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Birmingham 'suffers worst job loss rise'

Apr 14 2009

Birmingham, Leeds and Glasgow are the cities experiencing the biggest increases in job losses, a study from the Work Foundation shows.

Figures from the research consultancy show that the number of people claiming jobseeker's allowance in Birmingham rose from 5.3 per cent in February 2008 to 7.3 per cent in the same month this year.

In addition, the report reveals that claimants in Leeds jumped from 2.5 per cent to 4.3 per cent over the same period, while Glasgow saw an increase from 3.7 per cent to 5.2 per cent.

However, the study shows that London does not appear in the top ten cities with increasing unemployment despite job losses in the financial sector, with the list being dominated by the north, Scotland and areas with a traditional manufacturing base.

Naomi Clayton, senior researcher at the Work Foundation, comments: 'It is to be hoped that the forthcoming Budget focuses more attention on the large cities - Manchester, Leeds, Birmingham - that can drive the recovery, as well as recognising which areas need the most support to survive and prepare for better times.'

Last week, work and pensions secretary James Purnell unveiled a package to encourage firms to recruit more staff, including a £1,000 'golden handshake' for those which take on people who have been unemployed for more than six months and a £1,500 in-work training handout.

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