The number of people out of work in the East Midlands is higher than the 海角视频 average, new figures show.
The latest figures come amid reports many of the region’s employers are considering further cuts as the long-term hit from the pandemic takes hold.
Meanwhile young workers continue to be the worst affected by joblessness after almost a year of Covid-19 restrictions.
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Britain’s jobless rate has surged to its highest level for nearly five years, but official figures seem to suggest some “early signs” of a stabilising jobs market.
Nationally, unemployment stood at 1.7 million between October and December, up 454,000 over the year, marking the biggest annual increase since the financial crisis.
But there was a glimmer of light in the figures, which also showed the number of payrolled workers rose by 83,000 between January and February in the second monthly increase in a row.
The Department for Work and Pensions said the number of people claiming universal credit in the region hit 405,249 on January 14, up 6,202 on a month earlier. Nationally the figure was 5,198,673, up 80,350.
Between October and December, the region’s unemployment rate was 5.9 per cent – up from 5.6 per cent in the three months to November, according to the Office for National Statistics.
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This was above the national average of 5.1 per cent and the fourth highest rate among all 海角视频 regions, behind London (7 per cent), the North East (6.5 per cent) and West Midlands (6.1 per cent).
The national figure showed 726,000 fewer people currently on the payroll during this period compared to pre-pandemic. Almost three-fifths of this fall (425,000 people) were aged 16 to 25.
East Midlands Chamber chief executive Scott Knowles said: “This is the fifth month in a row in which the unemployment rate has risen for the East Midlands and the fact it is now 2.1 per cent above pre-pandemic levels is clearly a major concern.
“Our region is suffering more than most others because we have borne the brunt of local lockdown restrictions.
“Leicester has been under the harshest restrictions for the majority of the past 11 months, while Nottinghamshire and Derbyshire were also placed into the highest tiers during the period these ONS figures cover.
“The Chamber’s Quarterly Economic Survey for Q4 2020 showed a net 6 per cent of businesses in the East Midlands decreased their workforce.
“While a net 16% expected to increase headcount over the first quarter of 2021, these intentions may well have been revised given the national lockdown imposed since then.
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“Given how our local economy is reliant on industries such as hospitality, retail and tourism – sectors that are among the worst affected – it shows just how crucial the Job Retention Scheme is.
“While the Government’s roadmap to ending lockdown is welcomed, it’s absolutely vital the Chancellor announces a furlough extension in next week’s Budget.
“Young people continue to be disproportionately impacted by unemployment and while the Kickstart scheme – in which the Chamber has already helped to create hundreds of new six-month placements as a gateway organisation – is a great initiative, a longer-term solution will be needed to ensure we don’t lose a generation from the workforce.
“Ultimately, we won’t see a reversal of the unemployment trend until our economy is fully open and functioning as normal.
“The principle of caution in how we exit lockdown is understandable given the events of summer 2020 and the need to meet the Prime Minister’s promise for this move to be ‘irreversible’, but we hope figures like today are a stark reminder of the damage being done to our economy – meaning it’s important we meet the reopening dates provided this week.”