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Downturn: the number of unemployed brokers, management consultants, architects, lawyers, accountants and advertising managers claiming Jobseeker's Allowance has increased

One in 10 men on the dole in London’s job blackspots

Nicholas Cecil, Deputy Political Editor
17 Jun 2009


One in 10 men is claiming the dole in parts of London for the first time in a decade.

Today's figures show that London's poorer areas are faring worst, despite the fact that many of the job losses have been in the City and Docklands.

In Hackney South and Shoreditch 10.1 per cent of men and 7.4 per cent of the total population now depend on the £64.30 a week jobseeker's allowance.

The figures come on the day that the national unemployment total hit 2.26 million, a rise of 232,000 and the worst tally since the end of 1996.

The national unemployment rate is now 7.2 per cent.

Across London there are 214,167 people signing on, 4.2 per cent of the working population and almost two-thirds more than a year ago.

The worst 10 local areas are in a sweep of east London where unemployment has soared over the past year.

The lowest rates are in Kensington and Chelsea and Wimbledon, where the proportion of people signing on for jobseeker's allowance is still only 1.8 per cent.

The number of people out of work for a year or more rose to 515,000, up 54,000 from the previous period.

Margaret Eaton, chairman of the Local Government Association, said: “Parts of the country are facing different levels and types of unemployment.

“Former industrial areas have been hit by blue collar unemployment, while white collar job losses are rising at a much quicker rate in London and the South East.”

Union leaders said the rise revealed the real human cost of the recession at a time when official economic figures suggest that the worst of the downturn could be over.

Brendan Barber, general secretary of the Trades Union Congress, said: “[Employment figures] will take years, not months, to recover. In the recession of the Nineties, unemployment didn't begin falling until 18 months after the economy resumed growing.”

Figures published today by the Conservatives showed hundreds of chief executives and company directors have signed on for the jobseeker's'allowance in London and the South-East.

There were 570 directors and chief executives claiming the dole in April, a 200 per cent rise on a year earlier, as well as 625 architects, a 1,036 per cent rise.

There were 570 lawyers or solicitors claiming benefits, a 375 per cent rise.

Rises in financial workers on the dole included investment analysts, totalling 1,830 in April, up from 510 in a year, and brokers, up to 425 from 175.

The number of unemployed management consultants, accountants and advertising managers has also soared.

Reader views (36)

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For the first 26 weeks you are paid contribution based Job seekers allowance (which is not means tested)after that you are paid Income based job seekers allowance (which is means tested).

- Recently Made Redundant, London, 29/07/2009 14:43
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Thankfully after 12-13 weeks I have found a job, but after
visiting job centre plus to claim every 2 weeks I feel for
the those still unemployed.
You will find low paid and menial jobs stacked out with applicants on jobs displayed on the job centre terminals,
to the point that employers hang up their phone lines during the working day or if you do get through you will
find employers fobbing you off as they have too many applicants.
It will get worse.....the statutory redundancy pay is due to go up by £30 a week in Sept/Oct 2009 (just in time for the Labour conference.....)this will encourage
employers to shift potential staff before the deadline to avoid enhanced redundancy payouts.

- Gerry,London Uk, london uk, 17/07/2009 08:22
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Should we not count the people who have become long term sick and are on benifits as these have shot up since labour have been in power and are we going to count all these students what labour got to go to university and now have no hope of jobs

- Anon, leicestershire, 17/07/2009 07:22
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Very alarming situation. It is quite difficult to control near future. In spite of that more and more peoples are coming. It is a challenge to the Govt how to control it.
I just advise for God sake please "Stop the HUMAN KILLING projects around the global. Stop any aid or loan to Afghanistan or Pakistan etc etc. Stop fooling and cheating the peoples. Spend the money for human welfare project and get the good wished form themmmm".
GOD help us.

- M A Chishty, London, 17/07/2009 07:22
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There are LOADS of people who had top positions that do not come up on the unemployment radar.They are living on there savings or pay offs.Where will the NEW JOBS COME FROM ?

- Edwina, croydon, 17/07/2009 07:22
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Unemployment will continue to rise for some time yet and many companies will take time to recruit even when the financial situation improves as they will be uncertain that their growth will last.

