it without support and time to catch up. For those living in abusive households, they had nowhere escape. Online classes were difficult for most, especially with neurodivergent pupils.

Young people suffering with disabilities were cut off from their medical support system as well as being isolated from peers. Those suffering with mental health difficulties, fell into deeper despair, with no support to get through the lockdowns and other social restrictions.

·       Lack of Mental health services.

 Already overstretched to their limits, before the pandemic, mental health services have since been unable to meet the ever-increasing needs of young people. More than 25.8% of young people (16 – 24) live with a mental health condition, highlights the latest NHS Survey of Mental Health and Wellbeing (2023/4)

In regard to the Child and Adolescent Mental Health Services (CAHMS), the latest Care Quality Commission survey reads:

o   “Forty-five per cent of respondents waited 3 months or more for their first appointment for treatment and over half (53%) received no support while waiting (although a decrease compared to 60% in 2023).

o   In a crisis, 33% would not know who to contact.

o   Forty-three per cent said they did not have a care plan and 44% have not had a review meeting in the last 12 months.”

19 years old Emma*, from South East London, shares her experience:” It took a long time for my GP to take my mental health difficulties seriously. Teachers and school staff were impatient with me and very judgemental, which increased my anxiety and stopped me from attending school. During the lockdown, was meant to sit for my GCSEs. The classes were online, which was difficult for me, and I didn’t keep up. When schools re-opened. We were just expected to carry on as normal. I feel like our school year has been let down.

It took ages for me to be referred to CAMHS, even then, it took longer for CAHMS to give me any support. There was no help during times of crisis. I stopped school, without sitting my GCSEs. It was hard.”

·       Cost of living crisis

 Rents are higher than they have ever been and makes renting, for young adults, unreachable. This means more young adults stay longer at their parents’ house, or they need some financial support towards rent deposits, to start their independent life. University loans also are at their highest, meaning students start their adult life in debts. Working no longer provides a guaranteed good standard of living and food has become a luxury for many. Going out and having fun are expensive and out of reach for most.

The Prince’s Trust NatWest Youth Index 2024 described the overwhelming impact on the young adults:

o   “Half of young people (49 per cent) state the cost of living has had a worse impact on their life than the pandemic.

o   Over half of young people (53 per cent) worry that the cost of living means they’ll never be financially secure.

o   Due to the cost of living, a third of young people (34 per cent) say that worrying about money has made their mental health much worse. This rises to 44 per cent among young people who are NEET. (Not in Education, Employment or Training.

o   Young people’s overall happiness and confidence with money have hit their lowest levels ever recorded by this study, with a third (33 per cent) of young people saying thinking about money depresses or stresses them.”

Mia*, young woman living in London said: “Everything is so expensive: rent, food, travel cost, etc. We can’t afford to move out of our parents’ home. Young adults now stay much longer with their parents, or their parents financially support them to get on the property ladder. Not all parents are supportive though, or able to financially help. We work, we pay travel and buy food, and we have nothing left to just enjoy ourselves”

The solutions

Real living wage, more affordable and social housing must be available for all young people, especially the ones who have no parents nor carers, to support them. There is a real need for community support, local clubs and social events for young adults. They also need more options in terms of training, alternatives to learning in a classroom setting. It is urgent the government funds mental health services and focus on the well being of its younger citizens as they are the future of this country

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Our Role in Creating Change

We cannot wait for someone else to act. It’s time to demand better for the millions struggling in poverty—and for the millions more living one unexpected expense away from it.

·       Join us in advocating for a compassionate, fairer society. Here’s how you can help:

·       Speak Up: Contact your MP and demand investment in social care, living wages, and affordable housing.

·       Get Involved: Volunteer or donate to organisations like TAP that fight for systemic change.

·       Stay Informed: Follow TAP’s work and share their message to build awareness.

Together, we can create a society where no one is left behind. Let’s make compassion the cornerstone of our nation’s future.

Sylvie Rouhani Deputy Editor, Taxpayers Against Poverty

August 2025

*Names changed for anonymity.