Published: Thursday, 19th March, 2009 3:30pm

Jobless rate soars

by Adam Hewitt

Comments (0) | Print | Email

NEW figures show the number of people out of work in Reading has doubled in the last year.

The shock statistics released yesterday revealed the total number of people claiming benefit in Reading borough rose from 1,719 in February 2008 to 3,444 last month, a 100.3% jump compared to 72% nationally. In the last four weeks alone, 689 people were added to the dole queue in the borough.

The national unemployment rate has just passed 2m for the first time in 12 years.

In Wokingham borough the number claiming benefit almost trebled from 583 in February 2008 to 1,696 last month, an increase of 190.9% - the third biggest rise among local authority areas in the south east behind Mole Valley and Vale of White Horse. A total of 370 were added in the past month in the borough.

In West Berkshire the number rose from 795 to 2,042 in the past year, with 511 in just the last month. In South Oxfordshire numbers rose from 553 to 1,429, with 252 added last month. Across the four local authorities there are 4,961 more jobless than a year ago.

CBI regional director for the Thames Valley Steve Rankin said: "These numbers are very discouraging. It's an indication of the grim times we are living through. I suspect a lot of the losses will be among the SMEs - smaller businesses - who suffer pretty badly and who don't have the cash to stay alive as markets shrink.

"There are no green shoots, no indication of an upturn yet but there is reason to believe that towards the end of this year and the beginning of next year, the economy in this part of the UK will start to turn the corner."

Reading East MP Rob Wilson said: "Across the country we've seen the largest ever rise in unemployment which demonstrates just how bad things are. Locally I've always said we're not immune, as some have argued, from what is going on elsewhere and these figures show that to be the case."

Reading West MP Martin Salter said: "Although unemployment in Reading is still below the national average, it's clear that the cold winds of this global recession are hitting out local economy hard. That's why it's important that all public agencies do everything they can to assist those suffering hardship as a result of the economic downturn."

Bob Walding, area director of the Learning and Skills Council, said businesses should invest in training to ensure they flourish when the downturn is over, rather than panicking and laying off swathes of their workforce.

He said: "Now more than ever, it is crucial for Thames Valley businesses to make a strategic investment in people through a commitment to training. To not do so will be potentially detrimental to the future success of a company."