The unemployment rate in the United Kingdom dropped by 0.2 percentage points in the trimester to September compared to the previous quarter to land at a higher-than-expected 3.6%, the Office for National Statistics reported on Tuesday. The reading inched up compared to 3.5% seen in August.
With the economic inactivity rate increasing to 21.6% in the same period, total hours worked still stood below the pre-pandemic levels. The employment change arrived at -52,000, more than double the estimated reading, with average weekly earnings mostly confirming estimates by rising 6%.
The number of payrolled employees climbed by 74,000 in October to reach a record 29.8 million, signaling the economy remains in strong momentum despite the coming recession. However, real pay decline remains a major concern, with the figure tumbling 2.6% in the quarter to September.
