After being stuck at around 2.5m for the best part of two years, unemployment has started to rise quite strongly. There is a striking fall of 178,000 in employment in the latest three months (June to August), driven by a big drop (175,000) in part-time employment. As a result unemployment rose by 114,000 to 2.57m, or 8.1% of the workforce.
Youth (16-24) unemployment did not quite make it to 1m, instead hitting 991,000, 269,000 of which are in full-time employment. There are few bright spots in these figures. Total pay, including bonuses, rose by 2.8% over the latest 12 months but the excluding bonuses number remained depressed at 2.8%.
The claimant count rose by 17,500 to 1.6m, or 5%, in September. As a good lead indicator of future unemployment trends, it suggests the broader totals will continue to rise in the coming months. More here.
This post originally appeared at David Smith’s EconomicsUK and is reproduced with permission.