Unemployment continues to rise as city faces jobs car crash in wake of new restrictions

Figures published today by the Office for National Statistics reveal that the number of people who are unemployment in Selly Oak constituency is now 5670 , a huge 61% increase since March before lockdown began. This represents a rate of 7.7%, compared to 6.5% nationally.

Unemployment across Birmingham now stands at a shocking 11.2%.

This news comes as the Government introduce their new 3 tier local restriction system which has placed Birmingham in tier 2 (‘high risk’) meaning you are no longer allowed to visit pubs, restaurants and cafes with another household. Visiting someone at their home was already banned in the city under localised restrictions.

The rules announced on Monday afternoon come into to force on Wednesday, giving hospitality businesses no time to adapt to the new rules. As the venues are still legally allowed to open they will not be entitled to financial support, putting thousands of jobs across the city at risk.

Analysis by the Labour Party estimates that 13,300 people in Selly Oak constituency were still furloughed in mid-August, this includes more than 1100 people working in restaurants, pubs and clubs.*

Steve McCabe MP said:

“We are in the midst of a growing jobs crisis and instead of supporting businesses, the Government introduce huge changes affecting the hospitality industry with less than 48 hours notice. In Birmingham contact tracing data shows that hospitality accounts for just 2% of contacts, this one size fits all approach is absurd.  

“We are heading for a winter of discontent with unemployment soaring, no real support for businesses and workers affected by restrictions and no coherent plan to control the virus. My constituents deserve better than this.”

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