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North East LEP reaction to ONS regional labour market statistics

The North East Local Enterprise Partnership’s Chief Executive, Helen Golightly OBE, has commented on today’s regional labour market statistics, released by the Office for National Statistics (ONS).

The release includes data for the North East statistical region for the three-month period of May to July 2023. The region includes the North East LEP area and Tees Valley.

Helen Golightly OBE, Chief Executive of the North East Local Enterprise Partnership (North East LEP), said: “Despite a rise in the headline unemployment rate in the latest figures, the North East labour market continues to perform well, with both our employment and economic inactivity rates significantly improved on a year ago. That’s testament to North East businesses, who have performed remarkably, even in the face of wider uncertainty.”

The May to July employment total in the North East region was more than 49,000 higher than in the same period of 2022. The working age employment rate increased by 2.7 percentage points over the year, from around 71.4% to 74.1%, the largest increase among the nine English regions. The rise in employment was accompanied by a decrease of about 55,000 in the number of working age economically inactive people, who had been absent from the labour market a year earlier. The number of unemployed people in the North East increased by just over 9,000 in the year.

Helen Golightly continued: “The longer term figures give us cause for cautious optimism, but we need to keep a close eye on the latest figures to see whether the increase in unemployment is short term volatility or the start of a less positive trend. We know businesses are facing significant headwinds – including inflation, which is likely to remain high, and the expectation of further interest rate rises.

“As a region where retail is a hugely important sector, we also know the difficulties faced nationally by Wilko will be echoed for others in the industry, and the recent news of job losses and store closures will create a big hole in many of our regional high streets. It’s a reminder of how important it is to continue to support our local town centres and to focus on building the right environment for businesses to succeed, both now and for the long term.”

Further labour market analysis can be found on the North East Evidence Hub.

Home / labour market

North East LEP reaction to ONS regional labour market statistics

The North East Local Enterprise Partnership’s Chief Executive, Helen Golightly OBE, has commented on today’s regional labour market statistics, released by the Office for National Statistics (ONS).

The release includes data for the North East statistical region for the second quarter of 2023 (March to June). The region includes the North East Local Enterprise Partnership (North East LEP) area and Tees Valley.

Helen Golightly OBE, Chief Executive of the North East LEP, said: “The North East jobs market has made incredible progress over the past year. Today’s data shows that employment in the North East region has increased by over 60,000 in the past 12 months. Although still lower than England as a whole, the working age employment rate is at its highest level since comparable records started over thirty years ago. The North East unemployment and working age economic inactivity rates are at their lowest levels.”

“It’s particularly pleasing that almost three-quarters of the increase in the North East’s employment in the last year has been due to increased female employment.”

“But we know there are still issues to address. Employment among male workers aged 25 to 34 and 50 to 64 decreased over the year, there has been a continued increase in long term sickness, and last week’s publication of the Local Skill Improvement Plan for North of Tyne tells us there are still skills gaps which need addressing.”

“The improvement we’ve seen is testament to North East businesses, who continue to create jobs in the face of difficult economic conditions. For our part, we at the North East LEP remain committed to supporting the creation of more and better jobs in the region, and we’ll be working to make sure improvements are felt across the region, that the voice of business is heard as we prepare for greater devolution in the North East, and that the region’s firms have the best possible environment in which to thrive.”  

Further labour market analysis can be found on the North East Evidence Hub.

Home / labour market

North East LEP reaction to ONS regional labour market statistics

The North East Local Enterprise Partnership’s Chief Executive, Helen Golightly OBE, has commented on today’s regional labour market statistics, released by the Office for National Statistics (ONS).

The release includes quarterly data for the North East region for the three-month period March to May 2023. The region includes the North East LEP area and Tees Valley.

Helen Golightly OBE, Chief Executive of the North East Local Enterprise Partnership (North East LEP), said:

“These figures show a continuation of the good news from last month, with our region’s unemployment rate falling at the fastest rate in the country, and remaining below the UK average, while our economic inactivity rate is also falling. All together this means there are nearly 55,000 more people in work in the region than a year ago.

“Our employment rate is still low, but improvement has meant it now matches that of London at 74.5% of the working age population, while our unemployment rate is the joint third lowest in England, matching the North West and beaten only by the South West and the East Midlands.

“But, it’s important for us to remember these headline figures are just a snapshot and there is plenty of work still to be done. While our employment rate for women matches the English average, employment amongst North East men is far below average. Equally, despite the progress we’ve made, our economic inactivity figure is still the highest in England.

“A tight labour market with low unemployment also brings different challenges for employers, and can make it difficult to find the right talent for their teams. At the LEP we’ll stay focused on working with our partners to deliver more and better jobs across the region, because it’s only through that collaboration and laser focus that we can improve the environment for businesses in the region.

“We need to work together to get people back into the labour market, and address big issues like skills shortages, the health of our workforce, and unlocking the economic potential of the pursuit of net zero.”

Home / labour market

North East LEP reaction to ONS regional labour market statistics

The North East Local Enterprise Partnership’s Chief Executive, Helen Golightly OBE, has commented on today’s regional labour market statistics, released by the Office for National Statistics (ONS).

