By 
The U.K. unemployment rate increased in the three months to October, a sign the labor market could be cooling, but strong pay growth momentum continued.
The U.K.’s unemployment rate edged up to 3.7% in the quarter to October, from 3.6% in the preceding three-month period, according to data from the Office for National Statistics released Tuesday. This is in line with economists’ expectations in a poll by The Wall Street Journal.
Job vacancies fell by 65,000 on the quarter to October to 1.187 million, a sign of cooling labor demand in a job market that remains tight by historical standards.
The most recent estimate of payrolled employees rose by 107,000 in November. However, there was also a 30,500 increase in jobless claimants, the ONS data showed.
Wage growth continued to accelerate despite the increase in unemployment, a sign of further inflation pressures in the pipeline, according to the ONS data. Average weekly earnings excluding bonuses in the three months to October rose 6.1% on year, more than the 5.8% registered from July to September. This is the strongest growth rate registered outside of the Covid-19 pandemic period, the ONS said.
Write to Xavier Fontdegloria at xavier.fontdegloria@wsj.com
Comments