Unemployment has continued to fall but the number of jobs in manufacturing firms has dipped below three million for the first time since modern records began, new figures showed today.
There was a fall of 3,000 in the unemployment total to 1.69 million in the three months to January, a jobless rate of 5.5 per cent - but more people have stopped looking for work.
The number of people claiming jobseeker's allowance fell in February by 3,800 to 922,200, the fifth consecutive monthly reduction.
But the number of people classed as economically inactive, including long-term sick, students and those who have given up looking for a job, increased by 42,000 in the latest quarter to 7.88 million, over a fifth of the working age population.
The figure is the highest for almost a year.
Meanwhile, the number of manuafcturing jobs fell by 59,000 in the three months to January compared to a year earlier to 2.97 million, the lowest figure since comparable records began in 1978.
Average earnings increased by 4.2 per cent in the year to January, up by 0.2 per cent on the previous month and the highest figure since last July.
Excluding bonuses, wage growth was 3.6 per cent, down by 0.1 per cent. The number of people in work continues at near-record levels, up by 18,000 in the latest quarter to just over 29 million.
PA