Five London Boroughs are in the top ten local authorities for people claiming unemployment benefit, according to data published by financial website Afforda.
Newham has with the second-highest number claims per 100,000 people in the UK, with Barking and Dagenham, Brent, Haringey and Enfield all in the top ten, according to data
Afforda analysed data from the Office for National Statistics (ONS) to find the total number of unemployment benefits claims per UK local authority and weighted this against the working age population (16-25) to calculate claimants per 100,000 residents.
GAIN Credit LLC CEO Mark Fiander said: “These figures highlight the ongoing economic challenges faced by certain regions across the UK, underscoring the urgent need for targeted support and investment.
“Addressing unemployment is not just about job creation, it’s about empowering communities with the skills and resources they need to thrive in a rapidly changing economy.”
Newham has experienced an increase in claims of 30.37% from 6,494 per 100,000 people in 2023, to 8,467 in 2024.
Newham, Barking and Dagenham, Brent, Haringey and Enfield all saw at least 15% increases in people claiming benefits since 2023.
Of London’s 33 Boroughs, 19 were in the top 50 for unemployment benefit claims per 100,000 people, with the following graph illustrating total claims in each area.
North east London has a highly concentrated area of people claiming unemployment benefits, with Tower Hamlets, Hackney, and Waltham all seeing over 13,000 claims in October 2024.
Daisy Ashley, 25, who was claiming unemployment benefit until last month, said that more people are on Universal Credit because of the cost of living crisis.
Ashley said: “People with full-time jobs, if they’re on minimum wage, probably still don’t have enough money.
“And that’s crazy, because if you’re working 37-hour week and you still don’t have enough to pay rent, then something is seriously wrong.”
Ashley added it was hard for young people to get jobs that they want because the job market is so competitive and employers always look for prior experience.
She said: “Every single time I’ve been interviewed it’s been ‘but you don’t have any experience’, and so that’s the biggest factor in how hard it is to find a job.”
Ashley is now working in a pub in Peckham, but has also has been able to gain experience in an office environment through volunteering secured by her job centre.
Ashley said: “If I wasn’t on Universal Credit, then I wouldn’t be able to do stuff like volunteering, because I wouldn’t have any money.”
“But it’s the only first step.”
Picture credit: Free to use from Unsplash
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