The falling birth rate will raise the tax burden on people born in the mid-1990s

Millennials will pay more in taxes yet receive less in state services than any generation since the war, a new analysis has forecast.

Younger people born in the mid-1990s will lose out as a fall in the birth rate means that the tax burden will fall on the shoulders of a smaller cohort of their age, it says. They will also be entitled to fewer state hand-outs for working-age adults such as child benefit, tax credits and welfare payments than previous generations, it says.

The study, in The Pinch, a book that highlights inter-generation inequalities, calculates that younger millennials born in 1996 will on average pay taxes over their lifetime totalling £962,000 and get services such as health and education or other payments worth just