THE life chances of young people in Scotland continue to be largely determined by their parents’ wealth and social class, the Scottish Government’s anti-poverty tsar has found.

Naomi Eisenstadt, an independent advisor, said that while progress was being made, the persistence of “the social class gradient” was “deeply worrying” and represented a fundamental unfairness as well as a “significant waste of talent and opportunity”.

The adviser has made a series of 18 recommendations to the Scottish Government to help improve opportunities for young people from less advantaged backgrounds.

The recommendations include delivering more affordable housing options for young people, creating more flexibility for students to move between college and university courses, funding research on mental health in school, and providing subsidised or free transport for under-25s.

She has also recommended that the Scottish Government lobby the UK Government over banning zero-hours contracts, introduce a national living wage from 18, and ensuring all post-school internships are advertised and are paid posts.

In her report to the First Minister, Eisenstadt said: “While there is much to be optimistic about in terms of improving school performance, record low youth unemployment, and the vast majority of young people leaving school with a positive post- school destination, the persistence of the social class gradient is deeply worrying.

“The fundamental fact remains that life outcomes are largely determined by the wealth and social class of one’s parents at birth. This applies across the social spectrum, not only to the richest and poorest of families.

“And it represents not just fundamental unfairness, but also significant waste of talent and opportunity for the economy and social cohesion of Scotland.”

She stressed many issues could not be solved by legislation but require action by schools, the private sector and public-sector employers.

Nicola Sturgeon welcomed the report as she confirmed the creation of a new independent Poverty and Inequality Commission, of which Eisenstadt will be a deputy chairwoman.

The First Minister said: “Naomi Eisenstadt has again provided robust advice to the Scottish Government on how we can tackle poverty and inequality in Scotland.

“When I appointed Naomi in June 2015, I was clear that I wanted her to challenge the government and scrutinise the work we were doing to alleviate poverty and inequality.

“Her first report made a number of useful recommendations and we are making significant progress in implementing these, as the progress report also published today shows.

“Naomi’s latest report, ‘The Life Chances of Young People in Scotland’, provides useful challenge to the Scottish and UK Governments to do more to improve the life chances of young people from less advantaged backgrounds and to build a fairer future.”

She said the two-year commission would provide independent advice to Scottish ministers and scrutinise how government budgets, policy and practice can impact on poverty and inequality, starting with giving advice on the first child poverty delivery plan due in April 2018.

Scottish Labour leader Kezia Dugdale said: “The SNP has long been content to talk left at Westminster while doing nothing in government at Holyrood.

“SNP ministers talk about creating a bright future for our young people, yet have slashed tens of thousands of college places across Scotland and presided over the worst crisis in Scotland’s schools since devolution.”

She said it was “vital” that the government delivers on the report’s findings.

The Greens urged the Scottish Government to act on the report’s recommendations and called for consideration of a £5 increase on child benefit to lift 30,000 children out of poverty.

Alison Johnstone MSP said: “With Holyrood’s new powers over social security we have an opportunity to boost the incomes of struggling families and reject the mean-spirited approach of successive Westminster governments. An increase of £5 a week in child benefit would lift 30,000 children out of poverty in Scotland and the Scottish Government must consider this.”