The release includes quarterly data for the North East statistical region for the three month period February to April 2023. The region includes the North East LEP area and Tees Valley.

Helen Golightly OBE, Chief Executive of the North East Local Enterprise Partnership (North East LEP), said: “Today’s figures show that, in the latest quarter, the North East region’s unemployment rate was below the English average for the first time since comparable data started being collected over 30 years ago.

“There are over 50,000 more people in work in the region than a year ago and the unemployment rate for women in the North East was the lowest of all nine English regions. Over the past 12 months, we’ve seen the biggest increase of any region in our overall employment rate and the biggest falls in unemployment and economic inactivity rates.

“But, the progress that these statistics represent is not yet shared throughout all workers – the North East’s male employment rate was the lowest among the regions, for example.

“There’s also lots we don’t know yet, including whether high national levels of long term ill health are mirrored in the region or how much of the fall in unemployment is driven by underemployment and part time work when people would rather be working full time.

“At the North East LEP, we’re focused not just on jobs, but on more and better jobs so we’ll be keeping a watchful eye over the next few months to make sure this positive news translates into well-paid, productive jobs in the key sectors which will unlock long-term economic growth for the North East.”

Further labour market analysis can be found on the North East Evidence Hub (www.evidencehub.northeastlep.co.uk). 

Home / labour market

North East LEP reaction to ONS regional labour market statistics

The North East Local Enterprise Partnership’s Chief Executive, Helen Golightly OBE, has commented on today’s regional labour market statistics, released by the Office for National Statistics (ONS). The data updates on key indicators within the Strategic Economic Plan.

Today’s release includes quarterly data for the North East region (for the period October to December 2022). The region includes the North East LEP area and Tees Valley.

Helen Golightly OBE, Chief Executive of the North East Local Enterprise Partnership (North East LEP), said: “The data released today takes us to the end of 2022, and shows there was rapid slowing in the labour market in the North East in the three months before Christmas, after previous progress across the year. The North East was not alone in this trend, with other regions seeing similar patterns. A distinctive feature of this data is the relative decline in the position of men, with many leaving the labour force over the year, whilst women’s employment increased. 

“We remained at the bottom of the table for overall employment and unemployment rates. Although the formal unemployment rate fell, our ongoing concern about people leaving the labour force altogether was reinforced as we saw the third highest increase in the working age inactivity rate over the year amongst the nine English regions.

“This is likely an indication of the ongoing pressures in the economy given the impact of higher costs of living, and follows on from the data we reported in the previous month’s figures showing a drop off in demand for goods and services amongst consumers, and for labour amongst smaller businesses. 

“Looking at some of the key points of detail, compared with the same period in 2021, total North East employment increased by 9,400 and unemployment was 14,600 lower. However, working age economic inactivity in the region was about 16,600 higher. Much of the increase in employment was amongst people aged over 65. 

“Other experimental regional labour market estimates by age group suggest that in the North East, compared to a year earlier, the largest increases in employment have been among women aged 25 to 34 and 50 to 64, whilst the largest decreases have been among males aged 25 to 34 and 35 to 49. Meanwhile, the largest increases in inactivity have been among men aged 35 to 49 and 50 to 64, and among women aged 16 to 24, while there has been a large increase in unemployment among males aged 25 to 34.”

Home / labour market

North East LEP reaction to ONS regional labour market statistics

The North East Local Enterprise Partnership’s Chief Executive, Helen Golightly OBE, has commented on today’s regional labour market statistics, released by the Office for National Statistics (ONS). The data updates on key indicators within the Strategic Economic Plan.

Today’s release includes quarterly data for the North East region (for the period September to November 2022). The region includes the North East LEP area and Tees Valley.

Helen Golightly OBE, Chief Executive of the North East Local Enterprise Partnership (North East LEP), said: “The data released today shows that there has been an annual growth in employment of 1% and quarter increase of 0.4%. Whilst the North East remained at the bottom of the tables for overall employment and unemployment rates, we saw the second largest annual improvement in both these indicators amongst the nine English regions.

“We are seeing more people coming out of economic inactivity and into the labour market, with similar numbers finding work and moving to unemployed status, and actively seeking employment. 

“This is probably an indication of the impact of higher costs of living with inflation at its highest level in recent years and people feeling the need to find ways of increasing their income.

“We can also see a drop off in demand for goods and services and for labour amongst businesses, particularly in smaller businesses. The latest regional vacancies data shows that online job adverts in the North East are only 5% higher than their pre-COVID benchmark, compared to 31% higher in November 2022. This indicates a declining confidence amongst businesses in the recruitment of new staff and will likely have contributed to an increase in those claiming out of work benefits in December.

“At this time, when people and businesses are focused on the cost of living and costs of doing business, it is notable that PAYE data released today saw pay rises averaging 6.4%. This was failing to keep pace with inflation caused by price increases in products including food and energy, which in real life terms sees a further net drop in incomes of 2.6% for the third quarter in a row. Private sector pay growth nationally was running at 7.2% compared with just 3.3% in the public sector.

