12-06-2008
ONS reveals rise in unemployment levels
News by Adfero for Simply Business - independent providers of public liability insurance, business finance, landlord insurance, buy-to-let mortgages & commercial mortgages.
The Office for National Statistics (ONS) has revealed a rise in the number of individuals unemployed in the UK.
Data released by the organisation shows that during the three-month period up to April 2008, the number of unemployed individuals increased to 1.64 million, a rise of 38,000.
It was also noted that average earning increases between February and April have slowed down.
"The surprising thing is average earnings remain below market expectations, which gives us some hope that the spill over from prices to wages isn't happening yet," said Peter Dixon, a representative from Commerzbank, in a report by the BBC.
"It means the Bank of England doesn't have to be as aggressive with rate hikes as the market is currently pricing in. My view is the next move will still be downwards."
While interest rates may change when the Bank of England next makes an announcement on July 10th, they are currently set a rate of five per cent.