14/09/2005

UK unemployment figures on the rise

The number of unemployed people in the UK has risen, although the unemployment rate has remained unchanged, the latest figures reveal.

The number of people out of work increased by 12,000 to 1.42 million from the previous quarter, the Office of National Statistics reported. However, the unemployment rate remained static at 4.7%.

The claimant count also rose in August, with the number of people claiming benefits rising to 866,200 – an increase of 1,600 on July’s figures.

The number of job vacancies also dropped by 7,400 to reach 631,700.

However, the working age employment rate increased by 0.1% to reach 74.8% in July, compared to a year earlier. The employment level was 28.73 million in the three months to July 2005, an increase of 83,000 from the three months to April 2005 and up 315,000 on last year’s figures.

The number of people classed as ‘economically inactive’, such as students, carers and those on early retirement, also fell by 16,000 in the last quarter to 7.92 million.

Average earnings growth, including bonuses, increased by 0.1% to 4.2% from July, although growth, excluding bonuses, fell by 0.1% to 3.9%.

Commenting on the figures, Employment Minister Margaret Hodge, said that, in spite of the rise in those claiming benefits, the claimant had nearly halved within the last eight years and had dropped close to a 30-year low. She said: “We’ve done a lot, but there is still more to do. We need to reverse the recent rise in claimant unemployment and we need to press ahead towards our long-term aim of an 80% employment rate."

(KMcA/SP)

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