Danni Hewson, AJ Bell financial analyst, comments on employment and earnings from the ONS:
“It might seem odd to be looking back when so much of the focus over the past couple of weeks has been on the future but it is important to understand the scale of the economic jolt the country has had.
“Most of the data published by the ONS today is unsurprising but it does reinforce the huge challenges ahead. Whilst the unemployment rate fell a sliver for the three months to the end of February, early indicators suggest there was a further decrease in the number of employees on the payroll in March, down 56,000 from the previous month.
“Once again the data confirms that it’s the under 25s bearing the brunt of lockdown restrictions – just over half of those falling off payrolls in the past year have been in this age bracket. But the playing field is levelling off; vacancies in sectors like hospitality were up in March as businesses geared up for lockdown release.
“However, it’s important to remember these figures are still skewed by the hundreds of thousands of workers supported by the government’s furlough scheme. Whilst the hope is the majority of those will be reintegrated back into the workforce, hope doesn’t pay the bills. Until the temporary ends, the reality can only be weighed and considered.”
