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Unemployment passes two million Unemployment passes two million
(10 minutes later)
UK unemployment has risen above two million for the first time since 1997, official figures have shown.UK unemployment has risen above two million for the first time since 1997, official figures have shown.
During the three months to January, the number of people unemployed totalled 2.03 million, up by 165,000, said the Office for National Statistics (ONS).During the three months to January, the number of people unemployed totalled 2.03 million, up by 165,000, said the Office for National Statistics (ONS).
For February, the number of people getting jobseeker's allowance added a record 138,400 to reach 1.39 million.For February, the number of people getting jobseeker's allowance added a record 138,400 to reach 1.39 million.
There are now 10 jobseekers for every vacancy advertised in UK jobcentres, the TUC claimed earlier this week.There are now 10 jobseekers for every vacancy advertised in UK jobcentres, the TUC claimed earlier this week.
'Unemployment milestone''Unemployment milestone'
The ONS added that the unemployment rate jumped to 6.5% between November and January.The ONS added that the unemployment rate jumped to 6.5% between November and January.
RECORD UNEMPLOYMENT The recession will last longer in the UK than in any of the world's other major economies, the IMF predicts Jobless tide swamps vacancy pool as some parts of the UK suffer high unemployment while elsewhere employers struggle to fill vacancies Read our guide on how to cope with unemployment See the picture of unemployment across the UK UNEMPLOYMENT: FULL COVERAGE The recession will last longer in the UK than in any of the world's other major economies, the IMF predicts Jobless tide swamps vacancy pool as some parts of the UK suffer high unemployment while elsewhere employers struggle to fill vacancies Read our guide on how to cope with unemployment See the picture of unemployment across the UK
Unemployment is rising as the first recession in the UK since 1991 continues to bite.Unemployment is rising as the first recession in the UK since 1991 continues to bite.
"This is another milestone in the return of mass unemployment to the UK, and it will get worse before it gets better as unemployment always persists even after a recovery starts," said TUC general secretary Brendan Barber."This is another milestone in the return of mass unemployment to the UK, and it will get worse before it gets better as unemployment always persists even after a recovery starts," said TUC general secretary Brendan Barber.
Turning his attention to next month's G20 meeting in London, Mr Barber added that it was now imperative that world leaders work together to help stimulate the global economy.Turning his attention to next month's G20 meeting in London, Mr Barber added that it was now imperative that world leaders work together to help stimulate the global economy.
David Kern, chief economist at the British Chambers of Commerce, said the government should now "seriously consider" temporary wage subsidies.David Kern, chief economist at the British Chambers of Commerce, said the government should now "seriously consider" temporary wage subsidies.
Business warningsBusiness warnings
Earlier this month the British Chambers of Commerce (BCC) said the UK economy had worsened "significantly" so far in 2009.Earlier this month the British Chambers of Commerce (BCC) said the UK economy had worsened "significantly" so far in 2009.
Owen Bednall lost his job at the BMW plant in Cowley in mid-FebruaryOwen Bednall lost his job at the BMW plant in Cowley in mid-February
It also made the gloomy prediction that by the second half of next year unemployment across the UK would reach 3.2 million, which is slightly more than 10% of the workforce.It also made the gloomy prediction that by the second half of next year unemployment across the UK would reach 3.2 million, which is slightly more than 10% of the workforce.
Separately, business body the CBI predicts there will be 2.9 million people unemployed by the end of 2009 before breaching the three million mark in 2010.Separately, business body the CBI predicts there will be 2.9 million people unemployed by the end of 2009 before breaching the three million mark in 2010.
Alan Tomlinson, an accountant who guides firms through insolvency, said he had "never been so busy".Alan Tomlinson, an accountant who guides firms through insolvency, said he had "never been so busy".
"Companies of all sizes and in all sectors are folding by the day, putting more and more people out of a job," he said."Companies of all sizes and in all sectors are folding by the day, putting more and more people out of a job," he said.
"The CBI's prediction, last month, that unemployment will peak at just over three million in the second quarter of 2010 could prove to be wildly optimistic.""The CBI's prediction, last month, that unemployment will peak at just over three million in the second quarter of 2010 could prove to be wildly optimistic."
The International Monetary Fund predicted on Wednesday that the UK's recession would last longer than that of any of the world's other major economies.The International Monetary Fund predicted on Wednesday that the UK's recession would last longer than that of any of the world's other major economies.
It warned the UK would be the only member of the G7 group of leading industrial countries that would continue to see its economy contract in 2010.It warned the UK would be the only member of the G7 group of leading industrial countries that would continue to see its economy contract in 2010.
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