Charnwood jobless figures more than double in lockdown
Figures have shot up from 1,915 claimants to 4,840 claimants
THE number of people claiming unemployment benefit in Charnwood has more than doubled under lockdown.
The latest figures from the Office for National Statistics have revealed that 4,840 people in Charnwood were claiming unemployment benefit this May.
It means that an extra 910 people were added to the system in a single month, with the number increasing by 23% from 3,930 claimants in April.
The figure had already surged during the first full month of lockdown, rising from just 1,915 claimants in March.
In North West Leicestershire the number of claimants has risen from 1,035 to 2,740.
Across the rest of Leicestershire, the number of claimants rose from 7,125 in March to 14,875 in April and 18,555 in May and the figure is likely to get much higher as the furlough scheme is wound down.
Sara Willcocks, head of communications at anti-poverty charity Turn2us,
said: “As unemployment and benefit claimant numbers rise, it is crucial the government reviews its response.
“In August, employers will be required to start contributing to the wages of furloughed employees. This is likely to lead to an increase in redundancies for companies unable to cover these costs; and further adding to the number of people who will be without work.
“We must do all we can to protect everyone who needs it with the same urgency the government had in protecting businesses. Failure to do so could mean hunger, homelessness and debt may end up being the next pandemic facing our nation.”
Charities have also warned that it is young people who are the most at risk from job losses due to the coronavirus crisis.
Research from the ONS and TUC showed that the accommodation and food industry and the arts, entertainment and recreation industry are likely to see the most job losses.
They found that workers aged 25 and under are three times more likely than older workers to be employed in these industries.
Seyi Obakin, chief executive of youth homelessness charity Centrepoint, said: “The rise in the number of claimants revealed in today’s statistics is confirmation that young people will be amongst the hardest hit when it comes to the economic impact of coronavirus. “The scale of new claimants puts us in uncharted territory and government can’t leave young people to navigate potentially months of unemployment alone.
“Tailored support for those struggling to find work is essential - but the crucial element in the government’s response should be ensuring young people new to Universal Credit receive enough money to continue to live independently should they need to.
“That is not happening at the moment. Currently, if you are under 25 and receiving Universal Credit, you receive £67 less than an older claimant for no other reason than your age.
“This defies logic and, given the current landscape facing young people, especially for those who are unable to move home or call on the bank of mum and dad, risks condemning them to debt and homelessness.”
The benefit claimant count is a combination of claimants of Jobseeker’s Allowance (JSA) and claimants of Universal Credit (UC) who fall within the UC ‘searching for work’ conditionality.
It includes some people that are still working a small number of hours and earning a little, but who are claiming UC and are required to look for work as part of that.
It also does not include everyone who is out of work, since not everyone is entitled to claim assistance, but it does indicate the trend in the employment market.
Responding to the figures, Mims Davies, Minister for Employment, said: “Today’s figures are starting to show the impact of Covid-19 on our economy, but our furlough scheme, grants, loans and tax cuts have protected thousands of businesses and millions of jobs, setting us up for recovery.
“Already our nationwide network of Work Coaches have moved in to support jobseekers across sectors and match them with employers who are recruiting.
“By responding to the needs of communities across the UK they will be at the heart of our revival and renewal, helping people find new roles and move forward with their lives.”