Unemployment rate increases as wage growth slows again, new figures show

The UK's unemployment rate has increased to 4.3%, according to new figures, while the nation's average pay growth has continued to slow.

The rate of unemployment rose by 0.3% in the three months to September, up from 4% in the previous period, according to the Office for National Statistics (ONS).

Meanwhile, the ONS said wage growth eased to 4.8% in the three months to September and was 2.7% higher after taking Consumer Prices Index inflation into account.

The number of UK workers on payrolls also fell, down by 5,000 between September and October to 30.4 million.

Additionally, vacancies dropped yet again, down by 35,000 to 831,000 in the three months to October.

Work and Pensions Secretary Liz Kendall said that "more needs to be done to improve living standards".

She said: “2.8 million people – a near record number are locked out of work due to poor health. This is bad for people, bad for businesses and it’s holding our economy back.

“That’s why our Get Britain Working plan will bring forward the biggest reforms to employment support in a generation, backed by an additional £240 million of investment.

“While it’s encouraging to see real pay growth this month, more needs to be done to improve living standards too.

“So, from April next year, over three million of the lowest-paid workers will benefit from our increase to the national living wage, delivering a £1,400-a-year pay rise for a full-time worker.”

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