21.04.202606:11:44UTC+00UK Jobless Rate Surprisingly Falls

The UK unemployment rate fell to 4.9% in the three months to February 2026, beating expectations that it would remain at 5.2%. This is the lowest rate recorded since the three months to August of the previous year.

Total unemployment declined by 60,000 over the quarter to 1.780 million, largely reflecting a drop in the number of people unemployed for up to six months. However, compared with the same period a year earlier, unemployment was higher by 206,000, with increases seen across all unemployment durations.

Total employment rose by 24,000 to 34.328 million, lifting the employment rate by 0.1 percentage points to 75.0%. This increase was driven by a rise in full-time employment. The number of people holding second jobs fell in the latest quarter to 1.273 million, representing 3.7% of those in employment.

Meanwhile, the economic inactivity rate increased by 0.2 percentage points to 21.0%, as the number of economically inactive individuals rose by 95,000 to 9.116 million.