Lee Anderson MP calls out Labour Government on Unemployment Rates
- Ashfield Reform UK
- 1 hour ago
- 3 min read
Unemployment in this country is getting worse. Lee Anderson MP has written to the Work and Pensions Secretary to demand urgent action.
Back in November Lee Anderson, Reform UK MP for Ashfield, wrote to the Secretary of State for Work and Pensions to highlight his concerns about unemployment in the UK.
New data shows the situation is only getting worse. Unemployment is at its highest rate in nearly 5 years, and youth unemployment it’s highest in over a decade.
There is a direct correlation between the Government’s policy decisions and this rise. Businesses are struggling under Labour’s relentless taxation, and many are choosing to pause recruiting as a result.
Lee Anderson has written again to the Work and Pensions Secretary to ask what urgent steps the Government is taking to address challenges facing business and improve employment rates.
You can read his letter below.
Dear Secretary of State,
Re: Unemployment rates
I am writing further to my letter in November on unemployment in Ashfield to share my concerns around the latest ONS unemployment data.
The ONS has said their recent data highlighted "weak hiring activity" in the UK and showed there are more people out of work that are now actively looking for jobs. Concerningly, the number of unemployed people per vacancy has now reached a new post-pandemic high. The ONS said redundancies increased by 11,000 to 145,000 in the final quarter of 2025. The data also showed the number of workers on payrolls fell by 6,000 in the three months to December and is estimated to have dropped by 11,000 in January. These might just be numbers to you, but they represent real people with a real desire and need to provide for themselves.
According to a survey from the Chartered Institute of Personnel and Development (CIPD), more than a third of employers say they are cutting hiring due to new workers' rights. In particular, businesses have said the increases in the National Living Wage have made it more expensive to take on younger employees. Employing youngsters used to be mutually beneficial. Young people could get their foot in the door and businesses could employ people with less experience for slightly less money. However, following recent changes, the unemployment rate now sits at 16.1% for 16-24s, which is the highest figure in over a decade. For 25-34s it is 4.7%, which is the highest since 2017. Meanwhile, wage growth has slowed. It’s no wonder more and more young people are claiming benefits.
Can you not see the direct correlation between your policy decisions and this data? The UK labour market is weakening on your watch and something needs to be done.
In your department’s response to my previous letter, the Minister said the Government would be introducing a Youth Guarantee to ensure every young person can access education, training, or help to find work and an additional £725 million for the Growth and Skills Levy. This is all well and good if there are jobs for young people to go into, but businesses are being suffocated by hiked up NI contributions, above-inflation increases in the minimum wage and increased energy costs. It’s unsurprising that so many businesses have paused or frozen recruitment.
We also can’t underestimate the impact of job losses and redundancies on workers of all ages. I have heard from people who have decades of experience but are still struggling to find work in this current climate. They are either too expensive for businesses to hire, or the job opportunities simply aren’t there. Either way, they’re stuck.
Most people want to do a decent day’s work, earn a fair wage, and live a comfortable life, but more people are finding this impossible. It isn’t right. I would be grateful if you could outline the urgent steps that you are going to take address the challenges facing businesses and to improve employment rates.
I look forward to your response.
Yours sincerely,
Lee Anderson MP
Member of Parliament for Ashfield