“UK minimum wage is raising youth unemployment, Bank of England’s Mann says” – Reuters, Feb 15th 2026
Do you remember your first crappy job? Today’s young people would wish for half your luck, writes Gaby Hinsliff in the Guardian, Feb 20th 2026:
This week, unemployment rates for 18- to 24-year-olds hit a high not seen outside the pandemic since 2015. School leavers are now competing for work stacking shelves or pulling pints with overqualified new graduates who can’t find graduate jobs, at a time when pubs, shops and cafes don’t seem to be hiring. Even those employers strong enough to have survived lockdown routinely complain that it’s getting too expensive to hire staff – especially young ones.
The Centre for Policy Studies thinktank calculates that it will cost 26% more to hire an 18- to 20-year-old by this spring than it did in 2024. That reflects government decisions taken for perfectly good reasons, including hiking employers’ national insurance to fund the NHS, plus two chunky rises to the minimum wage for the under-20s (now £10 an hour) in line with manifesto promises to level it up with the higher adult rate (now £12.21) over the course of a parliament. No matter how noble the motive, once it costs the same to hire four teenage Starmers as it once did to hire five, there are likely to be consequences. Yet until this week, when an internal Labour argument about whether they could be inadvertently pricing young people out of work spilled on to newspaper front pages, political debate over why so many young people don’t have jobs has mostly involved blaming them for being anxious snowflakes. Injury, meet insult.
I am truly, non-sarcastically impressed that Ms Hinsliff and a few other left-wing commenters are now willing to admit that “there are likely to be consequences” to increasing the minimum wage. Hearing that word, “consequences”, enter left-wing discussions of workers’ pay is like a glimpse of a little mammalian form scurrying through the dust kicked up by a brontosaurus.
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