Unemployment in West Midlands rises again

UK unemployment rose by 5,000 between January and March to 2.52 million, official figures showed today.

Although unemployment has fallen in some regions, in the West Midlands it rose by 16,000 to 253,000.

However job queues are getting shorter despite the rise in the national total, with official figures saying less people are claiming benefits while they look for work.

The number of people claiming jobseeker's allowance last month fell by 7,300 to 1.52 million, said the Office for National Statistics.

The figures differ because not everyone classed as unemployed is eligible to claim jobseeker's allowance.

In Wolverhampton the number of people claiming jobseeker's allowance fell by 130 last month to 12,508 or 7.8 per cent of the city's working population - still way above the national average of 3.7 per cent.

In Dudley the claimant count fell by 174 last month to 10,177, or 5.2 per cent of the district's working population, while in Kidderminster and Wyre Forest there was a fall of 74 to 2,234 - 3.7 per cent.

In Sandwell the number of people claiming jobseeker's allowance fell by 216 last month to 13,849, or 7.1 per cent of the district's working population. Walsall's claimant count was down by 195 last month to 10,150, or 6.1 per cent.

Across Staffordshire the claimant count was down 712 to 13,729 or 2.5 per cent. South Staffordshire's claimants fell by 47 top 1,679 - 2.5 per cent – while in Stafford the number claiming jobseeker's allowance fell by 151 to 1,711 or 2.1 per cent.

In Cannock Chase it was down 62 to 2,159, or 3,4 per cent, and in Lichfield it was down 93 to 1,310, or 2.1 per cent.

Minister for Employment Mark Hoban said: "We are seeing continuing falls in the number of people claiming Jobseeker's Allowance which is positive. Whilst there has been a disappointing increase in the headline rate of unemployment, we shouldn't forget the progress we are making. We are not complacent. To win the global race we need to do all that we can to help people achieve their aspiration to look after themselves and their families."

Meanwhile, today's ONS figures reveal pay is rising at its lowest rate for four years as families face ever-tighter household budgets to cope with inflation. Annual wage growth for the three-month period was 0.4 per cent, half the figure of the previous quarter and lagging well behind inflation, which currently stands at 2.8 per cent.

The figure for March alone showed a fall in pay of 0.4 per cent, the first negative since March 2009.

Meanwhile, average earnings excluding bonuses rose by 0.8 per cent, the lowest rise since records began in 2001. According to the ONS, the number of people in work fell by 43,000 in the latest quarter to March, to 29.7 million, the biggest fall since autumn 2011.

Martin Beck, UK economist at Capital Economics, said: "Following recent positive news on the economy, today's UK labour market data provides something of a reality check."