Jobs growth 'provides hope for the economy'

The British Chambers of Commerce (BCC) has described the latest employment figures as demonstrating some very encouraging signs for the future of the nation's economy.

July's data from the Office for National Statistics indicated that the rate of employment grew 0.3 per cent on the quarter, currently standing at 70.7 per cent of the economically active population.

Chief economist of the BCC David Kern said this is particularly welcome news following the recent pessimism that has been surrounding the UK's economic recovery.

However, he underlined the fact that a good deal of factors remain in place that should create some cause for concern.

For instance, the number of people claiming jobseeker's allowance is up slightly and there is also an increase in the number of young people in long term unemployment.

"Many uncertainties lie ahead," Mr Kern commented, adding: "Continued difficulties in the eurozone create challenges for our exporters at a time when austerity measures are putting downward pressure on domestic demand."