The unemployment rate in Britain increased for a second month, and as the economy struggles, some of the inflationary heat in the labor market is cooling, including a rise in the number of elderly individuals looking for work.
However, excluding the time during the COVID-19 epidemic, the Bank of England (BoE), which appears set to hike interest rates, was likely to observe the biggest increase in basic pay ever. It worries that the recent decline in the number of workers on the labour force will increase the pressure on inflation in the economy.
The ONS reported that in the three months leading up to October, the economic inactivity rate, or the share of persons who are neither working nor seeking for work, fell by 0. 2 percentage points to 21.5%.
The fall was driven mostly by more older people who had considered themselves retired but were now looking for work.