British jobless rate rises for a second month

The number of Britons claiming unemployment benefits rose for a second month in April, Office of National Statistics (ONS) figures…

The number of Britons claiming unemployment benefits rose for a second month in April, Office of National Statistics (ONS) figures show.

Claimant count unemployment rose by 5,400 in April to 953,000, defying expectations for a decline of 3,100.

But economists said the surprise increase in unemployment does not significantly alter the outlook for interest rates.

The ONS also revised March's reported 6,000 claimant count fall to an increase of 2,000 for an unemployment rate of 3.2 per cent, the same as in April.

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It reported that average earnings rose 2.9 per cent in the three months to March, up from a revised 2.5 per cent in the previous three months.

"The underlying message is that market conditions are still historically tight but that overall wage cost pressures remain contained," said Mr Jeremy Hawkins of Bank of America.

But unemployment in Britain remains only slightly above the 26-year low touched recently, and statisticians said the trend for the labour market remained broadly flat.