Unemployment figures have painted a worrying picture for Cumbria a year on from the first national lockdown.
The claimant data for February released by the Office for National Statistics and the Department for Work and Pensions contained an increase of 750 in the number of people claiming Job Seeker’s Allowance or Universal Credit when compared with the previous month.
This was also the biggest single monthly increase since May last year.
The broader Universal Credit count also rose sharply in February, up by 825 to reach 36,739, also the biggest monthly increase since May last year.
The majority of the increase in UC claimants was people claiming UC and looking for work (+891) whereas the number claiming while in work fell (-157).
Previously, most of the increases since the initial surge in April 2020 have been among those claiming top-up benefits while in work and this significant shift in the balance towards out of work claimants suggest that jobs may now be being lost rather than supported by employers’/government schemes.
Key headlines for Cumbria from the various datasets are as follows:
- The claimant count (those on JSA/UC and seeking work) rose by 750 in Cumbria in February to reach 13,370, the biggest single monthly increase since May. The biggest increases were in Carlisle (+200) and South Lakeland (+165). This increase was six per cent from last month which is above the national increase of 5.3 per cent and this was particularly so in Eden and South Lakeland where the count rose by nine per cent and also in Carlisle where the count rose by 6.5 per cent;
- The claimant count is 6,460 higher than in February last year, an increase of 94 per cent for Cumbria as a whole, which is below the national increase of 115 per cent. However, the annual change in Eden (+126 per cent) and particularly in South Lakeland (211 per cent) is well in excess of the national increase, as is the case for areas within the LDNPA where the change is 346 per cent compared to a year ago (LDNPA claimants are also included in relevant district);
- The claimant count rate in Cumbria in February was 4.5 per cent which is below the national rate of 6.5 per cent and it was below the national rate in all parts of Cumbria. Compared to a year ago, the claimant rate is 2.2ppt higher in Cumbria compared to a national increase of 3.4ppt.
- Claimant rates are below average for all age groups at Cumbria level but in Barrow, the claimant rate for 16-24-year-olds is above the national average (7.8 per cent v 7.2 per cent);
- There were 36,739 claimants of Universal Credit in February (this includes claimants in work, seeking work and those not seeking work). This was an increase of 825 (2.3 per cent) from January, the biggest monthly increase since May of last year;
- The number of UC claimants claiming whilst in work fell by 157 while the number claiming while seeking work rose by 891. This is the first time there have been substantially more new claimants who are out of work than in work since April 2020;
- There were 475 young people classed as NEET in January, down 18 from December but 89 higher than a year ago;
- The participation rate for 16/17-year-olds was 92.3 per cent in January compared to a national rate of 93.2 per cent. The proportion undertaking an apprenticeship or employment with regulated qualifications is 2.8 per cent lower than a year ago while the proportion in full-time education or training has increased by 2.1 per cent;
- There were 2,415 job postings in February, 156 fewer than in January and 400 fewer than the same time last year;
- There were 485 business start-ups in the quarter ending January, an increase of 29 compared to the same quarter last year;
- There were 31,546 active companies in Cumbria at the end of February, 167 more than in January and there were just 12 companies recorded as dissolved/in liquidation during February.
