Unemployment up to 2.62m

This morning’s UK unemployment figures were slightly worse than expected, if not disastrous for the UK and the Pound.

The headline rate is up to 8.3%, with 2.62m now unemployed. Worryingly the number of 16-24 year olds out of work is now above the 1m mark.

Analysts were expecting a rate of 8.2% so the figures have not come as a huge surprise, and consequently sterling has fallen back only slightly this morning, losing around half a cent against the Euro and US dollar.

The Bank of England’s quarterly inflation report is also due out this morning and any indications of further Quantitative Easing could peg sterling back further.