Job vacancies slump below 700,000 for the first time in five years while small firms cut hiring over labour costs
ICAEW chief economist Suren Thiru described the vacancy decline as a 'flashing red warning light' for Britain's jobs market. The ONS attributes the fall to 691,000 primarily to smaller businesses under pressure from higher labour costs, following Labour's increases to employers' national insurance contributions and the minimum wage. Payroll numbers remain 66,000 lower than a year ago. Chancellor John Healey delivers his first Budget next week.
Unemployment unexpectedly fell to 4.7%, against City forecasts of a rise to 5%.
Work Foundation's Ben Harrison warned the UK is still 'amidst a jobs drought'.
Work and Pensions Secretary Pat McFadden insisted the figures 'show the resilience of our labour market'.
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LBCUK’s jobless rate falls but shrinking vacancies a ‘bitter blow’ to jobseekersBBC News - BusinessJob vacancies fall as small firms cut back on recruitmentDaily Mail NewsUnemployment rate dips to 4.7% while earnings growth rises to 3.7% one week before the BudgetLBCUK unemployment falls to lowest in a year but vacancies slide furtherThe GuardianSurprise drop in UK unemployment to 4.7%GB NewsWage growth slows to weakest pace in nearly six years as UK jobs market 'in drought'The IndependentUK unemployment falls to lowest in a year - but vacancies drop to five-year low to underline jobs challengeCity A.M.Job vacancies fall below 700,000 for first time in over five yearsReutersUK jobs market shows some recovery signs as BoE mulls rate hikeThe HeraldScotland unemployment falls to 4.3 per cent, below UK averageIrish TimesUK unemployment falls to lowest in a year but vacancies slide
