Good Morning Britain newsreader Marverine Cole delivered an update that marks some bad news for the Prime Minister
Good Morning Britain’s Marverine Cole delivered some devastating breaking news for Labour as she announced a huge increase in unemployment in the UK on the ITV show. In what will be a huge blow to Keir Starmer she revealed that the figures for those out of work rose by 26,000. “Breaking news now,” she said. “And unemployment rose by 26,000 between May and June of this year according to the Office of National Statistics. It says, unemployment is now risen in 10 of the last 12 months, driven by job losses in hospitality and retail sectors.”
Speaking on August 11 Allen Simpson, Chief Executive of UK Hospitality, confirmed the dceline in the sector. “At this time of year hospitality businesses are usually frantically hiring staff for the busy summer months, as the sector expects to welcome families to their hotels, serve countless ice creams on the beach, fish and chips on the pier, and cold pints in the pub garden. Hiring this year has fallen off dramatically, with 22,000 fewer jobs available compared to last year,” he said.
The latest employment figures will come as a blow to Keir Starmer (Image: Getty)
A string of surveys released on Monday August 11 revealed Britain’s labour market is stalling, with recruitment activity close to a two-year low, employers freezing hiring, and businesses bracing for further cost hikes in the Autumn Statement.
The slowdown comes after Chancellor Rachel Reeves‘ April hike in National Insurance Contributions (NICs) for employers – a move that has hit low-wage sectors such as retail, hospitality and care hardest.
Figures from KPMG and the Recruitment & Employment Confederation (REC), closely watched by the Bank of England, show the index for permanent placements stood at just 40 in July, barely above June’s two-year low of 39.1. Any reading below 50 signals more recruiters reporting declines than growth.
Vacancies have contracted at the fastest pace since April, while the availability of workers has jumped at the quickest monthly rate since 1997. Pay for new starters is now rising at the slowest pace since March 2021.
Marverine Cole delivered some breaking news about employment figures on GMB (Image: ITV)
A separate survey by the Chartered Institute of Personnel and Development (CIPD) found only a quarter of employers expect to increase staff levels over the next three months, while 16% plan to cut jobs.
James Cockett, economist at the CIPD, said the research reflected “mounting cost pressures, global uncertainty and the potential impact of new workers’ rights” but suggested overall employment was “flat rather than catastrophic”.
However, he pointed to “acute pressure” in the public sector, education, and low-paid sectors such as care and retail – all badly affected by the NIC increase, the Times reports.
Jon Holt, group chief executive at KPMG, said a further cut in interest rates this year could “help boost business confidence. But many firms will continue to pause major investment decisions until there is greater clarity in the autumn.”
