The number of job vacancies hit a record high of 1.1 million in the three months to September, as the post-pandemic labour market continued to recover.
The Office for National Statistics said the number of job vacancies increased by 318,000, with all industry sectors above or equal to the levels seen between January to March last year, before the UK’s first coronavirus lockdown.
Accommodation and food services vacancies increased by nearly 50,000 (59%).
The number of payroll employees was also up by 207,000 to a record 29.2 million in September, putting it on par with levels seen in February last year.
Darren Morgan, director of economic statistics at the ONS, said: “The jobs market has continued to recover from the effects of the coronavirus, with the number of employees on payroll in September now well exceeding pre-pandemic levels.”
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He added: “The latest earnings continue to show growth on the year, even after taking inflation into account.
“However, the figures are still being affected by special factors that make it hard to read underlying trends.”
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Chancellor Rishi Sunak said: “As we move to the next stage of our support, it’s encouraging to see our Plan For Jobs working – the number of expected redundancies remained very low in September, there are more employees on payrolls than ever before and the unemployment rate has fallen for eight months in a row.
“We remain committed to helping people find great work, with an extra £500m to support hundreds of thousands back into employment and help the lowest paid to progress in their careers.”
The UK’s employment rate was up 0.5 percentage points on the quarter to 75.3%, while the unemployment rate was down 0.4 percentage points to 4.5%.
Growth in average total pay (including bonuses) was 7.2% and regular pay (excluding bonuses) was 6.0% among employees for the three months June to August 2021.
Tony Wilson, director at the Institute for Employment Studies, said: “We estimate that there’s nearly a million fewer people in the labour market than on pre-crisis trends, with this being driven particularly by fewer older people in work and more young people in education.
“These shortages are holding back our economic recovery, and won’t fix themselves by just exhorting firms to pay people more.
“Instead we need to do far better at helping some of the six million people who are outside the labour market because of ill health, caring or full-time study to get back into work.”
Matthew Percival, programme director for skills and inclusion at the Confederation of British Industry, said: “Companies have found hiring difficult this autumn and the official data is beginning to tell the same story, with the number of people on payroll exceeding pre-COVID highs and record vacancies.
“It’s welcome that government has set up a new taskforce chaired by Sir David Lewis to advise on the impact of supply chain disruption and labour shortages on the recovery.
“Business and government working together is the best way to create the high-wage, high-skill, high-investment, high-productivity economy we all want to see.”
Union leaders are demanding no eleventh-hour retreat by the government on workers’ rights now their champion Angela Rayner is no longer in the cabinet.
As delegates gather in Brighton for the TUC’s annual conference, the movement’s leadership is claiming four million people – one in eight of the UK workforce – are in “pervasive” insecure work.
And union bosses are urging the government to stand firm and reject attempts by Tories and Liberal Democrats to weaken the former deputy prime minister’s Employment Rights Bill in its final stages in parliament.
The TUC’s general secretary, Paul Nowak, has claimed Ms Rayner, who resigned on Friday over unpaid stamp duty on a seaside flat, was a victim of misogyny and was being hounded out by right-wing politicians and right-wing media.
Image: Paul Nowak believes Angela Rayner was a victim of misogyny
As well as Ms Rayner leaving the government, the other minister driving the bill through parliament, Jonathan Reynolds, was demoted in Sir Keir Starmer’s cabinet reshuffle from the senior post of business secretary to chief whip.
Until last week, Ms Rayner had been expected to deliver the keynote Labour Party speech at the TUC on Tuesday, but it emerged midweek that the education secretary, Bridget Phillipson, would be the speaker.
However, in Friday’s reshuffle she lost responsibility for adult skills – a key issue for the unions – to the new work and pensions secretary Pat McFadden, who will now head a new, beefed-up super-ministry promoting growth.
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And ironically, the TUC conference in Brighton is taking place less than two miles from the luxury seaside flat in Hove, on which Ms Rayner’s avoidance of £40,000 in stamp duty led to her resignation as deputy PM, housing secretary and Labour deputy leader.
Just before parliament’s summer recess, the House of Lords backed by 304 votes to 160 a Tory-led amendment to Ms Rayner’s bill to reduce the qualifying period for unfair dismissal claims from two years to six months, rather than from day one, as proposed by Ms Rayner.
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The rise and fall of Angela Rayner
Third reading of the bill in the Lords was last Wednesday, the day of Ms Rayner’s Sky News confession, and the bill is now set for parliamentary ping-pong, assuming the government overturns the Lords’ amendments in the Commons.
But in a pre-conference interview with Sky News, TUC chief and Rayner supporter Mr Nowak demanded no diluting of her bill, which also includes banning zero hours contracts which exploit workers and fire and rehire.
“We are now at a crucial stage in the delivery of the Employment Rights Bill, just weeks away from Royal Assent,” said Mr Nowak. “And our clear message to the government will be to deliver the bill and deliver it in full.
“Ignore the amendments from the unelected peers, Tory and Lib Dem peers in the House of Lords, that are aimed at gutting the legislation, weakening workers’ rights.
“Stand with the British public, deliver decent employment rights. That’s important in workplaces up and down the country, but it’s important because these are proposals that are popular with the British public as well.”
Image: Education Secretary Bridget Phillipson will be making a speech at the TUC’s conference
The TUC says its analysis shows low-paid jobs in occupations such as the care, leisure and service sectors account for 77% of the increase in insecure jobs since 2011.
Black and ethnic minority ethnic workers account for 70% of the explosion in insecure work, according to the TUC, and southwest England and Yorkshire and Humber are insecure work hotspots.
