Posted 5 years ago •
Latest data from the ONS showed that the UK labour market remains in a good place, but there are signs showing that employment growth is tailing off.
Both, the unemployment rate and inactivity rate have increased. While vacancies have declined again and employment fell for the first time since late 2017, the labour market remains tight on the whole.
In the quarter to April 2025, wage growth across the economy remained strong, but is weaker compared to recent months. Unemployment and employment levels both rose (unemployment notably so), and economic inactivity fell, but still sits above 9 million.
In the three months to March 2025, wage growth across the economy remained strong and, while wages continued to rise in nominal and real terms, the rate of wage growth is showing signs of slowing.
In the three months to February 2025, wage growth across the economy showed signs of plateauing but remains strong, unemployment and employment levels both increased, while inactivity fell but is still stubbornly high.