Yorkshire near top of UK jobless table

The number of people claiming Jobseeker’s Allowance in December increased by 1,200 to 1.6 million, the highest for a year after the 10th consecutive monthly rise.

The north of the UK has been particularly badly affected by joblessness, with Yorkshire and the Humber suffering the second highest rate of regional unemployment.

The region also suffered a 0.6 per cent decrease in the employment rate – the second largest in the country – despite an increase in people in employment nationally.

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The news that clothing chain Peacocks has gone into administration, putting 9,600 jobs on the line, will add to fears over the impact of joblessness.

Peacocks owns 611 UK stores and 49 concessions. All stores remain open as a buyer is sought for the business and no redundancies have been made.

Its value fashion chain Bonmarche is not affected. KPMG said Bonmarche, which employs 3,800 staff with head offices and warehouse distribution based in Wakefield, has not entered administration, though it filed a notice of intent on Monday, and a buyer is still being sought.

Think tank IPPR North urged the Government to target help at struggling regions in the North and to extend the youth contract – a programme which offers work experience for young people out of work for over three months.

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IPPR North director Ed Cox said: “These figures show one thing is clear: there must be a greater focus on the North if the UK economy is firing on all cylinders.

“The government should guarantee a job for everyone who has been unemployed for more than a year paid at the minimum wage, targeted at the worst affected areas first.”

Martina Milburn, chief executive of youth charity the Prince’s Trust, said that Britain’s young people are losing hope for the future. “Unemployment can have a devastating effect, not just on future job and wage prospects, but also damaging well-being and mental health, “ she said.

“Our research shows that unemployed young people are feeling less confident about the future than they did this time last year.”

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Other figures from the Office of National Statistics showed there was a 44,000 rise in the number of people working part-time or for themselves because they could not find a full-time job.

Comment: Page 12.