YOUNG people are bearing the brunt as official figures today showed the jobless rate hit 5.1 per cent ahead of Budget.

The rate in the three months to October is the highest since early 2016 excluding the Covid era.

Office for National Statistics (ONS) data found unemployment rose by 85,000 among 18 to 24-year-olds over the period — the biggest increase since November 2022.

It rose by 47,000 for those aged between 25 and 34 and 28,000 higher for those aged 16 and 17.

Average regular wage growth also pulled back again, to 4.6 per cent over the period, ONS data revealed.

Total payrolled employees plunged by an estimated 38,000 — the biggest fall for five years — during November to 30.3 million, the figures showed.

TUC general secretary Paul Nowak said that “with unemployment rising and real wage growth slowing, the priority must be boosting demand.”

He urged the Bank of England to support the economy this week with a further interest rate cut to make it easier for firms to invest and households to spend.

“And with the effects of the recent economic slowdown continuing to feed into the labour market, it is vital that those who are out of work get the help they need,” he added.

“Experience of real work is best way to help young people who are starting out, and the new youth guarantee can be a major step forward for improving young people’s prospects.

“Young and disabled workers also need world class public services to give them the support and help they need to move into and stay in work, which is why ongoing government investment is so important.”

Work and Pensions Secretary Pat McFadden announced that former health secretary Alan Milburn will lead an investigation into the “whole issue of young people inactivity and work” to “go further and tackle the deep-rooted issues of our labour market.”

Work Foundation director Ben Harrison said: “On the day that the government has announced the Milburn Review into youth unemployment, these figures also lay bare the tough jobs market facing young people, and indicate policymakers must pick up the pace on boosting the number of secure, well-paid jobs through its industrial strategy and in rolling out additional tailored employment support to help people back into work quickly.”