UK unemployment hits two-year high – data

The unemployment rate in Britain has reached its highest level in nearly two years, the Office for National Statistics (ONS) reported on Tuesday, adding that the spike was mainly driven by an increase in the number of people unemployed for up to six months. 

According to the ONS, the number out of work increased to 4.2% compared to 4% recorded in the three months to the end of May, as the amount of job vacancies dropped by 66,000 to 1.02 million. 

Meanwhile, wages have risen, with private-sector wage growth increasing to 8.2%, more than a key measure of inflation. Average weekly earnings, excluding bonuses, hit an annual growth rate of 7.8%, reaching record highs. 

However, the growth was outpaced by the rate of price rises in Britain, meaning an effective pay cut for its working population. 

The country remains in the grips of a severe cost-of-living crisis, with a higher inflation rate than other major European countries. Annual inflation in the UK currently stands at 7.9%, the highest among G7 nations.

For more stories on economy & finance visit RT's business section