UK headline ILO unemployment rate dropped to 5.5% in July

The UK headline ILO unemployment rate dropped to 5.5% in July, against the consensus' expectations of a steady rate of 5.6%. Total unemployment dropped by 29k from June and growth in unemployment decelerated by 15k to 10k on a 3m/3m basis, remaining positive for a third consecutive month.

Unemployment in the prime category (ages 25 to 49) continued to fall, this time by 21k, as did the younger category (ages 16-24), registering its biggest drop since November 2014, declining by 15k. However, the older category (ages 50 and over) rose by 7k. Part-time jobs posted their highest monthly rise since January 2014 (+88k) while full-time jobs were down by 27k, leaving total employment higher by 60k after a 53k rise in June. In terms of the type of contract, employees were up substantially (+9k) while self-employed was slightly higher (+1k). The July participation rate held firm at 63.3%