The UK unemployment rate rose to its highest level in almost five years in the fourth quarter of 2020 as the country was under the re-implementation of coronavirus closure.
At the opening of the European session, the Office of National Statistics (ONS) reported that the UK unemployment rate rose to 5.1% in the last three months of 2020, the highest since the first quarter of 2016.
However, this figure is seen to be still much lower than expected if not for the coronavirus employment support scheme by the government.
This latest reading will increase the pressure on Prime Minister Boris Johnson to fulfill his promise to do whatever it takes to support jobs and businesses through the crisis.
When announcing the gradual easing of sanctions on Monday, Johnson gave a clear signal that Finance Minister Rishi Sunak would use his budget on March 3 to extend government support which would end soon.
Unemployment in the UK has been reduced by tens of billions of wage subsidies, of which it still supports almost 4 million jobs at the end of last year following the closure of the second coronavirus which has affected many.
Extra time for further programs after 30 April may help the UK to avoid losing more jobs as analysts predict.
