UK Unemployment Rises to 5% in Q3 2025

Doha: The unemployment rate in the United Kingdom rose to 5 percent in the third quarter of 2025, marking the latest indication of a weakening labor market, according to newly released official figures. The UK's Office for National Statistics (ONS) reported that this is the highest unemployment rate recorded since the period spanning December 2020 to February 2021.

According to Qatar News Agency, the increase exceeded expectations, surpassing the 4.9 percent forecast by many analysts ahead of the upcoming budget announcement scheduled for November 26. Meanwhile, average wage growth stood at 4.6 percent in Q3, down slightly from 4.7 percent in the three months ending in August.

Taken together, Director of Economic Statistics at the ONS Liz McKeown stated, these figures point to a softening in the labor market. Unemployment has risen to its highest level since the COVID-19 pandemic, while the number of job vacancies has remained largely unchanged. ONS cautioned that unemployment data should be interpreted carefully and noted that additional steps are being taken to address concerns regarding data quality.

The Bank of England expects the unemployment rate to remain close to 5 percent over the coming years. Commenting on the latest figures, Secretary of State for Work and Pensions Pat McFadden said more than 329,000 people have entered the workforce this year alone, but these numbers clearly show why they are intensifying their plan to get Britain back to work.