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Unemployment likely to be higher and last for longer than Autumn Statement assumes

The Work Foundation

29 November 2011

Responding to the Chancellor’s Autumn Statement today, Ian Brinkley, director of The Work Foundation, said: “The Chancellor has signalled some of the right long-term priorities – investment in infrastructure, support for enterprise and more help for young people.

“However, there is little that will put demand into the economy in the short-term, and the longer term measures outlined are too small in scale. There is still too much reliance on a spontaneous revival of the private sector.

“There are huge risks this forecast will turn out worse than expected. The OBR’s outlook on jobs and unemployment looks far too optimistic. Unemployment is likely to get higher and remain higher than the forecasts assume.”

Notes to editors
  • The OBR forecasts that the unemployment rate will peak at 8.7% (around 2.8 million people) towards the end of 2012, and will fall quickly from that point onwards.
  • Ian Brinkley is available for interviews, briefings and written comment.
  • The Work Foundation will be holding an Autumn Statement debrief on 30th November from 18.30 – 20.00. For further details please contact the press team on the below number.
  • The Work Foundation aims to be the leading independent authority internationally on work and its future, influencing policy and practice for the benefit of society. The Work Foundation is part of Lancaster University – an alliance that enables both organisations to further enhance their impact. 
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