Number of young people not in education, employment or training falls

Maike Currie, vice president of personal finance at PensionBee, says it is vital for a young person’s pension that they get into the workforce as soon as possible.

She said: “Getting nearly one million young people off the sidelines and into the workforce could be one of the most important investments Britain makes in its future.

“Missing those crucial early years of work isn’t simply about losing a paycheck today – it can mean lower lifetime earnings, lost confidence and years of missed pension contributions, savings and compound growth.

“Auto-Enrolment has transformed pension participation, but too many young people still miss out. Extending it to include 18-year-olds would mean young workers start building a pension from their first years in the workplace, giving those contributions decades longer to benefit from compound growth. We also need to ensure apprentices, the self-employed and those moving between short-term jobs don’t fall through the cracks.

“The earlier someone starts earning and saving, the longer their money has to grow. We need today’s young workers contributing to the system that supports today’s pensioners, while building enough financial security to support themselves in later life.”