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Office for National Statistics reports drop in number of jobseekers allowance claimants

The number of people claiming jobseekers allowance has dropped for the first time in 21 months although, at 1.63 million, the number of claimants remains high.

According to figures from the Office for National Statistics, the number of people claiming jobseekers allowance fell by 6,300 on the month to 1.63 million. But the number of young people claiming jobseekers allowance fell only very slightly by 300 on the month. The number of young people classed as ILO unemployed (as defined by the International Labour Organisation) rose by 6,000 on the quarter to 952,000, but 276,000 of them are students in full-time education.

The statistics show the number of people in work has increased by 53,000 on the quarter.

Secretary of state for work and pensions Yvette Cooper said: "It is encouraging that there are more people in jobs as we get near to Christmas, and also that so many more young people have been helped. Government action is keeping unemployment much lower than in previous recessions.

"But it is still tough for a lot of people and we still expect unemployment to increase again in the new year. So we are determined to do more, supporting a total of 400,000 extra youth opportunities over the next 18 months."

And Samantha Weston, head of resourcing at Grant Thornton, added: "Today's figures show it is crucial for the Government to remain focused on getting young people back into the workplace. It remains to be seen whether the measures announced last week in the Pre-Budget Report will go far enough to turn back the tide of youth unemployment.

"The Government's announcement to halve the length of time the under-25s have to spend on jobseekers allowance before being offered a job or training is a welcome move. Training schemes help to equip young people with the necessary skills to prosper in their future careers.

"At Grant Thornton we have been running a school leavers scheme for several years and due to its success have doubled capacity this year. We have seen school leavers excel on the scheme and go on to manage their own teams, carry out international secondments and attain professional qualifications.

"There is no doubt that a significant investment is required in these hires but the benefits outweigh the costs. There is also a moral obligation not to turn our back on school leavers in the face of rising youth unemployment."