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Purnell: Jobless rise slower than Nineties
Nicholas Cecil, Chief Political Correspondent17.03.09
A cabinet minister today claimed that unemployment is rising slower than in the last recession.
Work Secretary James Purnell argued that tougher measures to help people get back into employment meant the jobless total was increasing at a slower rate than during the recession in the early Nineties. Official figures due out tomorrow are expected to show unemployment rising to over two million with London the worst hit because of the impact the economic downturn has on the City.
However, a report today by Oxford Economics argued that the North and the Midlands will also suffer from the recession which will see 1.3 million jobs lost between last year and next year.
The report said that, although employment levels in London and the South-East could recover to pre-recession levels within five years the same recovery could take more than a decade in the North, the West Midlands and Wales.
Unemployment actually fell by 33,000 in London year-on-year in the last three months of last year, according to the Labour Force Survey. Mr Purnell stressed his officials had concluded that the unemployment count was "lower than it would have been had the Nineties' trends been repeated".
Mr Purnell is backing a call for thousands of blind people to get an extra £1,500 a year in benefits.
The move to make those with severe visual impairment eligible for the higher rate of Disability Living Allowance as Labour MPs are gearing up to rebel over some of the hardline measures in the Government's Welfare Reform Bill.
Reader views (10)
Now that we own some of our high street banks, perhaps the major shareholder (i.e. the government) could tell them to close down their offshore call centres and create some jobs back in the UK?
- Charles, London UK
Yes agree with you Simon, P45 all round, cant wait.
- Yvonne, harrow Weald
I am sure that all those who have recently lost their jobs will be greatly comforted by that Mr Purnell. When are you going to find something useful to say and do?
- James Elliott, Eastbourne UK
doubtless he's talking about the corridors of power, but a reshuffle is always on the cards and then he may change his tune as the ill wind of redundancy blows through the dusty houses of parliament and other assorted cabinet offices.
- M.O'Brien, london.uk
Oh, thats alright then. You can raise income tax after all.
- Dave Davies, Basingstoke, Hants
Wait until the day after the next election Mr Purnell and you will see that the number rises quite dramatically amongst you and your colleagues.
- Simon R, london
And soon you'll be able to add a couple of hundred Labour MP's to the figures. Unemployed and unemployable! And good riddance!
- Chris, Brighton, England
Unemployment is rising, but less fast than in the 90s.
- Nobby Clark, Perth, Scotland
And of course everybody will believe this government, because they never lie about anything or fiddle the figures.
Lies, damn lies and statistics.
- Frank, Home Counties, England.
What on earth is the point in comparing the 90's to now?
Is this recession similar to the 90's? Talk about comparing apples with pears.
Purnell is just flexing his muscles and wanting to suggest that he is "doing something".
- Ian Gilbertson, Newcastle
