Nearly a million under-25s are neither working nor studying, according to new figures, highlighting the scale of the unemployment crisis as the government prepares a crackdown on benefits.

The number of young people not in work, education or training – Neets – jumped to 946,000 in the three months to September, according to the Office for National Statistics (ONS).

This is the highest number of unemployed people aged 16 to 24 since 2014, and is a 9% increase from 871,000 a year earlier. The number of young Neets has increased by almost a quarter since the pandemic.

Around 13.2% of 16-24 year olds are now classified as Neets, which is also the highest percentage in a decade. Most of them are economically inactive – that is, not looking for work – rather than unemployed, a category that includes only those looking for work.

Stephen Evans, chief executive of the Learning and Work Institute, said the legacy of lockdowns and the sharp increase in mental health problems were likely to have contributed to the rise in Neets.

He said: “We are seeing an increase in unemployed disability claims and an increase in mental health issues.

“The young people we have now, the 18 to 24 year olds, have gone through Covid, with a disrupted education, so maybe there are a bit of after-effects to that as well.”