According to the government's latest unemployment statistics, there are over 500,000 18-24 year olds out of work.

This reflects a growing concern that young people are not equipped with the necessary skills for joining the work-force. Employers particularly notice a decline in "soft skills", such as numeracy and communication.

This comes at a time when employers are increasingly turning to migrant workers, who show a high level of skill and often a more impressive work ethic than young British employees.

David Frost, Director General of the British Chambers of Commerce said:

"Too many young people are not fulfilling their potential. Government must ensure that reforms to the education system are successfully seen through if we are to solve this problem. It must also tackle the culture of worklessness and low aspiration that exists in many communities. If young people do not continue their education or enter the workplace, it is likely that they will fall into a dangerous cycle of dependency on the benefits system."

The BCC is calling for the government to address the problem of the skills shortage amongst young people, as it is in danger of creating a "two tier society with many going straight from school to a life on welfare".