Unemployment is clearly on the up again, with a rise of 80,000 in the May-July period, and an increase in the level to 2.51 million. This was the biggest three-monthly rise since August 2009. The claimant count also rose, though by slightly less than expected, up 20,300 in August to 1.58 million.
More details: “The unemployment rate for the three months to July 2011 was 7.9 per cent of the economically active population, up 0.3 on the quarter. The total number of unemployed people increased by 80,000 over the quarter to reach 2.51 million. This is the largest quarterly increase in unemployment since the three months to August 2009. The number of unemployed men increased by 39,000 on the quarter to reach 1.45 million and the number of unemployed women increased by 41,000 to reach 1.06 million, the highest figure since the three months to April 1988.”
More details here: The big story is that, for the moment, the private sector is not generating enough jobs to compensate for the growth in the workforce and the loss of public sector jobs, which is gathering steam:
“Public sector employment decreased by 111,000 in the second quarter of 2011, to 6.037 million. Local government employment decreased by 57,000; central government decreased by 47,000 and employment in public corporations decreased by 7,000. Employment in the private sector increased by 41,000 to 23.132 million. The Q2 2011 public sector estimate is 240,000 lower than the same quarter a year ago.”
This post originally appeared at David Smith’s EconomicsUK and is reproduced here with permission.