News
Unemployment falls closer to Bank of England target
18 - 11 - 2013
The UK unemployment rate dropped to 7.6 per cent between July and September, closer to the Bank of England’s target than it has been in three years, the Office for National Statistics has revealed.
The Bank of England will not consider raising interest rates until unemployment falls to 7 per cent.
The number of people who are unemployed has dropped by 48,000 to 2.47 million.
The number of 16-to-24 year-olds out of work fell by 9,000 to 965,000.
ONS data shows that economic recovery contributed to job creation during the summer resulting in an additional 177,000 people in work.
‘Booming’
Chris Williamson, economist at Markit, said: ‘The UK labour market is booming alongside the recent surge in economic growth. Job creation is surging, with employment up by 177,000 in the three months to September, and surveys suggest further strong growth is to be expected in October.’
He went on to say that the number of people claiming unemployment benefits is falling at the fastest rate since 1997 and that pay growth is ‘starting to show a long-awaited revival’.
‘Long-term plan for Britain is working’
Prime Minister David Cameron welcomed the figures, saying: ‘There are now 1.1 million more people in work since the election - more proof our long-term plan for Britain is working.’
‘Worse off’
However, shadow secretary of state for work and pensions, Rachel Reeves MP said: ‘On average, working people are more than £1,600 a year worse off under this out-of-touch government.’
