Job Seekers Allowance Claimants

Anti-Poverty Strategy

Worklessness/Unemployment

Unemployment in Cumbria Part 1:

Job Seekers Allowance Claimants

Background

As set out in the Cumbria Local Area Agreement 2008 – 2011, one of the main priority outcomes for Cumbriais to ‘Reduce worklessness’.

This report will present the current unemployment levels throughout Cumbria and its districts and will identify those areas that are affected the most. It will look at Job Seekers Allowance claimant and benefit counts; vacancy levels; barriers to work; skills shortages within the current working age population; and will aim to identify the sectors of the population that are experiencing the highest levels of unemployment by looking at age, gender and ethnicity.

The unemployment (claimant count) data within this report will be updated on a monthly basis, based upon the Monthly Unemployment Briefing produced by Ginny Murphy, Invest in Cumbria/Cumbria Intelligence Observatory. It will monitor performance by looking at changes over time. Performance will also be monitored via quarterly performance reports for the Local Area Agreement directly feeding into National Indicator’s153: Working age people claiming out of work benefits in the worst performing neighbourhoods; and 152: Working age people on out of work benefits.

Summary/Key Findings

Between March – April 2009 the claimant count in the county fell by 110. Compared to this time last year there are 3,114 more people unemployed.

(Reporting April 2009 data)

• In Cumbria, there are currently 8,086 people claiming Job Seekers Allowance benefits
• Over the last 12 months the claimant count in Cumbria has risen by 3,114 (63% increase)
• Unemployment rates and numbers are highest in Carlisle with2,225 claimants and a rate of 3.5 (April 2008)
• The BarrowIslandward has the highest rate of unemployment at 7.4
• Central ward in Barrow has the highest number of claimants with 247
• In Cumbria, 22% of those claiming JSA are aged 20-24years
• In Copeland, 24.4% of those claiming JSA are aged 20-24years
• In Cumbria there were 500 people claiming JSA long-term (over 12 months).
• Copeland has the highest proportion of long-term claimants at 8.6% (higher than the UK (7.8%) and the North West (8.1%).
• Copeland also has the highest level of those claiming benefits for 6 – 12 months at 20.4%,higher than both the UK (16.3%) and the North West (17.2%) level.
• Barrow has the highest level of youth unemployment (24years and under) at 37.9% (of all JSA claimants), higher than the UK (30.2%) and the North West (32.6%)
• In Cumbria there are currently 5 people seeking each vacancy compared to 7 people in Great Britain
• In Carlislethere are 13 people seeking each vacancy
• 3.9% of males make up the total number of JSA claimants in Cumbria females make up just 1.4%

Districtlevel Unemployment

In Cumbria, there are currently 8,086 people claiming JSA benefits resulting in a claimant count rate of 2.7 which is below the rate for the UK (4.1) and the North West (4.6). Over the last 12 months unemploymentin Cumbria has rose by 3,114 (63% increase)resulting in a rate increase of 1.0, this is below the increase for the UK(87%, rate of 1.9).

Unemployment rates and numbers are higher in Carlisle at a rate of 3.5, closely followed by Barrow at 3.4 and Copeland at 3.3. If we look at unemployment by numbers, Carlisle has the highest number of claimants with 2,225 followed by Allerdale with 1,661. Eden has the least number of claimants with 442.

Although unemployment rates in Cumbria are below the national and regional average if we look more closely there are very serious issues in various areas and communities throughout the county (see below: ward level data).

Table 1: UK, North West, County and District Unemployment (claimant count rates)

(Source: Labour Market Briefing April 2009)

Ward level Unemployment

Looking at Cumbria in more detail we can see from the table below unemployment/claimant count levels for Cumbria’s worst 10% wards. In the month of April Barrow Island had the highest rate of unemployment at 7.4, out of this the rate for males was 9.9, more than double the rate for females at a rate of 4, this is the highest rate of female unemployment for the wards listed below. The unemployment rate was closely followed in Central (also in Barrow) at 7.3, out of this the rate of male unemployment was 11.1 compared to 3.3 for females. Ewanrigg has the highest male unemployment rate out of the worst wards at a rate of 11.3. Unemployment rates for all of the 10% wards listed below are higher than the rate for the UK (4.1) and the North West (4.6).

Table 2: Ward Unemployment – April 2009

(Source: Labour Market Briefing April 2009)

Looking at ward level unemployment by ‘number’ instead of rate, we can get an idea of where most of the spend is allocated across the county and where intervention should take place in order to save the county money. Overall, Central ward in Barrow has the highest number of claimants with 247, followed by Hindpool with 188 and Ormsgill with 181. Looking at other districts, Castle in Carlisle has the second highest number of claimants in the county with 239, closely followed by Botcherby with 222 and Upperby with 194. In AllerdaleMossBay has the highest number of claimants with 169, followed by St Michael’s with 142 and Ewanrigg with 137. In Copeland Millom Without has the highest number of claimants with 138, followed by Cleator Moor North with 129 and Harbour with 126. In Eden, Penrith West has the highest number of claimants with 49, followed by Penrith North with 42 and Alston Moor with 33.

