19 Sep 08 | Job Benefit Claims Hit 16-Year High

New figures show Britain has seen the biggest climb in unemployment benefit claims in 16 years.

The unemployment claimant count jumped by 32,500 in August to stand at 904,900.

It was the sharpest monthly rise since December 1992.

Official unemployment rose by 81,000 in the 3 months to July.

The UK now has 1.72m people out of work, up by 81,000 from the previous quarter and the highest total since the spring of 1999.

The figures were released after the TUC warned that the number of people out of work for at least a year could almost double to 700,000 by the end of 2009.

The union organisation said total unemployment could hit two million by next year, partly as a result of the Government's tougher benefits regime.

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