UK unemployment edges higher as inflation bites

UK unemployment rose further in the three months to the end of March, official data showed Tuesday, as elevated inflation weighs on the jobs market.

The rate increased to 3.9 percent from 3.8 percent in the three months to the end of February, the Office for National Statistics said in a statement.

"It's encouraging that the unemployment rate remains historically low but difficulty in finding staff and rising prices are a worry for many families and businesses," finance minister Jeremy Hunt said in reaction.


"That's why we must stick to our plan to halve inflation and help families with the cost of living, while delivering our childcare reforms and supporting older people and disabled people who want to work."

UK annual inflation remains stubbornly high above 10 percent as soaring food prices offset falling energy costs.