Unemployment rate rises by 6,000 in East

Unemployment rate rises by 6,000 in East Photo: PA Images

Unemployment in the East of England increased by 6,000 in the three months to January, official figures have revealed.

The Office for National Statistics (ONS) showed that a total of 183,000 people were unemployed in the region between November and January.

The region's unemployment rate was 5.8% and saw a rise of 3.4% during the period.

Nationally, the Government was given a pre-Budget boost with figures showing a record number of people in work and continuing falls in unemployment.

Just over 30 million people are now in jobs, up by 459,000 on a year ago, the highest figure since records began in 1971.

The jobless total fell by 63,000 in the quarter to January to 2.33 million, a rate of 7.2%. Most of the fall was among men.

The number of people claiming jobseeker's allowance in February fell by 34,600 to 1.17 million, the 16th consecutive monthly reduction, while vacancies jumped by 23,000 to 588,000, the most since 2008.

The ONS also reported a fall in the number of people working part-time because they could not find full-time work - down by 32,000 in the latest quarter to 1.4 million, although still 41,000 higher than a year ago.

Youth and long-term unemployment both fell, with those out of work for over a year down by 38,000 to 828,000, while 912,000 people aged between 16 and 24 were jobless, down by 29,000.

The number of people classed as economically inactive, including long-term sick, those looking after a relative or who have given up looking for work, fell by 19,000 to 8.9 million, including the lowest number of women on record (5.6 million).

Public sector employment has fallen by 159,000 to 5.5 million, the lowest since December 1999, although most of the reduction was explained by Royal Mail workers moving to the private sector because of the postal group's privatisation.

Local government employment fell by 25,000 to 2.3 million and by 6,000 in the civil service to 441,000. Private sector employment is now 662,000 higher than a year ago.

The unemployment rate, now 7.2%, is no longer linked to the Bank of England's pledge to keep interest rates at record lows after governor Mark Carney unveiled new forward guidance. The bank had pledged not to consider a rate rise until unemployment fell to 7%.

Employment Minister Esther McVey said: "We now have the highest employment rate for five years, which shows that the growing economy is helping record numbers of people to find a job, turn their lives around and have the security of a regular wage.

"The rise in employment is being fuelled by businesses and entrepreneurs across the country who are feeling increasingly confident with the improving economy. They should be congratulated for creating over 1.7 million private sector jobs since 2010 - that's over 1,000 more people in private sector jobs every day."

Paul Kenny, GMB general secretary, said: "This has been the longest recession in living memory. The Government has to show more urgency to help its main victims, nearly one million young workers out of work, into proper jobs. GMB will assess today's Budget on what it does to avoid a lost generation."

David Cameron tweeted: "Another significant fall in unemployment is a sign our long-term economic plan is working, providing security & chances for hard-working people."