UK Unemployment Rate Matches Forecasts

The jobless rate in the United Kingdom came in at 4.3 percent in the three months to September of 2017, in line with market expectations and remaining the lowest rate since 1975. On the other hand, employment declined the most in nearly two years and real wages continued to decrease.

The number of unemployed people fell by 59,000 to 1.42 million in the three months to September 2017 compared with the three months to June 2017. By age category, unemployment decreased across all age groups except for those aged 65 and over.

The number of people in work decreased for the first time since August to October 2016. The total employment level fell by 14,000 on the previous quarter to 32.06 million. For men, employment fell by 37,000 whereas for women it increased by 23,000. The number of employees decreased by 10,000 on the previous quarter whereas the number of self-employed increased by 4,000. By age category, employment increased for three age groups: 25 to 34, 50 to 64 and 65 and over, while employment decreased for three age groups: 16 to 17, 18 to 24 and 35 to 49. 

In the three months to September 2017, a slight fall in employment was accompanied by an increase in the inactivity level of 117,000. The inactivity rate increased by 0.3 percentage points to 21.6 percent. Total weekly hours decreased by 5.3 million to 1.03 billion. Average actual weekly hours for all workers decreased by 0.2 to 32.1 hours. The average hours for part-time workers remained at 16.3 hours.

Nominal earnings increased by 2.2 percent (excluding and including bonuses) in the three months to September 2017 compared with a year earlier, however, it fell by 0.5 percent (excluding bonuses) and 0.4 percent (including bonuses) in real terms. This is because its rate of increase was less than that of the higher underlying inflation. 

UK Unemployment Rate Matches Forecasts

ONS | Joana Taborda |
11/15/2017 9:54:42 AM