Millions of Britons are unemployed; who are they?

Ten million individuals of working age, or almost a quarter of the population, are unemployed at the moment.

Chancellor Jeremy Hunt outlined a number of initiatives intended to motivate individuals to obtain employment or expand their hours in the Budget.

Number of people unemployed

In December 2022, there were officially 1.3 million people without employment in the UK, representing a 3.7% unemployment rate—the lowest level since the 1970s.

However, of the 10 million working-age persons (aged 16–64) who don't have a paid job, the jobless make up a very tiny portion.

Nine million of them are not classified as being "unemployed". That's because they aren't readily accessible for employment or actively seeking employment.

These individuals are referred to be "economically inactive" instead.

In fact, there are 1.7 million more of them who claim they want a job than there are individuals who are jobless as of today.

Who doesn't have a job, and why?

The primary causes of not working change with age.

According to the Office for National Statistics (ONS), students make up the majority of the 2.7 million "inactive" adults under 25. Most of them are unwilling to work.

Other age groups experience various things.

Illness and early retirement are the primary causes of the 3.5 million over-50s who are not working. Almost no one who has taken an early retirement indicates a desire to work again.

1.1 million individuals in the 25–49 age group (1 million of them who are women) do not have a job due to care obligations.

More than twice as many people with disabilities—who are of working age—have no paid employment as do the rest of the population.

One-fourth of people who are ill or providing care say they desire a job.

Are these statistics a problem?

Many people have chosen to pursue other activities, such as retirement, education, or caregiving.

However, others, do not always have an option.

Some individuals are too ill to work, others cannot afford childcare, and still, others have given up looking for employment.

The number of individuals without jobs has a wider impact.

A decreased workforce results in more spending on benefits and less tax revenue to support programs like the NHS.

Benefit recipients often have less money to spend than those who are employed, which also correlates to lower high-street shopping.

This in turn hurts businesses and the number of employees they desire to hire.

Which then may have an impact on the number of jobs that are readily available for individuals looking for employment.

(Sources: bbc.co.uk, ons.gov.uk)