Inner London is the only part of the country where jobs are being created at a faster rate than before the economic crisis, according to the TUC Union. It has warned that other parts of the country are suffering a drop in job creation of almost a third on pre-recession levels.
The TUC's report claims that in parts of the West Midlands, job creation is down by 31%, and by 30% on Merseyside and the rest of the North West.
A new £10 million scheme is being launched to help long-term unemployed young people in London find work.
Organisation London Youth, said the money from the Big Lottery Fund will be used over the next five years to support 18 to 24-year-olds in the capital into training or jobs.
The announcement came as research by the Centre for Economic and Social Inclusion (CESI) found that almost 35,000 young people in London are facing "severe barriers" to work by not accessing any training or forms of support.
Rosie Ferguson, chief executive of London Youth, said: "The young people we work with across London consistently tell us that they want to learn new skills and have opportunities for fulfilling careers, but too often they struggle to find the right path."
Jobless youngsters are facing "devastating" symptoms of mental illness, often self-harming or even contemplating suicide, new research has revealed.
A study for The Prince's Trust found that long-term unemployed 16 to 25-year-olds are twice as likely as their peers to have been prescribed anti-depressants, and believe they have nothing to live for.
More than 2,000 young people were surveyed, with 40% of those who were out of work saying they faced symptoms of mental illness.
The biggest changes have been in Inner East London.
Tower Hamlets - where Canary Wharf has boomed, 1st on every indicator, highest population change at 28.8%, highest employment change at 50% and highest population density with 324 residents per hectare.
The pressures for growth in London are so high that there is little surburban decline in population terms, although employment has been declining significantly in outer London.
A new series of maps have been published showing the dramatic changes in London's population density. The maps have been compiled using census data from 2001 and 2011. The brighter the colour, the greater the change.