- Mike M, Bedford England, 17/07/2009 07:22
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Every month highly misleading figures about unemployment appear as they have done since the 1970s.

I'll only believe politicians intend to reform when honest figures start appearing about both unemployment and the number of genuine vacancies. Taking account of how many hours a week are actually on offer.

- Mike Newland, London, England, 17/07/2009 07:22
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Wondering where the immigrant bashers are today ?

- R.Minto, London, 17/07/2009 07:22
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The only ones that I would love to see being unemployed are those sleazy and corrupt MPs and of course government and Gordon Brown.

- Max, Isleworth, 17/07/2009 07:22
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All the goverment and BOE cares about is the value of housing wealth

- Philip, Moscow RF, 17/07/2009 07:22
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Good time to stop immigration. Oh I forget, the EU will not let us !!

- Grim Reaper, Hell, 17/07/2009 07:22
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Philip, Moscow RF - Have to put you right - Only the Government cares.
The BOE has not been granted the powers by government which would have prevented the asset/housing boom. Eddie George brought this to Gordon Brown (in N.o 11) and he ignored it.

- Dave Davies, Basingstoke, Hants, 17/07/2009 07:22
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Good time to stop immigration. Oh I forget, the EU will not let us !!

- Grim Reaper, Hell

Bit of an ignorant, stupid response, eh Grim? While uncontrolled immigration is a serious problem in itself, it's a different matter entirely. I would safely bet that most of the 1 in 10 are white British men, probably dangerous dog owners and BNP voters, who won't even get off their chair to find work, or are probably too thick to be employed. Enough of this blinkered, scapegoat attitude that immigrants are to blame for everything. What next - immigrants to blame for crime caused by white caucasian British people? Perhaps hell is the best place for you to stay, given your attitude!

- Nowan King, London, 17/07/2009 07:22
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- Nowan King, London

'Perhaps hell is the best place for you to stay, given your attitude!'

Wow Nowan, just Wow! So anyone you don't agree with should be sent to hell. You sound like a psycho.

- Paul, London, 17/07/2009 07:22
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Peter, Hertford - I know!

- Dave Davies, Basingstoke, Hants, 17/07/2009 07:22
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If you think this is bad just wait until you see people like me & my friends who have been unemployed for over a year and live on savings not bothering the state as we have some pride left. When our savings run out (sooner or later they must) watch another massive surge upwards in these figures. Realworld figures are have probably passed 3M and climbing rapidly......

- Pj, London, England, 17/07/2009 07:22
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---Dave Davies, Basingstoke. Gordon Brown ignores EVERYBODY. Full stop

- Peter, Hertford, 17/07/2009 07:22
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is that bad the british economy?then come to Spain,blue collar workers have alot of problems to get a job.

- Javier, mungia,spain, 17/07/2009 07:22
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And still the EU sends us immigrants for benefits

- British Not Racist, Bracknell England, 17/07/2009 07:22
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Is the term "blackspot" not racist now?

- Albert Hall, hove england, 17/07/2009 07:22
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How can so many highly qualified professionals be claiming the Jobseeker's Allowance ? I thought that it was means tested with a cut-off point of £16,000 worth of savings.Hard to believe that Management Consultants, Architects, Chartered Accountants, Brokers, Financial Institution Managers etc. do not have that much stashed away. Is any check made when applicants 'sign on ?'

- Bill, Upper Norwood, 17/07/2009 07:22
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I came over to this country 42 years ago,having just retired a few years ago.During this time I have seen the Industrial base gradually eroded,even the Financial base is decimated because of greed,the Mps especially Darling made sure that all the controls were removed so that the bankers etc could line their pockets,the Mps joined in the free for all,everyday we hear how the system is being milked,it makes me very sad that idiots are now runing this country.Think about it,jobs that were done over here are being exported to the developing world,the border controls are removed so that all and sundry can come over here(benefit system,free health,free education),the younger generation indulge in binge drinking etc,What is the future? What was once agreat country is no more

- Benedicto Fernandes, harrow, 17/07/2009 07:22
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it must be remembered that the jobless figures are more than trebled due to the open door immigration policy which has flooded the country with peopole who in the main have no educaution or skills.Estern europenas say from Romanmia can just arrive and sighn on.

