More jobs should mean housing market stability

The housing market looks set to remain stable as employment hits an all-time high, say economists.

Figures from the Office of National Statistics show employment is up 240,000 this year at 28.94 million. But the number of people out of work has also risen to 1.68 million, the highest level in six years.

Housing economist John Wrigles-worth says: “It’s good news for the housing industry if employment is up. Even though there are high levels of unemployment there are still more people employed, so it is not going to be a critical situation. The last housing slump saw over two million unemployed. We are nowhere near that.”

The International Labour Organisation says unemployment has risen by 243,000 this year to 1.68 million.

The government attributes the rises in employment and ILO unemployment levels to a growing population and a falling number of people who are not looking for work – the ‘economically inactive’ figure is down 108,000 to its lowest rate for 14 years.