🎈 Up Big Today: Find today's biggest gainers with our free screenerTry Stock Screener

UK unemployment rate rose more than expected in September

Published 12/11/2024, 07:24
Updated 12/11/2024, 08:28
© Reuters.

Investing.com - The UK unemployment rate increased by more than expected in September, data showed Tuesday, piling the pressure on the Bank of England to continue easing monetary policy.

According to the Office for National Statistics, the UK jobless rate increased to 4.3% in the three months to September, from 4.0% in the three months to August. This was above the expected 4.1% figure.

Signs of a cooling labor market come after Britain's economy grew in August following two consecutive months of stagnation, and after the Bank of England cut interest rates, for the second time this year.

In making the decision to ease monetary policy for the second time this year last week, Bank of England Governor Andrew Bailey said rates were likely to “continue to fall gradually from here”, but warned they could not be cut “too quickly or by too much”.

The policymakers are also likely to study the wage growth figures closely, as average earnings excluding bonuses rose 4.8% in the three months to September, cooling marginally from 4.9% in the three months to July. 

That said, annual growth in total earnings, including bonuses, was 4.3%, above the revised 3.9% in three months to August - considerably above the 3.9% expected.

Additionally, the central bank will have to factor in the impact of an expansionary Budget, which the Office for Budget Responsibility forecast will add 0.5 percentage points to the consumer price index in 2025.

 

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.