The number of people out of work in the UK fell to a five-year low of 2.2 million in the first quarter of the year, while the number of people in work rose to 30.43 million, the highest figure since records began in 1971.
The Office for National Statistics (ONS) revealed that average earnings for the three months to March were up 1.7 per cent year-on-year and that, although below forecasts, pay growth rose more than inflation, as measured by the Consumer Prices Index (CPI), for the first time since 2010.
Average weekly pay excluding bonuses was up 1.3 per cent, to £449, on this period last year, while weekly pay including bonuses rose 1.7 per cent to £474. However, if measured against the retail prices index, which is seen as a more realistic measure by many, as it includes the cost of housing, then average wage rises still have some way to go to catch up with the true cost of living.
According to the ONS, the main reason for the rise in employment was a hike of 183,000 in the number of workers who are self-employed, who now account for one in seven people and add up to some 4.55 million individuals.
However, it is not known whether these people work full-time or part-time or why they started working for themselves. Anecdotal evidence would suggest that, for many, it is because they cannot find jobs elsewhere.
These facts took the lustre off the figures for some commentators but Prime Minister David Cameron took to Twitter to say that more jobs mean more financial security for people, while a spokesman for the British Chambers of Commerce said that the figures continue to demonstrate the flexibility and resilience of the jobs market, which is a source of strength for the economy.
