Job vacancies plunge to a five-year low of 691,000 while small firms blame rising labour costs before the Chancellor's Budget

Unemployment dropped to 4.7% in the three months to August, its lowest rate in more than a year, though the Office for National Statistics reported that total pay growth fell to its weakest level in nearly six years. Youth joblessness remains a serious concern, with 715,000 young people out of work — a figure that has risen by 54,000 compared with a year earlier. Construction was the hardest-hit sector, with firms pointing to National Insurance and minimum wage increases as the drivers of a hiring freeze.

Weekly postings for entry-level roles have dropped by almost half, from 139,000 to 71,000.

Work and Pensions Secretary Pat McFadden argued that the figures 'show the resilience of our labour market'.

Outside of the pandemic period, vacancies have not been so low since 2014.