Wales no longer has the highest economic inactivity rate in the UK, according to the latest data from the Office for National Statistics (ONS). While unemployment has increased in Wales, it still remains slightly below the rate for the UK as a whole. The economic inactivity rate among working-age adults in Wales fell by 1.2% in the months between May and July this year, amounting to 520,000 people. However, this figure is still higher by 2.8% compared to the previous year.
Northern Ireland has now taken the lead with the highest percentage of economically inactive working-age adults at 27.5%. The UK as a whole saw a decrease in economic inactivity by 136,000, bringing the rate down to 21.9%, affecting around 9.28 million people. In Wales, the employment rate of 72.8% is higher than that of Northern Ireland at 72.5%, but lower than the UK average of 78.1%.
The unemployment rate in Wales has risen to 4%, an increase of 0.5%, with 58,000 people now classified as unemployed. Despite this increase, Wales still fares better than the UK average of 4.1%. Northern Ireland has the lowest unemployment rate in the UK at just 2%, while the north east of England has the highest at 5.6%.
Samuel Kurtz MS, Welsh Conservative Shadow Economy Minister, expressed concern over the rise in unemployment, attributing it to a lack of stable policymaking in Wales. He emphasized the need for a focus on creating more job opportunities through skills development and education to stimulate economic growth in the region.
The data also indicates a shift in Wales’ employment and economic landscape, with the country no longer boasting the lowest employment level. The focus now lies on addressing the challenges faced by the Welsh economy to encourage growth and create a more stable employment environment for its residents.