The body is calling for immediate government action which it says is needed to help young people from generation Z, generally defined as those born between 1997—2012, to enter the workplace or education.
Its report, "Creating Job Opportunities for Gen Z," released on Monday, follows research published last week which found the number of young people claiming benefits owing to poor mental health or neurodiverse conditions such as autism and ADHD was not economically "sustainable."
’Double Whammy’
Shevaun Haviland, director general of the BCC, said:   "The UK’s active workforce is rapidly ageing, while the number of young people who are not in employment, education or training is at its highest level for a decade.
"Generation Z face a double whammy of increasing barriers to entering the workforce, and reducing opportunities as the number of vacancies continues to fall.
"But research shows the longer we leave this pool of talent to drift away from the workplace the harder it becomes for them to engage."
The BCC, which represents a large number of smaller businesses, is calling on the government to spend more on mental health support and further education and for a more "collaborative approach" across the various Whitehall departments.
’Rise of Anxiety’
Last week’s report from the Tony Blair Institute (TBI) pointed to soaring numbers of people reporting poor mental health and claiming benefits since the COVID-19 lockdown era.
"One clear trend is the rise of anxiety particularly since the COVID-19 pandemic. Data from the Annual Population Survey show that prior to the pandemic, self-reported levels of anxiety in the population were relatively stable. Since 2019, however, the number of people reporting high levels of anxiety has surged and remained high, with 23 per cent of working-age adults reporting ’poor anxiety’ in 2023," authors for the former prime minister’s organisation wrote.
Mental health conditions are now the most commonly reason cited by people across all age groups who are out of work owing to long-term sickness, the report by the TBI notes.
"The reasons behind this shift remain unclear. It may reflect a rise in true prevalence, but other factors could also be at play — such as distorted financial incentives within the system, overdiagnosis or changing public attitudes and awareness around mental health.
"Whatever the cause, one thing is clear: the current trajectory is unsustainable," the authors concluded.
The study highlights a 168 percent reported increase in depression, anxiety, and stress among those aged 16—24 in the two decades ending in 2019, with a 42 percent rise seen across all age groups.
It also notes a doubling in the prescribing of ADHD medication since 2018—2019, with the younger age group the main driver behind this increase.