North experiencing worst unemployment levels in 25 years

The North of England is experiencing levels of unemployment not seen since 1994, according to a new report.

The report by the leading think tank IPPR North warns more than 657,000 people claimed unemployment-related benefits in the North in October.

It adds unemployment is especially concentrated in Northern cities and coastal towns with Blackpool, Middlesbrough and Hull, which are currently under tier 3 restrictions.

In its annual health-check of the region’s economy, the report also argues that the UK entered a global pandemic with deep, growing divides caused by decades of centralisation and 10 years of austerity.

It claims there are fewer job opportunities in the North compared to the rest of England and 1.5m Northern workers are paid less than the real living wage.

It adds 40% of women who work in the North are paid less than the real living wage.

And it states that rates of child poverty are higher in the North than across England, with around one in three Northern children lived in poverty.

This is about 5% higher than the rate for the rest of England excluding London- this gap has opened up within the last decade, the report finds.

‘The government was elected on a promise to ‘level up’ places like the North,’ said IPPR North director, Sarah Longlands.

‘But one year on, they don’t have a plan to reduce inequalities between and within regions in England, and the inadequate, centrally controlled, competitive “levelling up fund” announced in the Spending Review simply won’t cut it.’

‘If we are to build a better future, we need to focus on people, asking ‘who benefits?’ from policy decisions,’ she added.

‘From our research we can see that many people, particularly those in work and children, are not benefitting from them. Here in the North we can and will power up, level up, rise up together- but every moment that we don’t have the power and resources we need to do this, peoples’ lives are affected. This is a wake-up call. Is the government listening?’

Responding to the report, the Joseph Rowntree Foundation’s head of policy and partnerships, Mike Hawking, said: ‘The current scale of injustice in our economy is intolerable. To restore people’s faith that change is possible, we must properly empower and resource local leaders who understand the specific challenges of their areas. Only with bold action from national and local governments working effectively with employers and communities will we break the tight grip of poverty on the North.’

Photo Credit – AD_Images (Pixabay)