Unemployment fell by 133,000 between January and March to 2.21 million, official figures showed.
The number of people claiming jobseeker's allowance last month fell by 25,100 to 1.12 million, said the Office for National Statistics.
Average earnings increased by 1.7% in the year to March, unchanged from the previous month.
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The chancellor now faces the prospect of forming a minority government or calling for a snap election.
The 73-year-old said a return is unlikely "given the politicised atmosphere that seems to have afflicted our set."
Chancellor Philip Hammond said the UK will make a financial proposal to the EU in the next three-and-a-half weeks.