Mr Nowak told Sky News: “We’ve got well over a million people now on zero-hours contracts. We’ve got millions of people who don’t have sick pay from day one and 70% of the kids who live in poverty have parents who go out to work.
“The government is absolutely right to be focused on making work pay. And the Employment Rights Bill is about putting more money in the pockets of working people, giving people more security at work.
“That’s good for workers, but it’s also good for good employers as well, so they’re not undercut by the cowboys.”
“Angela Rayner is playing a really important role in government and I wouldn’t want to see her hounded out of an important role by right-wing politicians and the right-wing media, who frankly can’t handle the fact that a working-class woman is our deputy prime minister.”
Londoners face almost a week of travel disruption when Underground workers go on strike next week.
There will be limited or no services for several days, and those services that are still running are expected to be busier than usual.
Members of the Rail, Maritime and Transport union (RMT) voted overwhelmingly for strike action after nine months of negotiations failed to resolve a long-running dispute over pay and conditions.
Transport for London (TfL) has offered a 3.4% pay rise which it described as “fair” but said it cannot afford to meet the RMT’s demand for a cut in the 35-hour working week.
Further talks have also failed to end in an agreement, but Nick Dent, London Underground’s director of customer operations, said it was not too late to call off the strikes before causing chaos in the capital.
Here is all you need to know.
When are strikes planned?
Strikes are planned from midnight on Sunday 7 Septemberto 11.59pm on Thursday 11 September.
There is separate planned industrial action on 5 and 6 September, but this is not expected to cause disruption on TfL services.
The other days, however, will see delays across every underground line and the Docklands Light Railway (DLR).
Image: Tube services will be limited for five working days next week. File pic: PA
What’s running – and what’s not?
Sunday 7 September:
• Disruption across the entire Tube network, with limited services running • Those that are running will finish early, with TfL encouraging people to finish journeys by 6pm • The DLR will be running a normal service
Monday 8 September:
Tube • Little to no service running across the entire Tube network • No service before 8am or after 6pm
DLR • Full service, but stations shared with the Tube network may face disruption
Tuesday 9 September:
Tube • Little to no service running across the entire Tube network • No service before 8am or after 6pm
DLR • No service on the entire network
Wednesday 9 September:
Tube • Little to no service running across the entire Tube network • No service before 8am or after 6pm
DLR • Full service, but stations shared with the Tube network may face disruption
Thursday 11 September:
Tube • Little to no service running across the entire Tube network • No service before 8am or after 6pm
DLR • No service on the entire network
Friday 12 September:
Tube • No service before 8am • Service will return to normal on all lines by late morning
DLR • Normal service
What about the Elizabeth Line and Overground?
The Elizabeth Line, London Overground and trams will be running on strike days. London’s bus network is also expected to be running a full service.
However, TfL warns other services will be extremely busy and trains may be unable to stop at all stations or run to their normal destinations.
Image: No strikes are planned on the Elizabeth Line, but trains will not stop at some stations. Pic: iStock
On Monday 8 and Wednesday 10 September, the Elizabeth line will not stop at the following stations before 7.30am and after 10.30pm:
• Liverpool Street • Farringdon • Tottenham Court Road
On Tuesday 9 and Thursday 11 September, trains will not stop at the same stations before 8am.
How to get around during the Tube strike
As always during industrial action, TfL urges commuters to plan ahead and allow extra time for their journeys.
To do this, use TfL’s journey planner, or apps including City Mapper.
Cycling or walking is also recommended by TfL, with Santander, Lime and Forest bikes available to hire across the capital, as well as electric scooters in some London boroughs.
Image: TfL recommends commuters use bikes or walk round London during strikes. Pic: iStock
The band posted a statement on social media to say their Music Of The Spheres shows on 7 and 8 September have been rescheduled to 6 and 12 September respectively.
“Without a Tube service, it’s impossible to get 82,000 people to the concert and home again safely, and therefore no event licence can be granted,” the band said.
Retail sales rose a surprising amount in July, as good weather and the Women’s Euros led people to part with their cash, official figures show.
The amount of spending rose 0.6% in July, according to figures from the Office for National Statistics (ONS), far above the 0.2% rise anticipated by economists polled by Reuters.
In particular, clothing and footwear stores, as well as online shopping, experienced strong growth.
When looked at on a three-month basis, the numbers are weaker, with a 0.6% fall in sales up to July due in part to downward revisions in June.
Spending has declined since March, when supermarkets, sports shops, and household goods saw strong sales at the beginning of the year as warm and sunny weather pushed summer purchases earlier. Though compared to a year ago, sales are up 1.1%.
Image: Fans gather during a Homecoming Victory Parade in London after England’s win in the final of the Women’s Euros. Pic: PA
Retail sales figures are significant as they measure household consumption, the largest expenditure in the UK economy.
Growing retail sales can mean economic growth, which the government has repeatedly said is its top priority.
A problem with the figures
These figures were originally due to be published in August but were delayed by two weeks so the ONS could carry out “quality assurance” checks.
Following the checks, the statistics body found a “problem”, which meant it had to correct seasonally adjusted figures.
It hasn’t been the only question mark over the reliability of ONS figures.
In March, UK trade figures were delayed due to errors from 2023, and the office continues to advise caution in interpreting changes in the monthly unemployment rate due to concerns over data reliability.
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UK growth slowed amid rising costs in June.
As a result of the latest error, previously monthly figures overstated the monthly volatility in the first five months of 2025, the ONS’s director general of economic statistics, James Benford, said.
Mr Benford apologised for the release delay and for the errors.
What could it mean?
It could mean retrospective changes to the UK economic growth rate, according to Rob Wood, the chief UK economist at Pantheon Macroeconomics.