New figures reveal the number of youngsters classed as not in education, employment or training (NEET) is at the lowest level since 2005.
Skills and enterprise minister Matthew Hancock says the news demonstrates that progress is being made to ensure young people are equipped with the skills necessary to enter into productive careers.
The Department for Business, Innovation and Skills has revealed that in the first quarter of 2014 there were 774,000 16 to 24-year-olds who are NEET (13.1 per cent) - a fall of 135,000 on the previous year and the lowest rate for this quarter since 2005.
There were 122,000 16 to 18-year-olds NEET (6.7 per cent). This is a reduction of 29,000 on last year and is the lowest comparable figure since 2001.
Some 652,000 19 to 24-year-olds were classed as NEET - a decline of 105,000, or 2.3 percentage points, on last year and the lowest number since 2008.
According to the figures, 94.2 per cent of 16 and 17-year-olds are participating in education and training. This is the highest comparable rate of participation since records began in 2001.
There was also a decline in the number of 19 to 24-year-olds who have been employed for more than six months. This number fell by 20,000, while those unemployed for less than six months dropped by 32,000 in the first quarter of 2014.
The skills and enterprise minister said he was "delighted" by the figures and claimed they are evidence that the government's long-term economic strategy is working.
"Every young person should be given the chance to reach their potential, whether that is through studying or training, embarking on an apprenticeship or traineeship or entering the world of work," he added.
"[These] figures show that more and more young people that were previously held back from reaching their full potential are now in work or developing skills that will allow them to become valued employees."
Posted by Charlotte Michaels