Unemployment in Kent and Medway for September 2022 in slight rise as wage growth fails to keep pace with inflation

Unemployment rates across the county are edging up again - although the county's overall jobless rate remains below that of the national average.

In the latest figures for September, published by the Office for National Statistics, those out of work in the county increased to 37,305 - that's up 310 on the adjusted figures for August.

The latest jobless figures for September reveal 3.3% of the county's population are out of work
The latest jobless figures for September reveal 3.3% of the county's population are out of work

It represents around 3.3% of the working-age population across Kent and Medway.

The biggest rise was in Medway where some 110 joined the ranks of the unemployed. The 6,655 claiming in the unitary district equates to around 3.8% of its population.

Only Sevenoaks and Swale saw slight dips month-on-month.

Thanet remains the district with the highest proportion of unemployed at 5.7%, followed by Gravesham at 4%.

The lowest rates remain in the west of the county where rates in Sevenoaks and Tonbridge stand at just 2% and Tunbridge Wells at 2.3%. They are then followed by Canterbury on 2.7%.

Nationally, the ONS said the unemployment rate over the three months to August hit 3.5% - the lowest it has been since February 1974.

It came after a joint-record rise in the number of people considered “economically inactive” – not in work or searching for work – due to long-term sickness or because they were students.

In July to September 2022, the estimated number of vacancies fell by 46,000 on the quarter, the ONS reported, to 1.25m - the largest fall on the quarter since June to August 2020. Despite three consecutive quarterly falls, the number of vacancies remain at historically high levels.

There continue to remain more vacancies than unemployed.

Growth in average total pay, excluding bonuses, was 5.4% among employees in June to August - the strongest growth in regular pay seen outside of the pandemic period. Average regular pay growth was 6.2% for the private sector and 2.2% for the public sector.

Company bosses continue to face difficulties in hiring with more vacancies than unemployed
Company bosses continue to face difficulties in hiring with more vacancies than unemployed

However, with inflation at close to 10%, in real terms, regular pay fell by 2.9%. While smaller than the 3% drop recorded between April to June of this year, it remains among the largest falls in growth since comparable records began in 2001.

ONS head of labour market and household statistics David Freeman said: “The unemployment rate continues to fall and is now at its lowest for almost 50 years. However, the number of people neither working nor looking for work continues to rise, with those who say this is because they’re long-term sick reaching a record level.

“While the number of job vacancies remains high after its long period of rapid growth, it has now dropped back a little, with a number of employers telling us they’ve reduced recruitment due to a variety of economic pressures.

“However, because unemployment is also down, there continues to be more vacancies than unemployed people.”

Chancellor Kwasi Kwarteng said: “Countries around the world are facing economic challenges but today’s statistics remind us that the fundamentals of the UK economy remain resilient, with unemployment at its lowest point for almost 50 years.

Chancellor Kwasi Kwarteng during a recent visit to Kent. Picture: Zara Farrar HM Treasury
Chancellor Kwasi Kwarteng during a recent visit to Kent. Picture: Zara Farrar HM Treasury

“Our ambitious growth plan will drive sustainable long-term growth, meaning higher wages and better living standards for everyone, and we are cutting taxes so people can keep more of what they earn.”

It is worth noting that the figures published each month by the ONS for Kent and Medway are adjusted during the month so can go moved both up or down when the following month's figures are released.

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