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date: 14 June 2010

embargo: 00.01hrs Tuesday 15 June 2010

Dole claimants outnumber vacancies by five to one

Dole claimants outnumber job vacancies by five to one, with London, the North East and Scotland the worst hit, according to a TUC analysis of the latest employment data published today (Tuesday).

The TUC analysis of Jobseekers Allowance (JSA) claimants and vacancies advertised in Jobcentre Plus shows that despite the recent economic recovery, the jobs market remains bleak with the number of JSA claimants increasing in half of all local authority areas between April 2009 and April 2010. The number of vacancies has also fallen in nearly 50 local authority areas over the last twelve months.

London is the worst hit area with nearly eight JSA claimants for every job vacancy. Seven of the top ten unemployment blackspots are in the Capital, including Hackney where claimants outnumber vacancies by a shocking 24 to 1.The City of London is the only local authority area in Great Britain where the number of vacancies outnumber the number of dole claimants.

The TUC analysis highlights a clear North-South divide in the availability of jobs. Scotland, the North East and Yorkshire and the Humber all have six dole claimants for every vacancy, compared to around four in the South.

The analysis follows last week's allocation of local government grants, in which all bar one of the thirty most deprived local authorities received funding cuts above the national average of 0.7 per cent. This shows that the poorest neighbourhoods will be hit hardest by spending cuts, the TUC says.

The latest unemployment figures, published on Wednesday, are expected to confirm that while the economy continues to move slowly out of recession, unemployment is still rising.

With the emergency Budget less than two weeks away, the TUC is concerned that deep cuts in public spending will put hundreds of thousands of additional workers on the dole and hit private businesses who sell services to the public sector.

The TUC is calling on the Government to put tackling unemployment at the top of its priority list and not to put the economic recovery at risk with deep spending cuts that could send the country back into recession.

TUC General Secretary Brendan Barber said: 'While the economy is slowly emerging from recession, the jobs outlook for millions of people is still bleak.

'Our chances of economic recovery are blighted by unemployment blackspots across the country where dole claimants outnumber jobs by 15 to 1. Unless they are able to get back to work, the benefits bill and the deficit will continue to rise.

'The Government has already failed in its fairness pledge by focusing spending cuts on the poorest neighbourhoods. These areas need investment to get local businesses flourishing and people working again. The last thing they need is a huge spending axe.

'People will be looking to the Chancellor on emergency Budget day to show he understands the UK's unemployment crisis. Further cuts that fail the fairness test will suggest the crisis is being ignored.'

NOTES TO EDITORS:

JSA claimants and Jobcentre Plus vacancies by region, April 2010

Top ten unemployment blackspots across the UK*

*Local authority areas with under 400 job vacancies are excluded.

All data from www.nomisweb.co.uk

- A full list of the claimant count and vacancies for every local authority is available from the TUC press office.

- The latest local government funding allocation is available at www.communities.gov.uk/documents/localgovernment/xls/1611273.xls

- The Government's index of deprivation by local authority is available at www.communities.gov.uk/communities/neighbourhoodrenewal/deprivation/deprivation07/

- The TUC is running a live update on the impact of spending cuts at www.touchstoneblog.org.uk/cutswatch You can also get updates on Twitter by following @touchstoneblog

- All TUC press releases can be found at www.tuc.org.uk

- Register for the TUC's press extranet: a service exclusive to journalists wanting to access pre-embargo releases and reports from the TUC. Visit www.tuc.org.uk/pressextranet

Contacts:

Media enquiries:
Liz Chinchen T: 020 7467 1248 M: 07778 158175 E: media@tuc.org.uk
Rob Holdsworth T: 020 7467 1372 M: 07717 531150 E: rholdsworth@tuc.org.uk

Press release (800 words) issued 15 Jun 2010