Long-term JSA claimants

The table below details the numbers and length of time of those claiming unemployment benefits. In Cumbria there were 500 people claiming JSA long-term (over 12 months). The highest number of long-term claimants is evident in Copelandat 8.6% (as a proportion of the claimant total). This is higher than the national (7.8%) and the regional level (8.1%). Copeland also has the highest level of those claiming benefits for 6 – 12 months at 20.4%, again, this is higher than both the national (16.3%) and the regional (17.2%) level. Short-term unemployment (up to 6 months) is more evident in Eden at 89.1% and South Lakeland at 88.4%, both above the national (76%) and regional (74.7%) level. Unemployment generally is low in both districts.

Table 3: JSA claimants by duration - April 2009

(Source: Office for National Statistics Claimant Count, April 2009. Note: % is a proportion of all JSA claimants)

Job Seekers Allowance Claimants by Age

In Cumbria, the highest levels of unemployment can be found in those aged between 20-24years (22% of all JSA claimants), significantly higher than any other age group, this is followed by those aged 25-29years at 13.8%.

(Source: Office for National Statistics, April 2009. Note: Data has been rounded)

Copeland has the highest level of unemployment for those aged 20-24years (24.4%). Carlisle has the highest level ofunemployment for those aged 17years (0.6%). Barrow has the highest levels of unemployment for those aged 18years (6.3%), 19years (7.3%), and 25-29years (14.7%). Carlisle has the highest unemployment representation in the 30-34years category (10.4%). Eden and South Lakeland are over represented in all 50+ categories (this is probably due to the older age profile of both districts).

(Source: Office for National Statistics, April 2009. Note: Data has been rounded)

JSA Claimants by gender

3.9% of males make up the total number of JSA claimants in Cumbria (as a proportion of the resident working age population), females make up just 1.4%. The highest rate of male claimants are in the Carlisle district (5%) along with the highest number of female claimants (1.8%)

(Source: ONS Claimant count, April 2009. Note: % is a proportion of resident working age people)

Ethnicity of the Working Age Population

97.6% of Cumbria’s total working age population are White, 2.4% are of ethnic minority. 0.5% are of mixed race, 0.9% are Asian, 0.4% are Black and 0.6% are classed as ‘other’. (Please note that this data is here to provide an overview of the ethnicity of the working age population and can’t be linked directly to unemployment data).

Table 4: Ethnicity of the Working Age population (16-64 males/16-59 females)

(Source: Office for National Statistics, Mid-2007 experimental statistics)

Below are details of the employment rate for ethnic minorities and details of those who are economically inactive throughout the North West, England and Great Britain. Please note that due to small sample sizes this data is not available for Cumbria or its districts.

Table 5: Employment rates and economic ‘inactivity’ of ethnic minorities

(Source: Annual Population Survey, September 2008)

Although there are more up-to-date population estimates for ethnic minority groups (as detailed above) the information contained within the table below shows the percentage of ethnic minority groups who are economically active and inactive. 2% of Cumbria’s economically active population are of ethnic minority, the same rate applies to those who are economically inactive.

Table 6: Ethnicity of those who are economically active/inactive

(Source: Census 2001, Office for National Statistics)

Youth Unemployment

Looking at those aged 24years and under, we can see from the table below that Barrow has the highest level of youth unemployment at 37.9%, which is above the national (30.2%) and regional (32.6%) levels, this is closely followed by Copeland with 37.2%.

Table 7: Youth unemployment (aged 24 & under) April 2009

(Source: Office for National Statistics, April 2009. Note: % are of all unemployed)

Claimant to vacancy

In Cumbria the unemployment to vacancy ratio is 5.03 (5 people seeking each job) compared to 7.10 in Great Britain. Carlislehas the highest ratio in the county at 13.4 (almost double the rate in March at 6.97). This is closely followed by Copeland with 11.05.

Table 8: Claimant to Vacancy ratio - April 2009

(Source: Office for National Statistics, April 2009. This uses the number of live unfilled vacancies)

Further information

For further information relating to unemployment please visit:

For information relating to NI 153: Working age people claiming out of work benefits in the worst performing neighbourhoods go here:

A separate briefing reporting on the skills of the Cumbrian workforce is available here:

National picture: The Impact of the Recession on the Labour Market in the UK:

http://www.statistics.gov.uk/downloads/theme_labour/Impact-of-recession-on-LM.pdf

Conclusion

County and district picture

• Unemployment has rose by 63% over the last 12 months to 8,086 people claiming JSA benefits
• In Cumbria, 500 people are claiming JSA benefits long-term (over 12 months)
• In Cumbria there are currently 5 people seeking each vacancy
• Out of all unemployed people, males aged between 20-24 years are most likely to be unemployed
• Carlisle has the highest number and rate of unemployed claimants
• Copeland has the highest unemployment number of those aged 20-24years
• Copeland also has the highest level of those claiming benefits for 6 – 12 months; and over 12 months
• Barrow has the highest level of youth unemployment
• In Carlisle there are 13 people seeking each vacancy

Ward picture

• BarrowIsland ward has the highest rate of unemployment at 7.4
• Central ward in Barrow has the highest number of claimants with 247

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Ali Wilson, Performance Information Analyst

Information & Intelligence | Policy & Performance | The Courts | CARLISLE | CA3 8NA

May 2009Page 1 of 8