Unemployment drops in Black Country and Staffordshire but so do wages

But wages continue to fall behind inflation, with the pay gap the gap getting bigger, putting more pressure on family finances across the UK.

The Office for National Statistics said, after inflation, wages were down 0.6 per cent between February and April. The news came the day after the ONS revealed CPI inflation had jumped to 2.9%.

But more people are in work, with employment hitting a record high. The ONS says almost 32 million people are in work - 372,000 more than a year ago and the highest total since records began in 1971.

Unemployment fell by 50,000 between February and April, to 1.53 million, the lowest for more than a decade.

In the West Midlands unemployment rose by 6,000 to 166,000 in the three months to April, but the figures for May show the number of people claiming benefits in the region actually fell.

While UK wide the number of people on the so-called claimant count was up for the third month in a row in May, to stand at 802,600, across the Black Country and Staffordshire the figures fell.

In the region as a whole the number of people claiming Jobseeker's Allowance and other unemployment-related benefits was down by 1,415 in May to 87,645. That represents 2.4% of the region's working population, which is higher than the national average of 2%.

In Wolverhampton the claimant count fell by 185 to 6,915, although the rate of 4.3% is still one of the highest in the country.

In Dudley it was down by 95 to 5,830, or 3%, and in Sandwell it was down by 100 to 7,235 or 3.6%. In Walsall the number of people claiming unemployment benefits was down by 55 to 5,040 or 3%.

In Kidderminster and Wyre Forest the claimant count was down by five to 830, or 1.4%.

In Staffordshire, where unemployment remains at historic lows, the claimant count fell by 200 to 5,710 or just 1.1%. In Lichfield it fell by 35 to 445 or 0.7%.

In Cannock Chase the count was down by 25 to 830 to people, or 1.3%. In South Staffs it fell 25 to 765, or 1.1%, and in Stafford it was down by five to 785, or 1%.

Matt Hughes, senior statistician at the ONS, said: "Many labour market indicators remain strong, with the employment rate at a joint record high and the inactivity rate at a joint record low.

"On the other hand, with wage growth continuing to slow and inflation still rising, real pay is down on the year. This is now the case whether or not bonuses are taken into account."

Across the country the number of workers in the public sector has fallen by 20,000 over the past year to 5.4 million.

Of all people in work, 17% were employed in the public sector, the lowest figure since records began in 1999.

Local government employment has fallen to a record low of 2.1 million, while jobs in private firms increased by 115,000 over the past quarter to 26.5 million, the highest on record.

There are now around one million fewer employees in the public sector compared with the peak of 6.4 million in 2009.

There were 770,000 job vacancies in the quarter to May, 9,000 more than the previous three months and close to a record high.

New Work and Pensions Secretary David Gauke said: "This Government wants to give everyone the opportunity to succeed, regardless of where they live or their background.

"This is yet another strong set of record-breaking figures, with employment up and unemployment down, fuelled by full-time opportunities.

"This is good news for families as we continue to build a stronger, fairer Britain."

He highlighted other figures showing that the female employment rate is at a joint record high of 70.2%, with nearly 15 million women in work.

The unemployment rate for 18 to 24-year-olds who have left full-time education is 10.7% - a joint record low.