The Hidden Challenges of Young People in 2026

London is often seen as a city of opportunity - full of energy, diversity and possibility. But for many young people, life is becoming increasingly difficult to navigate. Behind the headlines and stereotypes, young Londoners are facing a growing number of hidden challenges that shape their daily lives and future prospects.

In 2026, rising living costs, housing insecurity, digital pressures and barriers to employment are combining to create an environment where simply getting by can feel overwhelming. These pressures are not always visible, and young people are often expected to be resilient without the support they need. This blog explores some of the less visible challenges young Londoners are facing today, and why understanding and addressing them is more important than ever.

Cost of Living Crisis

The cost-of-living crisis has become a familiar term in the national vocabulary over the last several years. But for many young people, its impact has been particularly harsh. While young people may not always appear to be struggling financially, the data tells a different story: in the last 30 days alone, 5.4 million low-income families have gone hungry, cut back on meals, or skipped meals altogether.

Despite recent budget measures aimed at easing pressure on low-income families - including the scrapping of the two-child limit and reductions in energy bills - millions of young Londoners are still being left on the edge. It is hard to overstate the impact that the speed and severity of the crisis is having on young people’s mental health. Financial stress can lead to isolation, particularly when young people feel unable to cope with money worries or can’t afford to spend time with family or friends.

Poverty is also closely linked to increased exposure to violence. Young people growing up with financial insecurity are more likely to live in overcrowded or unsafe housing, in neighbourhoods with fewer resources and higher levels of crime. For some, the pressure to meet basic needs can increase vulnerability to exploitation, including involvement in harm or violence.

Research also shows that poverty and mental health have a two-way relationship: poverty increases the risk of mental health problems, while poor mental health can also push people further into poverty.

Money is like sand or water going through your fingers as soon as you get paid it falls through and its gone.

Barriers in the Job Market

Young Londoners have long been more likely to experience unemployment than young people elsewhere in the country. This is partly because the sectors young people are most likely to work in - such as retail and customer service - have seen a sharp decline in opportunities, with fewer than half the number of vacancies available in London compared to three years ago.

Rising costs and challenging economic conditions have forced many employers to make difficult decisions, often cutting entry-level roles first. When jobs are available, they are frequently low paid and struggle to meet London’s high cost of living, creating a significant barrier to entering or sustaining employment.

Many of the young Londoners we work with find themselves caught in a no-win situation: roles described as “entry-level” still require prior experience, discouraging applications and limiting access to the labour market.

The uncertainty of prolonged job searching, combined with financial pressure and repeated rejection, can take a serious toll on young people’s wellbeing - making an already steep path into employment even harder to navigate.

Digital Anxiety

Children and young people now have access to information, media and communication tools in ways previous generations never did. While this brings many positives, the sheer scale and pervasiveness of internet use - and the way it is embedded into everyday life - has raised growing concerns about its impact on young people’s wellbeing.

Spending large amounts of time online, endless scrolling, or being exposed to distressing content can leave young people feeling overwhelmed, anxious or insecure. For some, the online world can amplify existing pressures and make it harder to switch off or seek support.

Some of the negative impacts of social media include:

Comparing yourself to others

Seeing other people’s seemingly “perfect” lives online can make young people feel as though they are not good enough. Images are often staged, filtered or edited, and social media tends to show highlights rather than reality.

Overwhelming or triggering content

Social media platforms can draw young people into an endless stream of upsetting content, leaving them feeling distressed or unsafe. Despite new safety rules, research shows that teenagers continue to be exposed to content relating to bullying, self-harm, suicide and weapons.

Far-right extremism

Social media has become a significant driver in the radicalisation of young people by far-right extremist groups. Some young people, including those as young as 13, are being drawn into online communities that promote harmful ideologies and normalise violence.

Housing Instability

Housing insecurity undermines some of the most fundamental human needs - including shelter, safety, stability, belonging and connection. For many young people in London, where private rents are high, social housing is limited, and waiting lists are long, even a single disruption to housing can have serious and lasting consequences. Repeated moves (often between already deprived neighbourhoods) mean young people are constantly reassessing their physical safety and adapting their daily routines to unfamiliar environments. This instability can erode a sense of security and make it harder to form and maintain friendships or community ties.

Temporary accommodation can also have devastating long-term impacts, with some young people spending years in insecure or unsuitable housing. Living in temporary or overcrowded accommodation is closely linked to increased anxiety and poor mental health, while limited privacy and lack of space can disrupt education, making it harder to study, rest or engage consistently in learning.

I’ve seen a rapid industrialisation and urbanisation where I live. You can see the disparity in the quality of housing.

Loneliness

Loneliness remains one of the most pervasive yet silent challenges affecting today’s youth. Evidence suggests young people are spending too much time on digital devices and not enough meaningful in-person communities, which is having a negative impact on their mental health and loneliness.

Despite being surrounded by people, many young Londoners report feeling disconnected, as rising living costs, long commutes and insecure housing leave little time or energy to build and maintain meaningful relationships. For some, digital communication has replaced face-to-face connection, which can deepen feelings of isolation rather than ease them. Loneliness can have a serious impact on mental health, increasing the risk of anxiety, depression and low self-esteem, and making it harder for young people to seek help or feel a sense of belonging within their communities.

The challenges facing young Londoners in 2026 are complex, interconnected and too often hidden from view. Cost-of-living pressures, housing insecurity, digital risks, barriers to employment and loneliness do not exist in isolation - they overlap and compound, shaping young people’s wellbeing, safety and future options.

Yet these challenges are not inevitable. With the right support, investment and understanding, young people can be supported to navigate these pressures and build safe, fulfilling lives. Listening to young people’s experiences, addressing the structural barriers they face, and ensuring access to trusted support services are critical steps towards creating a city where all young people can thrive.

Young Londoner’s are resilient, creative and full of potential. Our responsibility is to make sure that potential is met with opportunity - not barriers - and that no young person is left to face these hidden challenges alone.

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