“As we progress through the winter, the cost of living will continue to be an issue of concern for residents and employers and is likely to continue to impact on sectors of the economy which rely on discretionary spending. For example, entertainment and transport were the sectors which had seen the largest decline in employment in this quarter.”

Access all the latest labour market information on the North East Evidence Hub.

Home / labour market

North East LEP reaction to ONS regional labour market statistics

The North East Local Enterprise Partnership’s Chief Executive, Helen Golightly OBE, has commented on today’s regional labour market statistics, released by the Office for National Statistics (ONS). The data updates on key indicators within the Strategic Economic Plan.

Today’s release includes quarterly data for the North East region (for the period June to August 2022). The region includes the North East LEP area and Tees Valley.

Helen Golightly OBE, Chief Executive of the North East Local Enterprise Partnership (North East LEP), said: “The data released today shows the labour force in the North East is following a similar pattern to the rest of England.

“It is a cause for concern that both nationally and in the region we have seen the number of people in employment fall, unemployment fall and further growth in the number of people becoming economically inactive – where they are not looking for work.

“There is also evidence of a decline in the previous high rate of vacancies in the economy, with a particular impact on recruitment amongst small businesses employing fewer than 50 people.

“Nationally and regionally the labour market is slowing. There are currently 71.2% of people aged 16-64 in work, but the region still hasn’t recovered to pre-COVID levels of employment.

“At this time, people and businesses are focused on the cost of living and costs of doing business given rises in inflation and interest rates.

“PAYE data which has been released today shows that nationally employee pay continues to increase at a rate of 5.4% (excluding bonuses), at a time when costs of living in areas like energy and food are increasing at a higher rate. National data suggests that the impact on real terms pay is a decrease of about 3%. As we head into winter this will be an issue of great concern for both residents and employers.

“We welcome the decision by the Chancellor to bring forward the planned budget statement to the end of the month as it is clear that the economy requires ongoing support to return to sustainable growth and to provide support to businesses and residents through current uncertainty.”

Access all the latest labour market information on the North East Evidence Hub.

Home / labour market

North East LEP reaction to ONS regional labour market statistics

The North East Local Enterprise Partnership’s Chief Executive, Helen Golightly OBE, has commented on today’s regional labour market statistics, released by the Office for National Statistics (ONS). The data updates on key indicators within the Strategic Economic Plan. Today’s release includes quarterly data for the North East region (for the period April to June 2022). The region includes the North East LEP area and Tees Valley.

Helen Golightly OBE, Chief Executive of the North East Local Enterprise Partnership, said: “The data released today shows little change from the position last month. There has been a small increase in the working age employment rate over the last quarter, but a small decline in total employment for all age groups. More working age people have joined the labour force and are looking for work, which has led to a small rise in the unemployment rate, alongside a slightly larger decrease in the economic inactivity rate.

“Nationally, the labour market appears to be slowing. There is some evidence of a decline in the high rate of vacancies in the economy, with a particular impact on recruitment amongst small businesses employing fewer than 50 people.

“But the main focus at the moment will be on standards of living. PAYE data which has been released today, shows that the region’s median employee pay continues to increase at a similar rate to nationally, at a time when costs of living in areas like energy and food are increasing, leading to a real terms decrease in regular pay of about 3%. 

“We can surmise that the relatively static situation in the labour force is caused by ongoing uncertainty in the economy, with employers and employees waiting to see how the economic situation changes and how public policy develops in response. Without intervention, we can expect a difficult economic situation for local communities and businesses over the coming months with increasing prices impacting on costs, investment and employment.” 

Access all the latest labour market information on the North East Evidence Hub.

Home / labour market

North East Local Enterprise Partnership reaction to ONS regional labour market statistics

Today’s statistics cover the North East region, which includes the North East LEP area and Tees Valley Combined Authority area. The headline rates cover the period October to December 2021.


The North East Local Enterprise Partnership’s Chief Executive, Helen Golightly OBE, has commented on today’s regional labour market statistics, released by the Office for National Statistics (ONS). 

“Today’s statistics give us a post furlough picture for the first time. They show that there wasn’t significant disruption at the end of the furlough scheme, but the North East continues to struggle, particularly because of rising levels of economic inactivity where people have left the labour market and are no longer looking for work. 

“We have seen a decrease in unemployment, which would usually be good news as it means that there are fewer people looking for work, but in the last year, instead of moving into employment, people looking for work have moved into the economically inactive category.  

“The latest data does not show the reasons for increased inactivity, but it does highlight a particularly large decrease in employment among North East women in the last year, which is concerning. 

“The number of people claiming unemployment related benefits in the North East LEP area shows a monthly rise that is 6,000 higher than at the start of the pandemic. It’s the first time we have seen a rise since February 2021.  

“We should also be concerned as this data reflects the trajectory in other recent data. The latest regional export data for Q3 2021 saw the value of North East exports decline for the third consecutive quarter. North East exports are now 7% lower than they were two years ago. 

“We urge government to strongly focus its levelling up agenda on the needs of the North East. It is clear that whilst many other regions are moving ahead as they recover from COVID-19, the North East continues to face labour market challenges. 

“We believe levelling up the economy is the right thing to do, but the time is now to invest in the places that need it the most.”