Unemployment Update

by Roger Harmer on 25 April, 2010

The latest unemployment figures are out and show unemployment continued its slow fall in March. Seasonally adjusted unemployment fell, during the month, from 12.7% to 12.5% in Birmingham, while the new UK figure is 5.6%, also down 0.2%. However compared to the other big UK cities, Birmingham continues to have the highest unemployment – the differential with Liverpool, the city with the next highest unemployment has increased from 0.3% to 0.4% during the month. 

The unadjusted unemployment figure for Acocks Green fell from 1,365 to 1,328 during the month, a welcome improvement. It is hard to be sure what will happen during the rest of the year – economic growth has been slow so far this year;  just 0.2% in the first quarter (presumably held back by the poor weather in January and February). This slow pace of growth makes further immediate public spending cuts unwise, much though they will be necessary to cut the budget deficit in the years to come. There is clearly a risk that if the Conservatives win the election and make further cuts to public spending this year, we will see the recovery slow or even stop, before it has really got up steam. Unemployment would then probably stop falling with all the extra waste of resources and damage to lives that implies. Another good reason to vote Liberal Democrat on May 6th. 

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