- Mark Armstrong, london. uk, 17/07/2009 07:22
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Don't worry: Boris will fix it...by - err - giving an amnesty to the estimated 400,000 illegals in London.
And this is a CONSERVATIVE! ...So what's he "conserving"?

- Croyboy, Croydon, 17/07/2009 07:22
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Why is it that when there is a problem with something in this country Labour ministers always quote other countries problems. We could not care less about other countries. Let us look after our own and let other countries look after their own

- Peter, Hertford, 17/07/2009 07:22
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No, Neil. The subject of the sentence is 'one', which by definition takes the singular. Simple.

- John Punshon, Milton Keynes, England, 17/07/2009 07:22
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Just think one mps stolen expenses would pay one persons dole for 30 years yeh I love equality, and why are they allowed to smoke in the house of commons bar, do they wear hard hats eye protection ear defenders and steel toe cap shoes instead to make up for the hse, of have they non breathing bar staff.

- Rob, Rock Ferry Wirral, 17/07/2009 07:22
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no it 41 pound per week

- Tom, ilford, 17/07/2009 07:22
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strikes me that entirely the wrong people are losing their jobs; should we not start with the duplicitous political snake oil salesman and numerous other pariahs that cling onto the fast dwindling reserves of taxpayers hard earned and quickly extracted cash.

- M.O'Brien, london.uk, 17/07/2009 07:22
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One of the main problems at the moment is the disproportionately high number of youths and mature workers who are unemployed.I would suggest that at the moment discrimination amongst employers is rife, against both young people with limited experience, but usually boundless enthusiasm, and older people with bags of experience, but who may be considered not worth hiring.

- Mikey, Tring, 17/07/2009 07:22
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The Nu Labor experiment from Gorden Bruun and Toniel Blair has dramatically failed. We are back to the economic professionals after the elections. When are the elections again it has been so long since the last ones!

- Jacqueline, Hampstead, London, 17/07/2009 07:22
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I imagine the reason that the richer areas are not claiming job seekers allowance is purely down to the fact that you cannot claim job seekers allowance if you have more than 6k in savings. Most city bankers with large bonuses or people receiving reduancy packages may not be eligible to claim - so the unemployment numbers could be significantly higher than those reported.

- Karen, London, 17/07/2009 07:22
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SCOTLAND HAD THE SAME BOTHER FOR 15 YEARS UNDER THE TORIES EVERYONE WAS THROWN ON THE SCRAP HEAP WHAT GOES AROUND COME AROUND ME THINKS BUT SERIOUSLY IT IS ALL SO SAD,THIS IS WHAT GORMLESS BROWN AND BLAIR DONE AND THEY TRY TO BLAME EVERYONE ELSE DEPLORABLE.

- James Fennessey, london, 17/07/2009 07:22
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I'm a careers adviser & pretty au fait with the labour market.I listen wryly to the government telling redundant professionals that they must 're-train.'
Re-train in what/as what? Many of my friends are well-educated with strings of letters after their names & years of professional experience/qualifications. Suddenly they are out of work-they are shell-shocked. What should they re-train as? Not everyone can be a teacher! They ask my advice & even I am a bit stumped. A lawyer can't quickly re-train to be an engineer! All my friends are already IT-expert, have loads of financial commitments & children to support.
Govt ministers need to stop issuing irritating platitudes that mean nothing.
Let's see a disgraced/de-selected MP re-train to be something useful- and set a practical example to everyone else.

- Careers Adviser, Colchester, 17/07/2009 07:22
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If the spin and waffle brigade are stating there are currently 2.2 million unemployed that means there are at least THREE MILLION UNEMPLOYED IN THE UK.

By the end of 2009 there will be OVER FOUR MILLION UNEMPLOYED IN THE UK.

By 2010 there will be FIVE MILLION UNEMPLOYED IN THE UK.

Does your local MP care a hoot?

NO. ALL THEY CARE ABOUT ARE THEIR OBSCENE EXPENSES.

- Reuben Camara, Morecambe, Lancashire, 17/07/2009 07:22
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Should read "One in ten men ARE claiming the dole" (my emphasis!)

- Neil, London, London UK, 17/07/2009 07:22
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