2% in the prior quarter was propelled by a 70,000 increase in students not actively seeking work. Most economists had expected the jobless rate to remain unchanged. 3 million, which is 65,000 lower than a year earlier, and vacancies have dropped to a five-year low.
ONS Director of Economic Statistics Liz McKeown stated that labour market conditions were little changed at the start of the year, with payrolls rising slightly recently but the overall picture broadly flat. She added that vacancies remain largely stable, with declines among smaller firms offset by rises among larger ones. Pay rises have been slowing dramatically, with regular wage growth at its lowest rate in over five years, according to the ONS.
19 million in December, up 43,000 over 12 months, making it the only part of the UK jobs market to have grown over the past year. 3% in the private sector. Chancellor Rachel Reeves will insist her economic plan is working today after unemployment saw a surprise fall, but only before the Middle East crisis erupted.
Work and Pensions Secretary Pat McFadden said there was an improvement in the labour market at the beginning of the year with unemployment falling below 5%, and 332,000 more people in work than a year ago. However, he warned that the effects of the war in the Middle East are likely to feed through to prices and employment in the coming months. 5 billion investment for workforce upskilling.
The ONS cautioned the figures should be treated with caution given an overhaul to the way they are collected.