UK unemployment rises by more than expected

(Sharecast News) - The UK labour market showed further signs of weakening on Tuesday, after the unemployment rate ticked higher. According to the Office for National Statistics, employment softened by 0.2 percentage points in the three months to September, while the unemployment rate rose 0.3pp to 5.0%, marginally ahead of forecasts for 4.9%

The unemployment rate now stands at a post-pandemic high.

Average earnings, meanwhile, rose by 4.6%, or by 4.8% once bonuses were included.

Driving the growth was the public sector, where earnings rose by 6,6%. In the private sector, earnings increased by 4.2%.

Liz McKeown, director of economic statistics at the ONS, said: "Taken together, these figures point to a weakening labour market.

"The number of people on payroll is now falling, with revised tax data now showing falls in most of the 12 months.

"Meanwhile, the unemployment rate is up to a post-pandemic high. The number of job vacancies, however, remains broadly unchanged."