UK unemployment rate hits 5% ahead of Autumn Budget - the highest level in four years
The figures are up from 4.8% in the three months to August, according to the Office for National Statistics.
The rate of UK unemployment rose to 5% in the three months to September, the latest ONS figures reveal.
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The figure rose from 4.8% in the three months to August, the Office for National Statistics (ONS) said - the highest level of unemployment seen since the Covid-19 pandemic.
The rise is more significant than the projected 4.9% forecast by most analysts - data that is likely to dismay the Chancellor ahead of November's Budget announcement.
Wage growth was also seen to slow, as the labour market continues to weaken, according to the data.
It comes ahead of Rachel Reeves crunch Budget later this month, with the full impact on the UK economy yet to be seen.
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UK average regular wage growth fell to 4.6% over the same period to September.
That figure was 0.8% higher after taking Consumer Prices Index inflation into account, the Office for National Statistics has said.
The ONS said average regular wage growth also pulled back again, to 4.6% in the three months to September, down from 4.7% in the previous three months, and was 0.8% higher after taking Consumer Prices Index (CPI) inflation into account.Wage growth is now the lowest seen since April 2022.
In further evidence of a tough jobs market, the ONS said the number of workers on UK payrolls fell by 32,000 during October to 30.3 million, following a 32,000 drop the previous month.
In response to the figures, Secretary of State for Work and Pensions, Pat McFadden said: “Over 329,000 more people have moved into work this year already, but today’s figures are exactly why we’re stepping up our plan to Get Britain Working.
“We’ve introduced the most ambitious employment reforms in a generation to modernise jobcentres, expand youth hubs and tackle ill-health through stronger partnerships with employers.
“And this week we’re going further by launching an independent investigation that will bolster our drive to ensure all young people are earning or learning.
“We’re backing businesses to grow and create jobs by cutting red tape, signing trade deals and securing hundreds of billions in investment, which helped make the UK the fastest growing economy in the G7 in the first half of this year.”
ONS director of economic statistics Liz McKeown said: “Taken together these figures point to a weakening labour market.
“The number of people on payroll is falling, with revised tax data now showing falls in most of the last 12 months.
“Meanwhile the unemployment rate is up in the latest quarter to a post-pandemic high.”