UK unemployment holds steady at 4.2%

LONDON

The unemployment rate in the UK has held firm at 4.2% for the three months leading up to October, according to the latest official data released on Tuesday.

Despite the stable unemployment reading, number of job vacancies exhibited a concerning decline, falling by 45,000 between September and November, figures by the Office for National Statistics (ONS) showed.

The number of economically inactive individuals also remained unchanged at 20.9%, underscoring a potential stalling in labor market recovery.

Regular pay growth eased to 7.3%, compared to last month's 7.7% growth and below market expectations of 7.4%.

"Our labour market figures continue to show a largely unchanged picture, with the proportions of people who are employed, unemployed or who are neither working nor looking for a job all little changed on the previous quarters," said ONS chief economist Darren Morgan.

"While annual growth in earnings remains high in cash terms, there are some signs that wage pressure might be easing overall. However, as inflation has been falling more quickly, pay continues to grow in real terms," he added.