According to the report from the Office for National Statistics (ONS), the unemployment rate (for people aged 16 years and over) remained at 4.4% in November 2024 to January 2025, which coincided with experts' forecasts and was the highest value since the three months ending in May 2024. The economic inactivity rate was estimated at 21.5% in November 2024 to January 2025. This is below estimates of a year ago, and down in the latest quarter (-0,2%).
The ONS said that in November 2024 to January 2025, payrolled employees fell by 9,000 (0.0%) over the quarter but rose by 72,000 (+0.2%) over the year. The claimant count increased in February by 44,200 on the month, to 1.775 million. This was the strongest growth since July 2024. Economists had expected an increase of 7,900 after an increase of 2,800 in January (revised from +22,000). Meanwhile, in December 2024 to February 2025, the estimated number of vacancies was 816,000. Vacancies are broadly unchanged on the quarter (with early estimates suggesting a small increase of just 1,000) and are still above pre-coronavirus (COVID-19) pandemic levels.
The data also showed that from November 2024 to January 2025, the growth in average total pay (including bonuses) and regular pay (excluding bonuses) was 5.8% per annum (+6.1% in the previous three months) and 5.9% per annum (+5.9% in the previous three months). The latest growth in average regular pay was the strongest since the three months to April 2024. Economists expected an increase of 5.9% for total pay and regular pay. Adjusted for inflation, wage growth was 2.2% for regular pay and 2.1% for total pay in November 2024 to January 2025.