Non-workers help jobless rate fall

Contradictory figures are the main theme as the latest unemployment statistics are released.

The number of Britons looking for work fell by 33,000 between November and January, yet the number in work fell by fifty-four thousand over the same period, latest figures show. The seemingly contradictory findings have come about due to a rise in those classed as economically inactive, because they are studying, on long-term sick leave or have given up looking for a job.

This 8.16m-strong group now represents a record 21.5% of the working population – the highest rate since 1996. While nearly two and half million people remain out of work, the number of people claiming jobseeker’s allowance dropped by a record level.

Non-Working Brits Help Jobless Rate Fall

Some 1.59m people claimed the benefit last month – 32,300 fewer than in January, making it the biggest monthly fall since 1997, the Office for National Statistics (ONS) said. The ONS report will give a  minor pre-election boost to the Government, which had predicted a rise in unemployment levels before the summer.

Any minor encouragement is cooled however, when you look at the growing number of economically inactive people in Britain and the rising number of long-term unemployed, up 61,000 to 687,000. Indeed, Work and Pensions Secretary Yvette Cooper warned that, “We do think it’s going to be difficult for some time to come.”