Jobless figure rises to eight-month high

Unemployment in London has risen by seven per cent as Britain's jobless rate increased to its highest figure for eight months.

The rise in the number of people out of work in the capital this month - to 269,000 - was the largest in the country.

Although the overall unemployment rate rose by 27,000 to 1.4 million, the number of claimants of the jobseeker's allowance fell to a record low.

The contrast in the figures will be taken as proof that the Government is shifting people on to incapacity and sickness benefit to make the statistics look better.