UK jobless rate unexpectedly increases in three months to March

The UK jobless rate was slightly higher than expected in March, moving back to 5%, data on Tuesday showed, though average earnings were higher than forecast.

The Office for National Statistics said the unemployment rate rose back to 5.0% in the three months to March, from 4.9% in the period to February. According to consensus cited by FXStreet, it had been expected to stay at 4.9%.

Average earnings, including bonuses, rose 4.1% on-year in the three months to March, picking up speed from 3.9% in February and topping consensus of a slowdown to 3.8%.

For regular earnings, pay growth cooled to 3.4% in the three months to March, from 3.6% in the three-month stretch to February. That figure was in line with consensus.

For the private sector alone, total pay growth picked up to 3.9% in three months to March from 3.6% in the period to February. For regular pay in the private sector, it cooled to 3.0% from 3.2%.

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