Unemployment crisis – highest levels since 2015, hitting nearly 6% in Wales
Wales’ unemployment rate has surged to 5.7 per cent according to the latest labour market statistics for Wales, covering September 2025.
The Welsh unemployment rate at 5.7%, is at a level not seen since 2015 and is a considerable rise on last month’s 4.9%.
The unemployment figure remains the highest of all the nations of the UK. In September it rose to 5.7%, compared with 4.9% in August and a 5% UK figure.
Wales’ employment figures have also fallen and Wales continues to have the highest economic inactivity rate in Great Britain.
Employment in Wales fell from 71.2% in August to 70.8% in September and is the lowest of all of the nations of the UK. The UK rate was 75% in September.
Economic inactivity in Wales in September was 24.8%, the highest in Great Britain. The UK rate remained 21%.
The Welsh Conservatives have criticised “anti-business” policies from Welsh Labour and Plaid Cymru, as well as the Chancellor of the Exchequer.
Welsh Conservative Shadow Cabinet Secretary for Economy and Energy, Samuel Kurtz MS said: “Unemployment is at crisis levels in Wales after 26 years of anti-business Labour, propped up by Plaid and compounded by Rachel Reeves’ economic mismanagement.
“Unemployment levels didn’t even hit these heights during the pandemic.
“The Welsh Conservatives want to see Wales open for business, with pro-growth measures implemented like the abolition of Welsh Stamp Duty, a cut to income tax and business rates cut to help our struggling high streets and to fix Wales.”
Welsh Liberal Democrat Westminster Spokesperson and Brecon, Radnor and Cwm Tawe MP David Chadwick said: “Surely the writing is on the wall now for the Chancellor’s jobs tax.
“Everyone except Rachel Reeves seems to have woken up to the fact that forcing small businesses to pay more in tax for giving people jobs would damage job opportunities. Now the proof is staring her in the face.
“The UK Labour Government must reverse their damaging National Insurance hike at the Budget, and commit to saving the small businesses that employ thousands in Wales and are at risk of collapse, if they’re to have any hope of reversing today’s concerning trend.”
