South West Jobs Boost on the Back of Election Result

Business West comment on new Government employment stats.

The Office for National Statistics (ONS) today released the Labour Market Statistics for the 3 months ending March 2015:

• Unemployment in the South West decreased by 3,000 to 4.3%, a drop of 0.2% on the quarter and down 0.6% on the year..
• Total UK unemployment rate of 5.5% is the lowest since mid 2008.
• The youth unemployment rate was 15.9%, a decrease of 0.3% the quarter. This is down from 18.9% this time last year but remains way above average unemployment and pre-recession levels.

Commenting on the latest labour market statistics, Phil Smith, Managing Director of Business West, said:

“Today we see positive news coming out of the labour market as we embark on a new era of governance, but this must not mask the challenges still ahead. After months of political uncertainty businesses were finally given clarity last week as we now know the next five years will see the country led by a Conservative administration. The latest figures are a welcome boost, but there are still stumbling blocks ahead.

“Unemployment has been on a downward trajectory for well over a year, and the South West has been spearheading this drive with figures way below the national average. In the last three months we saw unemployment fall to 4.3% in our region, compared to 5.5% nationally. Add that to business confidence of local firms, which our polling tells us is at 89%, you would be forgiven in believing that the next five years will be plain sailing, but this is not necessarily the case.

“There are still fundamental weaknesses in the economy that need to be addressed by the incoming government. For example, whilst on the surface these job figures show a fall in unemployment, delve a little deeper and you will see youth unemployment remains high. In the next five years our politicians must work with business to address such barriers to growth in order to create an environment that encourages enterprise and aspiration.”