April data shows UK unemployment dropping below expectations while wage growth accelerates, signaling tight labor market conditions.
The UK’s ILO unemployment rate declined to 4.9% in April, below the 5.0% forecast and matching the prior month’s revised figure. Employment change reached 100k, exceeding the 75k estimate and marking a slowdown from March’s 148k gain.
Average weekly earnings rose 4.4% in the three months to April, above the 4.0% consensus and up from a revised 4.4% prior. Excluding bonuses, earnings grew 3.4%, matching expectations and the prior period. May payrolls added 2k jobs, a sharp rebound from April’s revised 53k decline.
The data underscores persistent wage pressures amid a still-tight labor market, potentially influencing Bank of England policy decisions.