Partner Article

North East jobless figures up 9.5%

The North East has witnessed a 9.5% rise in unemployment with 10,000 more people out of work in the last three months, according to new figures.

The unemployment rate in the region now stands at 9.2% with the jobless total standing at 115,000, up from 105,000 in the last quarter.

Nationwide, the jobless total rose by 281,000 in the three months to May, the biggest quarterly increase on record, taking the total to 2.38 million, the highest since 1995.

The number of people claiming jobseeker’s allowance increased by 23,800 in June to 1.56 million, the worst total since Labour came to power in 1997 while the number of people in work fell by 269,000 in the last quarter to 29 million.

Employment Minister Jim Knight said: “Figures show that many in the UK are suffering the effects of the global recession. But there are signs that our actions to help the unemployed are starting to work.

“We have a lower unemployment rate than the United States, Germany and France. Through investing now in more staff, more training and working with local employers, fewer people are getting stuck on benefits for months and years.

“The active welfare state is working. People aren’t being dumped on inactive benefits like incapacity benefit, and unemployment is nearly half a million less than it would have been without the Government’s response.”

A One North East spokesman said: “Unemployment is still a significant worry for the regional economy. However, the underlying theme of a slowdown in the number of people claiming Jobseeker’s Allowance continued in the latest monthly figures from May until June.

“There are signs that the recession may be bottoming out, but clearly there is much work still to be done to help stimulate the economy by creating new jobs and prosperity.

“North East business is showing great resilience and flexibility to meet the challenges of the recession, to be in the best possible position to take advantage of the economic recovery when it arrives.”

Anyone looking for help as a result of redundacny during the recession can go to www.businesslink.gov.uk/northeast, www.direct.gov.uk, or www.nextstepnortheast.org.uk.

This was posted in Bdaily's Members' News section by Ruth Mitchell .