Unemployment remains steady as employment change surpasses expectations, while wage growth slows slightly below estimates.
The UK ILO unemployment rate remained at 4.9% in May, defying expectations of a rise to 5.0%. The prior month’s rate was also 4.9%, signaling stability in the labor market despite economic uncertainties.
Employment change reached 147k, exceeding the forecast of 80k and improving on April’s 100k gain. However, average weekly earnings grew 4.3% year-over-year, missing the 4.5% estimate, while ex-bonus earnings held steady at 3.4%. June payrolls fell by 4k, reversing a revised 3k gain in May.
The data suggests resilience in hiring but softer wage pressures, potentially easing inflation concerns for policymakers.