Unemployment rate at an all-time low in Wales
THE unemployment rate in Wales is at its lowest level on record. Figures from the ONS for May to July yesterday showed an unemployment rate in Wales of just 3.8% of the working-age adult population, compared to 4% for the UK – or 59,000 people.
The employment rate in Wales in the period was 74.8%, just below the UK rate of 75.5%.
However, on the key measure of productivity, Wales remains rooted to the bottom of the UK league table.
Commenting on the labour market statistics, First Minister Carwyn Jones said: “Unemployment in Wales now stands at 3.8%, the lowest level since records began and outperforming the UK as a whole. At 74.8%, employment in Wales is 2.4 percentage points up on this time last year.
“The figures are testament to the support we provide to businesses in Wales. And confirmation from Aston Martin that St Athan is to become the centre for electrification and the home of its Lagonda brand is another huge vote of confidence in the Welsh Government’s ‘can-do’ attitude.
“We will continue to do everything we can to build on this success and ensure our economy is in the strongest possible position to face the significant challenges ahead.”
In three regions of England the unemployment rate was lower than in Wales – the south-west (2.6%), the east of England (3.1%) and the south-east (3.7%).
For the UK as whole, employment increased by 3,000 in the three months to July to 32.4 million.
Workers also benefited as average earnings increased by 2.6% in the year to July, up from 2.4% the previous month.
The latest consumer prices index (CPI) rate of inflation was recorded at 2.5%.
It came as unemployment fell by by 55,000 over the period to 1.36 million, giving a jobless rate of 4%.
Job vacancies, meanwhile, rose 14,000 on quarter to 833,000, a record high.
ONS head of labour market statistics David Freeman said: “With the number of people in work little changed, employment growth has weakened.
“However, the labour market remains robust, with the number of people working still at historically high levels, unemployment down on the year and a record number of vacancies
“Meanwhile, earnings have grown faster than prices for several months, especially looking at pay excluding bonuses.”
The number of people classed as economically inactive, including students, those on long-term sick leave and those who have taken early retirement or have given up looking for work, rose 108,000 on quarter to 8.76 million in the last three months, giving a rate of 21.2%.
The number of self-employed workers decreased by 46,000 to 4.8 million.
The claimant count, which includes people on Jobseeker’s Allowance and the unemployment element of Universal Credit, rose by 8,700 to 918,800 in August, around 118,500 more than a year earlier.
Secretary of State for Work and Pensions Esther McVey said: “Since 2010 we have delivered significant growth in jobs, and in the last six months we’ve seen real-terms wage growth.
“We haven’t had a lower unemployment rate for over 40 years and I’m especially proud that youth unemployment is at a record low, falling by over 45% since 2010 – opening up career opportunities for our next generation.
“In the EU we see unemployment rates over double those of the UK. This Government is transforming this country into a great working nation, ready and prepared for the future challenges after Brexit.”