The United Kingdom’s ILO Unemployment Rate climbed to 4.4% in the three months leading up to April, up from the previous period’s 4.3%, according to data released by the Office for National Statistics (ONS) on Tuesday. This rise surpassed the market consensus, which had anticipated the rate to remain steady at 4.3%.
Further details from the report highlighted a significant increase in the number of people claiming jobless benefits, which surged by 50,400 in May. This was a sharp rise compared to the revised increase of 8,400 in April and far exceeded the expected increment of 10,200.
Employment Change data for April revealed a decrease of 140,000, showing a slight improvement from March’s decline of 177,000.
On a positive note, wage growth remained robust. Average Earnings excluding Bonus rose by 6.0% on a three-month year-over-year basis in April, consistent with the growth recorded in March and aligning with market expectations.
Another key indicator of wage inflation, Average Earnings including Bonus, also increased by 5.9% over the same period. This growth rate matched that of the previous quarter through March and exceeded the anticipated rise of 5.7%.
These figures suggest a mixed economic outlook for the UK, with rising unemployment and jobless claims offset by strong wage growth.
