"Looking ahead, it may be difficult to sustain the downward trend in unemployment"
- Ernst & Young
The jobless rate in the U.K. fell in May as the Olympics have created jobs, signalling a slight improvement in the recession-hit economy. According to the Office for National Statistics, the unemployment rate fell to 8.1%, while the number of people seeking unemployment benefits somewhat rose in June due to a change in benefit rules.
Employment grew healthily by 181 000 in three months to May to 29.354 million, being the highest level since 2008.
However, gains in employment is still under pressure by the ailing economy in the U.K.
"Looking ahead, it may be difficult to sustain the downward trend in unemployment. Recent activity indicators have been sluggish, implying that the private sector will find it increasingly difficult to create jobs," said Nida Ali at Ernst & Young's Item club.
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