UK unemployment rate rises to 5% as jobs market weakens

The rate of UK unemployment has risen to 5% in the three months to September, showing signs the jobs market has weakened, according to new official figures.

It is the highest rate since 2021, according to the Office for National Statistics (ONS).

Average wage growth was 4.6% in the third quarter, down from 4.7% over the three months to August.

“Taken together, these figures point to a weakening labour market,” said Liz McKeown, director of economic statistics for the ONS.

In the three months to September 2025, the number of payrolled employees also fell by 109,000 (0.4%) over a year.

The ONS data also shows nearly 1.7m people are claiming unemployment benefits, a slight decrease on the figure from a year ago.

Responding to the latest statistics, Work and Pensions Secretary Pat McFadden said: “Over 329,000 more people have moved into work this year already, but today’s figures are exactly why we’re stepping up our plan to get Britain working.”