According to the report from the Office for National Statistics (ONS), from November 2023 to January 2024, the unemployment rate (for those aged 16 years and over) increased by 0.1% compared to the previous three-month period, and amounted to 3.9%. Economists had expected the unemployment rate to remain unchanged. Meanwhile, the number of unemployed individuals fell by 8, 000 to 1.36 million. The economic inactivity rate was 21.8%, above estimates of a year ago (November 2022 to January 2023),and increased in the latest quarter (+0,1%).
The ONS said that in January, payrolled employees rose by 15,000 (0.0%) compared to December and by 386,000 (+1.3%) year-on-year. While the number of payrolled employees continues to increase, the rate of annual growth is decreasing. The claimant count for February increased by 16,800 on the month and by 85,800 on the year to 1.585 million. Meanwhile, in December 2023 to February 2024, the estimated number of vacancies fell by 43,000 q/q, to 908,000. Vacancies fell on the quarter for the 20th consecutive period but are still above pre-coronavirus (COVID- 19) pandemic levels.
The data also showed that from November 2023 to January 2024, the growth in average total pay (including bonuses) and regular pay (excluding bonuses) was 5.6% per annum (+5.8% in the previous three months) and 6.1% per annum (+6.2% in the previous three months). Economists had expected an increase by 5.7% and 6.2%, respectively. Adjusted for inflation, wage growth in real terms was steady at 1.4% for total pay including bonuses and 1.8% for regular pay excluding bonuses.