The rate of UK unemployment rose to 5 per cent in the three months to September, from 4.8 per cent in the three months to August, the Office for National Statistics said.
UK average regular earnings growth fell to 4. per cent in the three months to September and was 0.8 per cent higher after taking Consumer Prices Index inflation into account, the Office for National Statistics has said.
This marks the highest rise in unemployment in four years and comes just three weeks before Rachel Reeves is expected to announce tax rises in her upcoming budget.
The Chancellor is expected to raise taxes to plug a £30billion black hole in the country’s finances.
People queueing outside a job centre in Bristol. Today’s figures mark the highest rise in unemployment since 2021
In a further blow to the government, separate data shows that the jobs market has also slowed down sharply thanks to a number of factors including sluggish economic growth and persistent inflation.
The figures, taken from HMRC, show that the number of workers on company payrolls fell by 32,000 between September and October.
In reaction to this morning’s statistics, the British pound has taken a tumble on the stock market, dropping by half a cent against the US dollar, as traders react to the news.
This is a breaking news story more to follow.
