Pandemic triggers new rise in number of Universal Credit claimants in Peterborough

The impact of Covid on employment in Peterborough became clearer today as the number of jobless-related benefit claims rose by 4.7 per cent.
The logo for the Government's drive to get jobless people back into work.The logo for the Government's drive to get jobless people back into work.
The logo for the Government's drive to get jobless people back into work.

New figures show the number of people in the Peterborough local authority area claiming Universal Credit hit 23,077 by June 11 - up 1,032 on a month earlier.

The 4.7 per cent rate of increase is higher than the national average of 3.9 per cent.

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However, it is not the largest rate of increase endured by Peterborough since the health crisis began. In May, the claimant figures soared by 30.5 per cent.

Recent job losses include 240 redundancies at Fairline Yachts in Oundle, and the closure of sandwich and coffee bar Pret a Manger, in the Queensgate shopping centre, with the loss of 18 jobs while brewer Oakham Ales, in Maxwell Road, Peterborough, has also warned of job losses to come.

The statistics have been released by the Department of Work and Pensions (DWP) and show that since the Covid lockdown in March, the number of people claiming Universal Credit in Peterborough has risen by 9,491 people.

A DWP spokesman said: “While the rate of increase is higher than the national figure we are actually seeing a slowing in the number of new claimants.

“I think the situation is likely to improve as we go on.

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“There are reasons for optimism with Chancellor’s Plan for Jobs announcement and our ongoing work to help get people back in to jobs.”

Concern has also been voiced for youngsters aged 16 to 24 in Peterborough as new figures revealed a 138 per cent rise in the number claiming unemployment benefits for 12 months from June 2019.

It means that across Peterborough one in ten 16-24 year olds are now claiming unemployment benefits.

Hilary Brazil, Principal at social justice charity Nacro Peterborough, said: “Not since the 1980s have we seen a collapse of the youth labour market like we are seeing today.

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“Many young people find their plans on hold and the rug pulled out from under them. But there are options out there.

“It is important now that young people stay in education and training and prepare for the jobs market of the future to give them the best chance in this more competitive future.”

Despite the rising claimant figures, a number of companies in Peterborough are creating jobs.

Clothing and homewares chain URBN is to recruit between 200 to 400 people with spice giant McCormick expecting to take on 300 staff.