Unemployment in the East Midlands fell slightly to 4.4% between June and August 2025, according to new data from the Office for National Statistics. The regional figure remains below the national rate of 4.8% but is higher than at the start of the year.
The figures reflect a mixed picture for employers across the region. Recruitment difficulties continue to challenge many firms, with labour shortages persisting in key sectors. Rising operational costs, including higher employer National Insurance contributions and increases to the national living wage, have compounded the pressure on businesses’ hiring decisions.
Business groups in the region are urging the government to review elements of the Employment Rights Bill, arguing that added administrative demands could hinder firms already facing tight margins. Many also want assurances that the Autumn Budget will avoid further tax increases and instead offer measures that support investment and job creation.
With the Budget scheduled for 26 November, business leaders are calling for policies that prioritise economic stability and protect growth prospects in the East Midlands. For now, while the latest unemployment figures offer cautious optimism, the regional outlook remains closely tied to national fiscal policy and workforce legislation.
