Rising youth unemployment has fuelled a boom in chicken shops across British high streets, as young people not in employment, education or training – known as Neets – increasingly turn to fast food, according to consultancy Baringa.

Analysts at Baringa, which employs more than 2,000 people, have drawn a link between the widespread emergence of chicken shops and the growing number of Neets, coining the term "Chicken Wing Economy" to describe the phenomenon. The firm's retail consultants argued that rising joblessness has pushed young people towards cheaper options, with many eating at KFC, Popeyes or trendier spots such as Morley's and Wingstop.

Data analysed by Baringa indicates that the annual rise in fast food restaurants outstripped growth in traditional sit-down restaurants by around five times between 2018 and 2025, underscoring how operators serving lower-cost meals have continued to expand even as the wider high street struggles with shifting consumer habits.

The trend coincides with a sharp rise in youth unemployment, which has climbed from a low of 10.9 per cent in 2017 to 16.2 per cent – a figure not far off that of Greece – according to the latest data published by the Office for National Statistics (ONS). The number of Neets is estimated at more than a million, making the labour-market backdrop a key part of the story behind the changing face of Britain's food retail sector.

"Chicken shops have become closely associated with Gen Z, encouraged by chicken-themed online influencers and social media content such as Amelia Dimoldenberg's 'Chicken Shop Date' or the American import 'Hot Ones'," said Paddy Winters, partner in consumer products and retail at Baringa.

"With the recent expansion of US brands, such as Popeyes and Chick-fil-A, into the UK market, the 'Chicken Wing Economy' seems set to stay on Britain's high streets," Winters added. He also said that young people's spending on fast food would far outpace spending on high street restaurants over the coming years.

A £5bn market by 2029

Modelling by the consultancy suggests the UK's fast-food chicken market is set to be worth more than £5bn by 2029. The consultancy Mintel estimated in 2022 that the chicken outlet market was worth about £2.3bn.

Economists have widely attributed the rise in youth unemployment to the Labour government's decision to raise taxes on businesses by more than £25bn through a hike in employers' national insurance contributions. Increases in the national minimum wage and workers' rights red tape have also added to pressures on firms.

The ONS said on Tuesday that higher costs across firms had prevented a bounce back in jobs for Britons across the country, highlighting the broader hiring slowdown in which younger workers are particularly exposed.

Economists class fast food and other cheaper options as "inferior goods" – products that can see demand increase when consumer incomes decrease, a dynamic unique compared with most other goods such as restaurant meals or new cars.

Industry heavyweights flock to chicken

Other food industry heavyweights have recently announced plans to enter the chicken shop market amid the ongoing Neets crisis.

The former boss of Domino's Pizza announced that the company would expand into fried chicken due to changing diets. His successor, chief executive Nicola Frampton, said Domino's chicken sales had boosted revenue over the summer.

Earlier this month, it was revealed that Wingstop had enjoyed a 73 per cent uplift in revenue to £216m last year, as it unveiled its 100th location in the UK.

American giants have also flocked to Britain. Slim Chickens, founded in Arkansas in 2003, entered the UK in 2020 and has laid out plans to expand its presence to at least 50 sites. Popeyes, which launched in Britain only five years ago, already operates about 100 venues in the UK and is aiming for 350.