The latest quarterly unemployment rate for over-16s in England was higher than expected at 4.4%, according to the latest data from the Office for National Statistics. This is also an increase compared to the previous quarter.
This month’s statistics, which the ONS urges to be treated with “extra caution” due to small sample sizes, show the number of job openings fell by 12,000 to 904,000 between March and May 2024. It was also revealed. This is the 23rd consecutive period of declining job openings, although the number remains above pre-pandemic levels.
The “early estimate” of paid employees in May is a decrease of 3,000 people, rounded to a 0% decrease. However, the number of paid employees increased by 0.6%, or 167,000 people, to 30.3 million people.
Reference: UK CPI rises 2.3% through April, inching towards BoE target
Elsewhere, the UK’s estimated employment rate from February to the end of April was 74.3%, lower than estimated a year ago and down from the previous quarter.
The economic activity rate for people ages 16 to 64 during the same period was 22.3%, exceeding expectations for the quarter and last year.
However, from February to the end of April, the annual growth rate of employees’ regular income increased by 6%, and the growth in total income, including bonuses, was 5.9%. After adjusting for inflation, regular pay increased by 2.3% and total pay increased by 2.2% during the period.
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Commenting on the data, Richard Carter, head of fixed rates research at Quilter Cheviot, said the UK labor market remains in “quite solid shape” and that “earnings remain strong” ahead of the general election. said.
“The Bank of England will be very cautious about cutting interest rates at a time when consumer purchasing power is high and could lead to new inflation, so today’s figures continue to point to a rate cut in June or August. “It will put a damper on the economy, but November is still the most likely time for the first rate cut.”
“It will be interesting to see how the labor market develops, given that we are likely to see a change of government in just under four weeks. We are working to create a large number of ‘green jobs’, but it remains to be seen whether this will be achieved as the data shows that there is still a balance.”
