The UK added 91k jobs in the three months to August, down from the 232k increase in the three months to July and the smallest increase since April.

• The unemployment rate ticked up 0.1 ppt to 4.8% in August, slightly ahead of expectations of it remaining at 4.7%. This is the highest unemployment rate since May 2021.
• The economic inactivity rate dropped again, down -0.1 ppt to 21.0% in August and was down -0.7 ppts from a year ago.

UK job vacancies fell -9k (or -1.3% QoQ) to 717k in Jul-Sep 2025 and were -13.8% YoY, extending a three-year slide and signaling further easing in labor-market tightness.

• This was the 39th consecutive quarterly decline, with vacancies now -78k (-9.8%) below the pre-COVID Jan-Mar 2020 level.
• The unemployment-to-vacancy ratio rose to 2.4 in Jun-Aug (from 2.3 in the prior quarter and 1.7 a year earlier), indicating looser hiring conditions.
• Quarterly moves were mixed across industries: 9 of 18 sectors fell, led by real estate activities (-20.6% QoQ); the largest volume drop was in human health & social work (-10k), followed by accommodation & food service (-5k).
• On a YoY basis, vacancies declined in 16 of 18 sectors, with construction showing the steepest fall (-25.9% YoY).
• Relative to pre-pandemic levels, 12 sectors were lower, including wholesale & retail trade, repair of motor vehicles and motorcycles (-37k, -28.3%).
• By firm size, the biggest quarterly decrease was among businesses with 10-49 employees (-8k, -7.0% QoQ); all size bands recorded YoY declines, led again by the 10-49 group (-26k, -19.9% YoY).

UK average weekly earnings rose 4.7% YoY (vs 4.7% YoY expected) for regular pay in August, down from 4.8% YoY in July and the lowest annual growth since May 2022.

• Total pay increased 5.0% YoY (vs 4.7% YoY) in August, up from 4.8% YoY previously as growth in bonus pay appears to have accelerated.
• In real terms (CPIH-adjusted), regular pay grew +0.6% YoY and total pay +0.8% YoY, both remaining positive for a second consecutive quarter.
• Using CPI as the deflator, real regular pay increased +0.9% YoY and total pay +1.2% YoY, up slightly from the prior period.
• Average weekly earnings reached £682 for regular pay and £733 for total pay, continuing a steady long-term upward trend.
• Public sector regular pay rose +6.0% YoY, boosted by timing effects of earlier pay settlements, while private sector pay growth eased to +4.4% YoY, its lowest since late 2021.
• Total pay rose +5.8% YoY in the public sector and +4.8% YoY in the private sector.
• Among industries, the wholesaling, retailing, hotels, and restaurants sector showed the second-strongest regular pay growth (+5.9% YoY), while finance and business services recorded the weakest (+2.9% YoY).

UK payrolled employment edged down -10k (0.0%) MoM in September 2025 to 30.3 million, and was -100k (-0.3%) lower YoY, extending the gradual softening seen since 2022.

• August 2025 data were revised upward from -8k to +10k MoM after incorporating additional RTI submissions.
• The health and social work sector added +45k employees YoY, the largest gain across industries.
• Accommodation and food service activities saw the sharpest decline, with employment down -59k YoY.
• Median monthly pay rose +5.5% YoY in September 2025, with transportation and storage posting the strongest growth (+8.0% YoY) and professional, scientific, and technical activities the weakest (+3.0% YoY).
• The ONS noted that employment growth has been trending lower since early 2022, following post-pandemic recovery highs in 2021.