Regional Unemployment
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London worst region in the UK for unemployment

Amended June 19 2006 - The rate of unemployment in London is 7.6% (January to March) according to the Labour Force Survey. This is almost 1 percentage point higher than the next region, the North East of England which has a rate of 6.7% for the same period. The UK national average for January-March is 5.2%. London's total of 301,000 unemployed is more than the totals for Wales, Scotland and Northern Ireland combined, more than the entire English Midlands and more than the North West and North East of England combined.

There are enormous variations between the different boroughs in London, however. A letter from Karen Dunnell, National Statistician, dated 18 January 2006 gave a response to a Parliamentary question. She listed the numbers of claimants for Jobseekers allowance who had been out of work for two years or more in the London Boroughs. They ranged from 5 in the City of London, 60 in Kingston-upon-Thames, 65 in Hounslow and 80 in Richmond to 710 in Brent, 740 in Haringey, 805 in Tower Hamlets and a whopping 1,160 in Southwark.

Unemployment in the UK, Jan-Mar 2006, by country/region

Country/Region
 

N. Ireland

London

Scotland

West Midlands

North East

North West

Yorks./Humberside

Wales

East Midlands

South East

South West

East

LFS Unemployed (1000's)

35

301

139

137

 82

163

134

 65

111

191

 92

138

Rate of Unemployment (%)

4.4

7.6

5.3

5.1

6.7

4.9

5.3

4.7

4.9

4.4

3.6

4.8

Source: ONS Labour Market Statistics, June 2006, (seasonally adjusted)


 

Previous article

June 28 2002 - The TUC is highlighting the UK's 10 worst 'pockets of poverty' in a report to be published on Monday. Some of the worst unemployment rates are to be found in areas within prosperous cities and regions, particularly London. The TUC argues that Regional Development Agencies should be given extra funding to develop their regions' economy in a way that tackles unemployment, poverty and low productivity.

The 10 worst areas in the UK for unemployment are spread across the country, with half in London, three in the North East, one in the North West, and one in Scotland. All have unemployment rates of more than one in ten:

Hackney

Newham

Dundee City

Haringey

Middlesbrough

Southwark

South Tyneside

Tower Hamlets

Liverpool

Newcastle upon Tyne

16.4%

13.5%

12.8%

12.7%

12.4%

12.1%

12.1%

11.8%

11.1%

11%

(14,000)

(12,000)

(9,000)

(13,000)

(8,000)

(13,000)

(8,000)

(9,000)

(21,000)

(14,000)

The national unemployment rate is 5.3%, but regional rates vary considerably. Within England the TUC gives the following breakdown:

North East - 7.6% (worst in Middlesbrough - 12.4% - 8,000)

London - 6.8% (Hackney - 16.4% - 14,000)

West Midlands - 5.6% (worst in Birmingham - 10.5% - 46,000)

North West - 5.1% (Liverpool - 11.1% - 21,000)

Yorkshire & Humberside - 5% (worst in Bradford - 8.2% - 19,000)

East Midlands - 4.7% (worst in Leicester - 8.5% - 11,000)

Eastern England - 3.8% (worst in Norwich - 9.1% - 6,000)

South West - 3.5% (worst in Torbay - 5.6% - 3,000)

South East - 3.3% (worst in Thanet - 9.8% - 6,000)

TUC General Secretary, John Monks, said:

'People who live in poverty in Britain, do so together. The solution to cracking these 'pockets of poverty' is not to try and make every regional economy like those of south eastern England, nor is it to flood them with make-work schemes. The solution is complex, multifaceted and involves the redistribution of resources and a genuine transfer power.

'This new TUC report shows why Regional Development Agencies need extra funding and explains what they can do to boost the regional economy and tackle these 'pockets of poverty'. Britain faces more than just a North-South divide when it comes to unemployment and productivity. Building on the indigenous strength of a region's economy and retraining workers for the future will require strategically targeting funding to projects which will deliver at a local level.'


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