Britain’s unemployment rate rose by more than expected to 4.5% in the three months to August, up from 4.1% in the three months to July.
The number of people in employment fell by 153,000 in the June-to-August period, the Office for National Statistics said.
“Since the start of the pandemic there has been a sharp increase in those out of work and job hunting but more people telling us they are not actively looking for work,” Jonathan Athow, the ONS’s deputy national statistician, said.
“There has also been a stark rise in the number of people who have recently been made redundant.”
The most alarming data is on redundancies, which rose to 227,000 in the three months to August, heading towards the levels seen in the financial crisis. This chimes with previous data on employers’ plans for redundancies over the summer.
Matthew Percival, CBI Director for People and Skills, said:
“These figures are starting to show what everybody knew to be true; that redundancies are on the rise. While it’s promising to have seen vacancies pick up over the summer, the number of those out of work also grows.
“The Government’s flexibility and support packages have reduced job losses substantially over the summer and making support match tiered local lockdowns will protect jobs too.
“Successfully ramping up the testing regime will be a key component to securing an economic recovery down the road.”
