UK unemployment rate rises to 5.2% in last quarter of 2025 - ONS

UK unemployment came in higher than expected for the latest quarter, the Office for National Statistics reported on Tuesday.

The ILO unemployment rate came in at 5.2% for the three months ended December, up from 5.1% in the three months ended November, and above FXStreet-cited consensus, which forecast another 5.1% reading.

The ONS estimated that the number of payrolled employees in the UK fell by 121,000 or 0.4% between December 2024 and December 2025, and decreased by 6,000 or 0.0% between November 2025 and December 2025.

Further, giving an early estimate, the ONS estimates that the number of payrolled employees in the UK fell by 134,000 or 0.4% between January 2025 and January 2026, and decreased by 11,000 or 0.0% between December 2025 and January 2026.

For the last three months of 2025, the number of payrolled employees fell by 130,000 or 0.4% on-year, and by 46,000 or 0.2% compared with the prior quarter.

Average earnings, including bonuses, increased 4.2% in the three months ended December, slowing from 4.6% in the three months ended November, and missing the 4.6% consensus estimate. Excluding bonuses, earnings growth slowed to 4.2% from 4.4%, but remained in line with consensus.

Copyright 2026 Alliance News Ltd. All Rights Reserved.