A B S T R A C TConsumption and consumerism are now accepted as key contexts for the construction of youth identities in de -industrialized Britain. This article uses empirical evidence from interviews with young people to suggest that claims of 'new community' are overstated, traditional forms of friendship are receding, and increasingly atomized and instrumental youth identities are now being culturally constituted and reproduced by the pressures and anxieties created by enforced adaptation to consumer capitalism. Analysis of the data opens up the possibility of a critical rather than a celebratory exploration of the wider theoretical implications of this process.Whilst much has been written recently about changes in youth transitions (Coles, 1995;Furlong and Cartmel, 1997) and the influence of consumerism upon youth identities (Miles, 1996(Miles, , 1998, the broader economic and social structures in which identity is constituted and reproduced have been somewhat neglected, or at least taken for granted as a rather passive backdrop to the cultural action unfolding before us. This article aims to challenge the rather fashionable notion that identity is potentially free to construct itself in a 'post-structural' or 'postmodern' world, and to do this we will focus on the question of how young people experience and perceive their lives in Britain's rapidly changing economy. As the formerly imposing edifice of industrially based social class begins to cast a far smaller shadow over identity (Marshall, 1997;Pakulski and Waters, 1996), and rigid modes of gender expression begin to loosen (Beynon, 2002;Connell, 1995), for some it seems reasonable to argue that young people are developing the wherewithal and 'discursive' tools to construct multi faceted and highly sociable identities in a fluid, changing world with a good deal of freedom and creativity (see, for example, Ball et al., 2000). However, our data suggest that although many young people have indeed honed their ability to dip in and out of consumer markets in order to construct a sense of self (Miles, 2000), which certainly gives the appearance of freedom and creativity, a sense of homogeneity and conformity is still quite overwhelming. At the same time it is strikingly apparent that huge gulfs of structural inequality remain.The empirical data presented in this article come from a broad-ranging and ongoing ethnographic and qualitative project addressing the changing nature of youth identities in contemporary Britain. To date, 43 young people, aged between 18 and 25, have been interviewed in order to gain some insight into their attitudes towards marriage, relationships and kids, work, leisure, body image, fashion, consumerism, friendship and life course. All of our respondents were white and from the northeast of England. We have changed their names and disguised specific locations in an effort to preserve anonymity. The interviews were unstructured, and in some cases respondents generously agreed to follow-up interviews in order to flesh out details and furt...