Well, we all knew it was coming but it’s none the less horrible when it comes.
Here are the latest unemployment figures
Christina
BBC ONLINE
15.7.09
UK unemployment hits 2.38 million
UK unemployment rose by a record 281,000 to 2.38 million, in the three months to May, the Office for National Statistics has said.
The jobless rate increased to 7.6%, the highest in more than 10 years.
The number of people claiming unemployment benefit increased by 23,800 in June to 1.56 million, which was less than analysts had forecast.
Businesses have been cutting jobs as they seek to reduce costs in the wake of the global downturn.
Young people - those up to 24 years old - have been particularly hard hit with unemployment leaping to a 16-year high of 726,000.
With a new generation of school and college leavers soon starting to look for work, our unemployment crisis will get even bigger
TUC general secretary Brendan Barber
And the number of those out of work for more than a year rose by 46,000 to 528,000, the highest for 11 years.
TUC general secretary Brendan Barber said: "It's particularly worrying that over half a million unemployed people have been out of work for at least a year, including 133,000 young unemployed people."
"With a new generation of school and college leavers soon starting to look for work, our unemployment crisis will get even bigger.
Separately on Wednesday a BBC survey showed two-thirds of people across the UK know someone who has lost a job in the recession, a BBC survey suggests.
A further four in 10 fear losing their job in the current climate, the survey of 1,048 people by ComRes indicates.
'Conflicting signals'
Even though economic conditions may be stabilising, economists expect unemployment to continue rising this year, as financial uncertainty persists.
Vicky Redwood of Capital Economics said the latest figures contained "conflicting signals about whether conditions in the labour market are getting better or worse".
"The claimant count measure of unemployment in June posted its smallest rise in a year. However, the wider ILO measure posted its biggest rise on record."
But, she said, unemployment was unlikely to fall until economic growth returned to its trend rate, and this would take a long time.
Average UK earnings including bonuses increased at their highest rate since December, up 2.3% in the three months to May from a year ago.
However, excluding bonuses average earnings rose at 2.6% - the lowest rate since records started in 2001. [There’s something needing explanation with those last two figures [underlined] . Together they don’t make much sense. Presumably what they are pointing to is that bonuses have dropped away sharply ? -cs]
David Kern, chief economist at the British Chambers of Commerce described the figures as "grim reading".
"On the basis of these numbers, we reaffirm our forecast that unemployment will peak at around 3.2 million next year."
The number of unemployed men increased by almost 200,000 to 1.46 million, and 84,000 more women were out of work, putting female unemployment at 923,000.
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