A new milestone has been reached with the UK unemployment rate falling below 6% for the first time in 6 years.
The number of people claiming Jobseeker’s Allowance or not in employment and claiming Universal Credit decreased by 26,800 between November and December 2014, to 886,200. This means that the unemployment rate has now fallen to 5.8 per cent, the lowest since Summer 2008.
Overall, the number of people in jobs increased by more than half a million over the last year to a record 30.8 million. This is 1.75 million people more than in 2010. Over 80 per cent of the annual rise is in full-time employment, while youth unemployment has fallen by 171,000 compared with this time last year.
These jobs are not insecure or poorly paid – in fact three-quarters of the new jobs that have been created since the election are full-time, and wages are rising faster than inflation with regular pay (not including bonuses) going up by 1.8 per cent and inflation at just 1 per cent.
Greg Hands, MP for Chelsea and Fulham, said “Though there is still more to do, it is great news that the latest set of employment figures show there are now 1.75 million more people in work than at the last election and that wages are rising above inflation.”
In a further sign of the strength of the UK labour market, today’s independent figures show that job vacancies have risen by 127,000 to hit a 14-year record high. There are around 700,000 job opportunities across the country, showing that the Government’s long-term economic plan to back businesses and create jobs is working.
Greg added “Specifically in our constituency of Chelsea and Fulham I am delighted that these latest figures showed 323 fewer people are relying on Jobseeker’s Allowance since this time last year, a 23% drop. Just over half of those people (170) had been calming Jobseeker’s Allowance for over a year and are now in work. This shows that the Conservatives’ plans for the economy are working; helping the long–term unemployed into work, helping businesses to grow, employ more people, and to make sure work always pays.
“It’s clear that you are better off, and more likely to be in work, under a Conservative government.
"These figures show that our plan is working. We need to stick to it. It’s the only way to keep the economy growing, and keep businesses creating jobs. We should not let Labour risk a return to higher taxes, higher spending, and borrowing which would put the brakes on our vital economic recovery.”