UK August ILO unemployment rate 4.8% vs 4.7% expected

• Prior 4.7%
• Employment change 91k vs 123k expected
• Prior 232k
• Average weekly earnings +5.0% vs +4.7% 3m/y expected
• Prior +4.7%; revised to +4.8%
• Average weekly earnings ex bonus +4.7% vs +4.7% 3m/y expected
• Prior +4.8%
• September payrolls change -10k
• Prior -8k; revised to 10k

It’s a mixed report with the jobless rate ticking higher with employment change coming in softer than expected. Meanwhile, wage pressures are seen stronger while the payrolls figure once again slumped in September. On the latter, there is some good news in a positive revision to the August number at least.

But overall, the job figures point to some further softening in the labour market. And while wage pressures might seem to stand out at first glance, they were less pronounced in real terms (after accounting for inflation).

Total pay (in real terms) was seen at +0.8% in the three months to August (up from +0.6%) while regular pay (in real terms) actually fell to +0.6% in the three months to August (down from +0.7%).

All in all, it’s not something that will get the BOE jumping to react to as the central bank continues to bide its time before the next move.

This article was written by Justin Low at investinglive.com.