United Kingdom jobless rate rises to 7.9%
London, United Kingdom (AHN) – The unemployment rate in the United Kingdom rose unexpectedly during the last three months of 2010, by 44,000 to nearly 2.5 million people.
According to the Office for National Statistics (ONS), the unemployment rate is now 7.9 percent. That is up from 7.8 percent for the previous three months.
However, youth unemployment is much higher than that, with one in five jobless.
The unemployment rate for those between the ages of 16 and 24 rose by 66,000 to 965,000. It is now running at 20.5 percent.
According to the ONS, the number of people unemployed for a year or longer also rose. It climbed by 17,000 people to 833,000.
In addition, the number of people forced to work part-time because they were unable to find full-time work reached a record high, rising by 44,000 to 1.19 million.
The number of people claiming jobless benefits also rose. It increased by 2,400 to 1.46 million in January. However, there is a gender gap in those figures. The number of women claiming unemployment compensation rose by 7,800 between December and January while the number of men claiming jobless compensation fell by 5,400 during the same period.
Bank of England governor Mervyn King has called the unemployment situation in the UK the largest deterioration of living standards since the 1920s.
Economists say that unemployment is likely to continue rising during 2011 because of slow growth coupled with ongoing cuts in public sector employment.
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