Across Europe, more than five million twentysomethings have seen their aspirations buried under a mountain of debt, and had their epitaph written: "The Lost Generation". Britain is no exception. It has 20% youth unemployment, and thousands more not in education or training. At an emergency meeting in Berlin last week, 20 European heads of government agreed a £5bn crisis package to offer apprenticeships, training and job creation. But it will take miracles to make a significant dent in current levels of joblessness – for instance, nearly 60% in Greece and more than 56% in Spain.

This is Generation Y, born between the 1980s and the millennium, hammered by the recession and austerity. Generation Y faces more years of financial slowdown, but what is to become of the cohort following in its footsteps, arguably moving through an even bleaker terrain? What of the generation now in its teens, growing up against a backdrop of accelerating job insecurity, deep cuts to the public sector, flatlining salaries, rising housing costs and fierce competition, exacerbated by globalisation, that has turned the domestic job market into a zone that covers five continents? This is the generation that, for the first time, will see some members slipping down the ladder of mobility and dying younger and possibly poorer than their parents.

The lucrative commercial hunt is on to find a label for this group – once its characteristics can be defined – to allow the Klondike of branding and marketing to begin. The cohort begins with births in the late 1990s, overlapping with Generation Y.

Cohorts traditionally last 20 years but psychologist Jean M Twenge, chronicler of the Y Generation, says that such is the pace of cultural change that the time span is now shrinking to a decade. Given the degree of adversity it faces, it would be unsurprising if this latest cohort finds itself labelled Generation P for pessimism, yet the picture is far more complex.

A survey by BritainThinks into the attitudes of UK teenagers is, of course, no more than a brief glimpse of a cross-section of young people, aged 14 to 18, and parents based in Leeds, London and Coventry. However, there are clues that values and aspirations may significantly differ from those of Generation Y. That earlier cohort has been variously described as narcissistic, materialistic, individualistic, celebrity-obsessed and not inclined to be civic-minded. Digitally fluent, Generation Y abandoned its parents' lifelong loyalty to a single employer and has changed careers often. So what are the clues to how its successor cohort compares?

In the BritainThinks survey, employment is, predictably, a universal goal (70%), but with qualifications (35%) and home ownership (29%) far behind. Is this the downsizing of ambition? No skivers here. The majority say they would work even if rich and even if paid less than on benefits. Surprisingly perhaps, fame, wealth and designer labels hold little attraction. "I see celebrity as a zoo," one 14-year-old said. "Why would I want to be in a zoo?"

Source: Britain Thinks, based on 679 young people. Credit: Observer Graphics

However, an exodus from Britain does have appeal; where to go is less clear given the parlous state of the rest of Europe. Two-thirds worry about opportunities in the UK. None expects to be unemployed, even though it's likely to affect one in five young people.

Creative industries top the list of preferred careers (manufacturing, engineering and retail are very unpopular). There is concern about a lack of "real" apprenticeships, vocational opportunities and useful careers advice. Luke Murphy, for instance, is 18 and lives in Leeds. He has just completed a Btec level 3 in games design, a course that includes 3D modelling, web design and animation. He hopes to gain a triple merit and aims to study animation at university.

"I've always brought characters to life so I had a good idea of what I want to do," he says. "The school made suggestions, but for the most part it was me doing the looking."

Luke Murphy, 18, in Leeds: school gave careers advice, 'but for the most part it was me doing the looking'. Photograph: Gary Calton for the Observer

Across the group, even 14- and 15-year-olds have a grounded eye on their futures. Lucy Baillie, 35, in Leeds, is the parent of Harry, 15, and five-year-old Poppy. "Harry wants to be a footballer, but otherwise he's set on being a mechanic or an electrician. He's a good boy. He'll be OK," she says.

"My daughter, Megan, is 14 and very level-headed," says Andrew Smith, 46, deputy head of a primary school in Surrey, who took a 50% cut in salary to switch from his career as a Middle East analyst seven years ago. Megan is in private school. "I hadn't a clue what I wanted to do, even in my 20s. Megan knows exactly her route. She sees herself as working in publishing first, then as an author and possibly teaching later. Life has changed a lot in the last five years. Two or three careers seems a good option. "

Source: Britain Thinks, based on 679 young people. Credit: Observer Graphics

The BritainThinks survey hints at a move away from Generation Y's individualism. In the nine focus groups, there was a strong desire for "giving back". On the negative side, a quarter of the sample (drawn across the classes) expressed concerns about mental ill health and the price that might be exacted. "You can't afford to be fragile," one 15-year-old said.

The young people's near-total lack of connection to Westminster politics ought to be a major challenge to the political establishment. In Scotland, 16-year-olds will vote on independence next year, while in this survey, only 55% of young people expressed an obligation to vote. That is a critical democratic deficit.

"There is a mysterious cycle in human events," said Franklin D Roosevelt back in 1936. "To some generations, much is given. Of other generations, much is expected."

Forging economic survival, community regeneration and personal happiness out of the debris of a decade and more of corporate avarice, a reduced welfare state and financial meltdown, is the task ahead for today's teenagers. Success may elude some, but it could also be the making of a new and robust social contract. Are we seeing a less individualistic, less hedonistic, more community-minded Generation A – anxious, austerity-minded, anti-materialistic but also highly aware of the importance of a connection to others?