Those jobless for up to six months rises by 66,000

Published by Ross Macmillan for 24dash.com in Housing and also in Communities, Local Government

The Government's economic recovery plans were dealt a huge blow today after figures showed both rises in unemployment and the number of people claiming jobseeker's allowance.

The country's jobless rate stood at 2.49 million or 7.9% between April and June, the Office for National Statistics said, after the total number of unemployed increased by 38,000.

More worryingly, the number of people unemployed for up to six months increased by 66,000 over the quarter to reach 1.23 million - the largest quarterly increase in two years.

Within the figures, the number of unemployed women hit levels not seen in more than 23 years. The number of unemployed men increased by 18,000 to 1.45 million, while the jobless women increased by 21,000 to 1.05 million - the highest figure since May 1988.

The number of people claiming Jobseeker’s Allowance saw a rise of 37,000 to 1.56 million - the biggest monthly rise in more than two years.

However, the number of people in employment has increased by 25,000 to 29.27 million indicating that more people have moved into the labour market this quarter.

The Government said today’s employment figures were "not a surprise" after the fall in economic growth in the last quarter which was caused largely, according to the Office for National Statistics, by a series of one-off factors such as the Japanese earthquake and the royal wedding.

Employment Minister Chris Grayling said: “These are disappointing figures but we always said that the road to recovery would be choppy. Clearly this has been a difficult few months with a range of one-off factors and a slowdown in the world economy having an impact on theUK. This is why is we are focused on taking steps to increase growth, support the economy and encourage businesses to invest and create jobs.

“For people who lose their jobs, our new Work Programme is now up and running and will offer jobseekers flexible support tailored to their needs to help them into employment.”

The Government recently launched its new Work Programme - which many housing associations are part of - to give jobseekers the help to get back into sustained employment.

Private and voluntary sector organisations are investing some £581m upfront in the  programme to provide tailored support built around the needs of individuals.

Organisations will be paid by results and allowed to develop support that really addresses the needs of jobseekers.