Job Market

Unemployment at 1 in 10 in Blackpool, Birmingham and Hull

The number of working-age people claiming unemployment benefit rose to 9.9% in Blackpool and 9.8% in Birmingham and Hull during August, according to analysis of the latest ONS figures by Centre for Cities.

The think tank said that areas with “historically weaker economies” have continued to experience greatest job deprivation.

The analysis was underlined by a report from campaign group Communities in Charge, which stressed that “neighbourhoods with existing employment problems are more than twice as likely to be at high risk of Covid-related job losses as the average.”

However, Centre for Cities also highlighted the growing number of claimants in “otherwise successful” cities hit hard by the pandemic. Slough, Luton, London and Crawley all experienced the greatest percentage points increase (+4.7%) in unemployment related claims between March and August.

Centre for Cities emphasised that the places with highest growth in unemployment rate were likely to have been impacted by sector-specific issues as a result of the pandemic. Towns near airports, such as Luton, were said to have been affected by the decline in work in aviation.

Elena Magrini from Centre of Cities said: “As things stand, the phasing out of the Job Retention Scheme will undoubtedly lead to a second spike in unemployment claims, and with cases continuing to rise, hard times loom ahead for the labour market.”

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