Data about UK average regular earnings growth were also released on Tuesday.
The rate of UK unemployment rose to 5.1% in the three months to October (Image: Getty)
Rachel Reeves was dealt another heavy blow on Tuesday morning as the Office for National Statistics (ONS) released new unemployment and earnings growth data. The rate of UK unemployment, the ONS said, rose to 5.1% in the three months to October, up from 5% in the three months to September.
And the UK average regular earnings growth fell to 4.6% in the three months to October. It was 0.9% higher after taking Consumer Prices Index inflation into account, the ONS said, meaning the rate rose to its highest level for nearly five years and wage growth slipped back further.
Emplyment in the public sector, however, reached 6.18million in September 2025 an increase of of 7,000 if compared to figures from June 2025, and an increase of 62,000 compared with September 2024.
Younger workers in particular were struggling in the difficult hiring climate, according to the ONS.
The ONS said average regular wage growth also pulled back again, to 4.6% in the three months to October, down from 4.7% in the previous three months, and was 0.9% higher after taking Consumer Prices Index (CPI) inflation into account.
The latest figures estimated the number of employees on payrolls plunged by 38,000 during November to 30.3 million in further evidence of a weakened jobs market.
Liz McKeown, ONS director of economic statistics, said: “The overall picture continues to be of a weakening labour market.
“The number of employees on payroll has fallen again, reflecting subdued hiring activity, while firms told us there were fewer jobs in the latest period. This weakness is also reflected in an increase in the unemployment rate while vacancies remained broadly flat.
“The fall in payroll numbers and increase in unemployment has been seen particularly among some younger age groups.”
