Youth unemployment surge triggers worst jobless rise in two years…UK
An unexpected surge in the number of jobless youths in Britain has contributed to the largest increase in unemployment in almost two years, official figures revealed today.
By Louisa Peacock
14 Sep 2011
Economists warned official growth forecasts may have wildly underestimated the number of job cuts needed to achieve drastic spending cuts, piling further pressure on George Osborne to justify “plan A” amid a deteriorating economic outlook.
Unemployment rose by 80,000 to reach 2.51m in the three months to July, according to the Office for National Statistics. But 77,000 of the newly unemployed were 18 to 24 year-olds – an 11pc rise compared to the previous quarter, the figures showed.
Worryingly, the number of young people out of work for more than a year rose by 35,000 on the quarter to reach 219,000, while the total number of youths out of work for two years or more surged by 12pc on the quarter to 93,000.
The total number of 16 to 24 year-olds without a job rose to 972,000 in the three months to July, the figures showed. The number of students fell by 46,000 on the quarter to 2.2m, the figures showed, which could explain the rise in youth unemployment.
Employment experts say the figures serve as a huge wake-up call to ministers to do more to create private sector jobs and tackle youth unemployment before tens of thousands of young people become increasingly detached from the labour market and consigned to a life on benefits.