Job losses resulting from the economic downturn have pushed up unemployment.
UK unemployment has risen to 1.79 million, according to official figures. Difficult economic conditions have prompted a number of job losses, which has led to a 164,000 increase in the figure over the last month - the biggest rise in 17 years. The official unemployment rate now stands at 5.7 percent.
Numbers could rise further still, according to analysts, who believe the worst of the economic downturn is yet to come and that many more people will lose their jobs. John Philpott, chief economist at the Chartered Institute of Personnel and Development, told the BBC that he expects unemployment to rise above two million over the coming months.
In response to the figures, the Department for Work and Pensions has announced extra funding to retrain unemployed people and those facing redundancy to help them get back into work. A total of £100 million has been pledged, which according to ministers will be carefully targeted to ensure people working in sectors that are experiencing significant job losses are the first to benefit.
The news is likely to influence the stock markets, which rose yesterday following announcements of government bailouts. Today, the FTSE 100 index had fallen over 3.5 percent by 10:45 BST.
