Unemployment drops by 200

The number of people in the dole queue in Oldham has fallen by almost 200 in the last month.

There are now 7,186 claiming job seekers allowance (JSA) — down from 7,371 the previous month, and 7,603 in February.

A breakdown of the Office for National Statistics figures show 4,195 people had been claiming the benefit for less than six months. Just 1,315 have claimed for more than a year. Nationally, numbers claiming JSA fell by 27,100 to 1.52 million — a much sharper fall than expected.

However, unemployment across the country rose to 2.51 million during the three months to March, up 53,000 on the previous count.

Oldham East and Saddleworth MP Phil Woolas said: “Oldham’s figures are more evidence of the economic recovery. It is very fragile and this makes the coalition Government’s emergency budget crucial to Oldham’s future. I will be campaigning to retain the jobs guarantee for Oldham.”

New Chancellor of the Exchequer George Osborne said: “No modern government has inherited such a difficult economic situation from its predecessor. The rise in unemployment is a confirmation of that and we know that we have the largest budget deficit in Europe.

“There is going to be a significant acceleration in the reduction of the structural budget deficit. We are also going to stop Labour’s jobs tax and send a signal that Britain is open for business.

“We are going to make reforms to our tax system so that it is fairer for people on lower and middle incomes, and we’re going to undertake long-term structural reforms of the banking system, of education and of welfare so that we have an economy that works for everyone.”

But Labour’s former Pensions Secretary Yvette Cooper said government intervention had prevented higher levels of unemployment.