The high number of people defined as economically inactive – those who are choosing not to work – is creating a headache for businesses and the government.
The number of working-age adults that have left the labour market has risen by 830,000 since the start of the pandemic, according to the Resolution Foundation’s Post-pandemic participation report. This is seen as a major contributor to the current talent shortage and the UK’s economic stagnation.
There are many reasons for this increase, but one of the largest cohorts in this economically inactive group is the over-50s, who make up 76% of the 830,000 who have left work.