United Kingdom Unemployment Rate

The United Kingdom’s unemployment rate rose to 4.8% in the three months to August 2025, above market expectations of 4.7% in July. This marks the highest reading since the three months to June 2021. The increase reflected a rise in the number of people unemployed for up to 6 months and over 12 months, while those unemployed for 6–12 months were largely unchanged. On an annual basis, unemployment rose across all duration groups. Meanwhile, the number of employed individuals grew by 91,000 to 34.2 million, driven mainly by gains in part-time roles and employees aged 65 and over. The number of people holding second jobs decreased slightly in the quarter but rose over the year to 1.323 million, representing 3.86% of total employment. Lastly, the economic inactivity rate remained broadly unchanged at 21.0%, 0.1 percentage point higher than in the prior period.