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The government has unveiled new support for young people getting their first jobs in a labour market impacted by AI.
Among the initiatives are The Early Careers Jobs Alliance which will map how entry-level work is changing, and produce help for businesses on how to redesign roles while maintaining entry-level pathways, and identifying early examples of good practice.
It will start in the digital and technologies sector, due to its high exposure to and uptake of AI, before being rolled about across the government’s eight industrial strategy sectors.
The government has today published research by LinkedIn and the AI and the Future of Work Unit, analysing UK entry-level hiring trends using LinkedIn data.
It concludes:
“UK hiring sits at –14% year-on-year as of April 2026. Entry-level hiring is falling broadly in line with the wider market, though the overall picture masks significant variation. Of 38 tracked entry-level occupations, 30 are declining. Information-processing roles are falling fastest — Accountant (–29%), Graphic Designer (–28%), Software Engineer (–27%) — while sales and customer-facing roles are growing.
“A skills mismatch is making entry harder in declining occupations, with employers favouring experienced candidates who already have the operational skills most entry-level candidates lack.
“The occupations declining most sharply are also those where AI has become most visibly capable, but further research is needed before conclusions can be drawn.”
In other announcements today, the government will expand its TechFirst programme to 400,000 students from disadvantaged schools who will be trained in AI and tech skills.
An AI bootcamp scheme will also be rolled out across England for young people who are at risk of becoming unemployed and out of education and training.
It will start with a pilot in Lancashire and Greater Manchester. Participants who complete the bootcamp will get a paid AI apprenticeship with local employers like JD Sports, BAE Systems, PA Consulting, Agilisys, and Wigan, Blackpool, Oldham, Blackburn and Lancashire councils.
A separate pilot will launch in 2027 in the North East’s AI Growth Zone, with training by tech firms including Accenture, Microsoft and Sage.
Technology secretary Liz Kendall said:
“My priority is building an AI future that is pro-business and pro-worker, where AI enhances work, and people are supported through the jobs transition – not left to cope on their own.
“It’s clear the world of work is changing rapidly with the adoption of new technologies, and young people want a future where they can get on, get skilled, and get good jobs.
“I’m determined to give young people the jobs and skills they need to thrive in an era of technological change, and am taking action now to create a future that truly works for all.”
The announcement follows the interim report of Alan Milburn’s review into young people and work which said the government needs to urgently tackle youth unemployment or one in six young people will not be in employment, education or training (NEET) within five years.
An estimated 1,012,000 young people were NEET in January to March this year, an increase of 55,000 from October to December
‘Job centre in your pocket’ AI assistant
Speaking at London Tech Week, prime minister Keir Starmer said the government is also providing AI tutors to the 450,000 children on free school meal and a new AI jobs tool to help those out of work to find jobs and create their CVs.
Described as ‘job centre in your pocket’, the AI assistant tool will be trialled for three months.
“While we can’t know exactly where AI will cause disruption, we can know how we will respond,” he said.
“We can know whose side we will be on.
“Because the choices government has made already tell that story. More apprenticeships, higher education reform, higher standards in technical learning, our Youth Guarantee.
“Those are not separate policies. They are our answer to a changing economy. They are about how we make sure, as tech advances, working people are not left behind.
“But that cannot be the limit of our ambition. Because when people look to the future, I don’t want them to see something that they have to endure – or to battle. I want them to see something that they can be part of.
“Something that creates opportunity.,That is hopeful. Not just for those who work in technology, not just for those who work in London, but for people in every part of this country.”
Commenting on the AI jobs tool, Lizzie Crowley, skills adviser at HR group CIPD, said:
“This is a strong policy signal on using technology to widen access to work, and we welcome the intent to provide more tailored, accessible support for jobseekers. Used well, digital tools can help people better understand their skills and navigate an increasingly complex labour market.
“However, delivery will be key. AI should enhance, not replace, the human insight and trust that effective employment support depends on. This is particularly important for those furthest from the labour market, where face-to-face support remains essential to overcoming significant barriers to work.
“Employers will also need confidence in how candidates are matched and prepared for roles. A balanced approach that combines innovation with robust safeguards, skills investment and strong employer engagement will be essential. Done well, this will be key to improving outcomes and supporting more sustainable employment.”
