UK Unemployment Steady at 5.2% Amid Wage Slowdown

The United Kingdom's unemployment rate held steady at 5.2 percent in the three months ending January 2026, marking a near five-year high not seen since early 2021, according to figures released by the Office for National Statistics on March 18. The data, covering the period from November 2025 to January 2026, also revealed wage growth slowing to its lowest pace in more than five years, even as the overall labor market showed limited signs of stabilization.

The jobless rate remained unchanged from the previous quarter, defying economists' expectations of a rise to 5.3 percent. Total unemployment reached 1.87 million people, up from 1.48 million in July 2024. Youth unemployment drove much of the pressure, with the rate for 18- to 24-year-olds climbing to 14.5 percent, the highest since early 2015. For those in that age group not in full-time education, the figure hit 19.2 percent, a level last recorded in 2014. Disparities appeared across demographics and regions: male unemployment stood at 5.5 percent compared to 4.8 percent for females, while London recorded the highest rate at 7.9 percent and Northern Ireland the lowest at 2.2 percent. Employment rates varied similarly,...