UK unemployment surges to 15-year high

Unemployment rose unexpectedly in the three months to February to hit 2.5 million - the highest level in more than 15 years.The number of people out of work increased by 43,000 between December and February, according to the Office for National Statistics.

The number of “inactive” people in the economy, classed as those who are not working because they are ill, studying, or looking after children, also rose again by 110,000 in the quarter, to reach a record high of 8.16 million.

However, the number of people on jobless benefits dropped by 32,900 in March to 1.54 million.

However, economists predict more than 250,000 jobs will be cut in local government , 100,000 in the NHS, 50,000 in quangos and at least 50,000 in the Civil Service according to the Chartered Institute of Personnel and Development.

Overall employment also dropped in the three months to February by 89,000, to a 14-year low of 28.8 million.

There was also additional signs that increasing numbers of people are taking up part-time work because they can not find a full-time job. The number of part-time workers who could not find a full-time job soared to 1,046 million in the three months to February.

Sorce By: http://business.timesonline.co.uk/tol/business/economics/article7103488.ece