Unemployment in West Midlands is highest outside London, according to latest figures

New figures, published by the Office for National Statistics (ONS) today (Tuesday November 11), covering July to September 2025, showed unemployment stands at six per cent in the West Midlands - down slightly from last month’s figure of 6.2 per cent.

The unemployment rate is the highest of all UK regions, apart from London, the data shows.

In the West Midlands, 190,000 people were listed as unemployed – up 0.2 per cent on the quarter and 1.5 per cent year on year; while the rate of economic inactivity in the region stands at 21.4 per cent - down 0.5 per cent on the quarter and 1.1 year on year - with 396,000 people in non-working households.

Meanwhile, 2.96 million people in the region were employed (73.7 per cent) - with 3.15 million listed as economically active.(78.6 per cent).

Nationally, according to the ONS, the UK unemployment rate for people aged 16 years and over was five per cent (July to September 2025) - up on the latest quarter and above estimates of a year ago; while the UK economic inactivity rate for people aged 16 to 64 was estimated at 21 per cent - largely unchanged compared to the last quarter but below estimates of a year ago. The UK employment rate was 75 per cent - down on the latest quarter but above the year on year figure. London has the highest unemployment rate at 6.5 per cent, while the South West had the highest employment rate at 79.5 per cent.

Secretary of State for Work and Pensions, Pat McFadden, who represents Wolverhampton South West, said of the figures: “Over 329,000 more people have moved into work this year already, but today’s figures are exactly why we’re stepping up our plan to Get Britain Working.

“We’ve introduced the most ambitious employment reforms in a generation to modernise jobcentres, expand youth hubs and tackle ill-health through stronger partnerships with employers.

“And this week we’re going further by launching an independent investigation that will bolster our drive to ensure all young people are earning or learning.

“We’re backing businesses to grow and create jobs by cutting red tape, signing trade deals and securing hundreds of billions in investment, which helped make the UK the fastest growing economy in the G7 in the first half of this year.”

Emily Stubbs, head of policy at Greater Birmingham Chambers of Commerce, said: “Unemployment continued to rise over the quarter, contributing to a significant increase since the same period last year. Nevertheless, employment also edged up slightly.

“It appears this has been largely driven by previously economically inactive residents moving back into the labour market and struggling to find work, as vacancies remain virtually unchanged on the quarter. 

“While the rate of wage growth with bonuses has slowed again, this will be of little reassurance to employers, as it continues to outpace inflation.

“Our latest Quarterly Business Report surveying found that labour costs - particularly as a result of employer National Insurance increases - remain the biggest source of price pressures for Greater Birmingham businesses, impacting hiring and investment intentions.

“With job vacancies static, still-high levels of economic inactivity and £5bn of extra employment legislation around the corner, the Budget must give firms a reason to be optimistic.  

“Businesses need confidence to boost investment and drive the economic growth we all want to see. 

“The number one priority for firms is that no fresh tax burdens are placed on them in the Budget. The Chancellor must also use her statement to invest in workforce health and skills.”

The Department for Work and Pensions said the number of people in the West Midlands claiming work related benefits currently stands at 202,475, a reduction of four per cent in a calendar year.

Youth unemployment has risen to 41, 475 claimants in a calendar year but the 50-plus claimant count has reduced by nine per cent to 4,005 less than a year ago.

In Dudley 9,490 were listed as claiming work related benefits in October - down seven per cent year on year. Sandwell's claimant count stood at 15,260 (down four per cent compared to last year), in Walsall 10,545 people were on work related benefits - eight per cent less than a year earlier, and in Wolverhampton the claimant count was 11,945 people - down 10 per cent. Apart from Wolverhampton all areas saw a slight rise in the number of 18-24-year-olds claiming work related benefits, while the number of people aged 50-plus on the claimant list fell across all of the Black Country boroughs.

The DWP is encouraging Black Country employers to take advantage of free, specialist recruitment support through Jobcentre Plus.

Leonnie Conway-Finnikin, employer and partnership manager, said: “We invite businesses into our offices to host job fairs and conduct face-to-face interviews, helping them connect directly with the right candidates to fill their vacancies. This is a great opportunity to streamline recruitment and reduce costs whether they have one, or many vacancies. 

"Employers interested in joining upcoming job fairs or accessing tailored recruitment support should contact their local Jobcentre Employer Adviser."

She urged jobseekers to visit the https://www.gov.uk/find-a-job website and said: “For jobseekers, we have hundreds of vacancies along with the Christmas and New Year roles you’d expect at this year time year, from retail and hospitality to logistics and care. Young people and people facing employment barriers can also benefit from one-to-one guidance via Youth Employability Coaches and financial help through the Flexible Support Fund, which covers costs like travel, equipment, and clothing for work or training."

The DWP said within the last 30 days there have been 536 vacancies advertised in Wolverhampton,  321 in Walsall, 240 in Sandwell and 271 in Dudley borough.

Events coming up for jobseekers include a Work Experience Event at Sandwell Youth Hub on November 24, which aims to bringing together employers and jobseekers to explore meaningful work experience opportunities; a 50 Plus Employment Event at Bloxwich Library on Thursday November 27, from 10am to 1pm; and a Recruitment and Skills Event at Wolverhampton Jobcentre on November 27, as part of Older Workers Week, targeting people aged 50-plus seeking work.

Employment advisors will also offer seasonal recruitment information sessions across the Wolverhampton Jobcentre Group, highlighting opportunities in hospitality, logistics, and retail in the run-up to Christmas and beyond. And Serco is attending the Bilston Youth Hub at Wolverhampton College on November 18 to promote its Digital Skill Bootcamp to 18- to 24-year-olds looking to gain the skills to access opportunities within the digital economy. Successful candidates will be guaranteed a job interview.