smallbusiness.co.uk: Helping your business think big

Unemployment has reached its highest level in 14 years. According to the Office for National Statistics, unemployment increased by 220,000 in the three months to June to 2.44 million, taking the jobless rate to 7.8 per cent.

Brendan Barber, general secretary at the Trades Union Congress, says: ‘Despite the talk of green shoots, unemployment continues to rise at an alarming rate - the fourth highest quarterly rise on record. Today's figures show we are still some way off recovery.’

David Breger, partner at HW Fisher & Company Chartered Accountants, says: ‘Crucially, even at those companies that are weathering the storm, the watchword is still caution and recruitment is way down the agenda.’

According to a survey by the Chartered Institute of Personnel and Development (CIPD), the rate of job losses is set to slow as private sector demand for staff stabilises.