UK Unemployment is up and in some quarters that is being heralded as good news. According to the Office of National Statistics there has been a 72,000 rise in the number of people out work, to 1.49million in October, that’s 4.9%, from 4.7% a month ago.
Some are seeing this as good news because the poor employment figures have helped keep a lid on pay settlements.
Average earnings (excluding bonuses), or regular pay rose by 3.9 per cent in the year to October 2005, this was down from 4.0 per cent in September, and the first time growth excluding bonuses has been below 4 per cent since March 2004.
Including bonuses, average earnings rose by 3.6 per cent in the year to October, down from 4.1 per cent in September.
With figures like that, it would appear inflation pressures are easing, and therefore, goes the argument, the Bank of England is that much more likely to lower the rate of interest soon.
© Investment & Business News 2013