The UK unemployment rate in the three months to October has increased to 5.1%, according to official figures.
That marked a rise from 5% for the three months to September.
The number of people in the UK who are unemployed is now at its highest level since January 2021, just below the peak rate seen during the Covid-19 pandemic.
The Office for National Statistics (ONS) said the data reflected a “subdued labour market”.
Average wage growth was 4.6%, excluding bonuses, between August and October 2025, but headed in different directions depending on whether you were employed by a company or the state.
Earnings growth in private companies slowed from 4.2% to 3.9% but accelerated for the public sector employees from 6.6% to 7.6%, compared with the prior three-month period.
Wage growth, excluding bonuses, still remains higher than the rate of price increases in the economy.
Estimates for employees on company payrolls dropped by 149,000, or 0.5%, in October compared with the previous year.
Liz McKeown, the ONS director of economic statistics, said the figures indicate “a weakening labour market”.
“The number of employees on payroll has fallen again, reflecting subdued hiring activity.
