MNI BRIEF: UK Jobs Market Buoyant As Unemployment Rate Falls
The UK jobless rate fell to 3.8% in the December to February period, matching its lowest level since the fourth quarter of 2019. The rate, in line with analysts expectations, has not been lower since 1974. The decline came despite a smaller-than-forecast 10,000 rise in LFS employment; analysts had been expected a 52,000 increase.
The employment rate actually fell to 75.5% from 75.6% in the November to January period, while the inactivity rate increased to 21.4% from 21.3% previously.
The rising inactivity rate is largely due to increasing long-term sickness and retirement. Vacancies rose by 50,000 in the three months to March over the three months to December, hitting a record-high 1.288 million. That’s the lowest increase since the three months to April 2021.