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UNEMPLOYMENT DIGEST - March 2005
The methodology used by the Office for National Statistics (ONS) to calculate unemployment rates has been changed. The new method expresses the number of claimants as a percentage of the estimated population of working age residents in an area. The population of working age is defined as those aged 16 to 59 for women and 16 to 64 for men.

The population of working age residents has been derived from the 2001 Census data. All of the figures in this update adopt the new methodology. On average the new proportions are around a fifth smaller than the traditional rates, but there are variations around this (comparable figures are not available for previous years). The 2001 figures have been used to calculate unemployment rates for 2002 and 2003. These rates will be amended on release of new population estimates from the GRO(s).

SUMMARY
The March 2005 unemployment figures were released on 13th April 2005. During the month, February 2005 to March 2005, the number of people claiming unemployment benefit in Great Britain fell by 0.3%, from 855,401 to 853,142 (2,259 claimants). However, this figure is still lower than the same period last year, where the number of claimants stood at 899,610, a decrease of 5.2% (46,468 claimants).

The number of people claiming unemployment benefit in Scotland also fell during the month, falling 2.6%, from 96,108 to 93,577 claimants. As with Great Britain, the figure is lower than the same period last year, a decrease of 9.6% (9,942 claimants).

Unemployment in the HIE area also fell during the month, falling 5.4%, from 7,167 to 6,780 claimants. As with Great Britain & Scotland, the figure is lower than the same period last year, a decrease of 12.9% (1,000 claimants).

Caithness & Sutherland By Wards
claimant count with rates and proportions
ONS Crown Copyright Reserved [from Nomis on 20 April 2005]
Mar-05    
   
  Total claimants
2003 CAS ward number rate
18C01  : Caithness North West 51 3.3
18C02  : Thurso West 43 2.7
18C03  : Thurso Central 58 3.8
18C04  : Thurso East 40 2.7
18C05  : Caithness Central 32 1.9
18C06  : Caithness North East 38 2.5
18C07  : Wick 55 3.5
18C08  : Wick West 38 2.8
18C09  : Pulteneytown 99 6.3
18C10  : Caithness South East 59 4.2
18C11  : Sutherland North West 67 5.1
18C12  : Tongue and Farr 35 3.1
18C13  : Sutherland Central 47 3.4
18C14  : Golspie and Rogart 37 3.2
18C15  : Brora 59 4.2
18C16  : Dornoch Firth 39 2.6
Total 797 3.5
Source: NOMIS    


Source: ONS (NOMIS)
Note: Official unemployment rates are only available from January 2001 onwards, however, they are still subject to change.

UNEMPLOYMENT RATES
The table below illustrates the unemployment rates for March 2005, using the 1998 TTWAs (Travel-To-Work-Areas). The unemployment rates are compared with February 2005 and March 2004 to highlight the monthly and annual changes. The TTWAs are ranked in descending order by the March 2005 figure.


Source: Office for National Statistics (NOMIS)

Over the month to March 2005, unemployment fell in 16 TTWA area’s, rose in 2 and was static in 2 – Lochgilphead and Shetland Isles. Argyll Islands had the greatest decrease over the month, falling 0.5%, from 3.1% ot 2.6%. Thurso had the greatest increase over the month, rising 1.0% from 2.8% to 3.8%.

Over the year to March 2005, unemployment decreased in 18 TTWAs, and rose in the remaining 2. Thurso had the greatest increase over the year, rising 1.3% from 2.5% to 3.8%. Dufftown also rose over the year, increasing 0.3% from 1.8% to 2.1%. Sutherland and Dingwall shared the greatest increase over the year, increasing by 1%.

NUMBERS OF UNEMPLOYED
The table below traces changes in the numbers (not rates) of unemployed people claiming benefits in the Highlands & Islands LEC areas between February 2005 and March 2005. A yearly comparison between March 2004 and March 2005 is also provided. The LECs are ranked in descending order by the size of the annual change in the number of unemployed, displayed in the right hand column.


Source: Office for National Statistics (NOMIS)

Over the month, February 2005 to March 2005, the number of people claiming unemployment fell in all 10 LEC areas. Lochaber had the greatest decrease over the month, falling 12.2% from 345 to 303 claimants. Skye & Lochalsh had the second greatest decrease over the month, falling 8.4% from 308 to 282 claimants.

There was also a decrease in all 10 LEC areas, over the year March 2004 to March 2005. Orkney had the greatest decrease, falling 26.6% from 263 to 193. Ross & Cromarty had the second greatest decrease, falling 24.4% from 1,039 to 785 claimants.

LONG-TERM UNEMPLOYMENT
For the purpose of this analysis, long-term unemployment (LTU) is defined as ‘all those who have been unemployed and claiming benefit for over 6 months’. The table below shows the number of LTU for March 2005 in each of the LEC areas. It also highlights the percentage change in number of LTU over the month (February 2005 to March 2005) and over the year (March 2004 to March 2005). The LECs are ranked by the right hand column, which contains the size of the annual percentage change in numbers of LTU.


Source: Office for National Statistics (NOMIS)

Over the month, February 2005 to March 2005, the number of long term unemployed rose in 5, fell in 3 and was static in the remaining 2 LEC Areas – Inverness & Nairn and Skye & Lochalsh. Lochaber had the greatest increase over the month, rising 12.5% from 40 to 45 claimants. Orkney had the greatest decrease, falling 7.1% from 70 to 65 claimants.

Over the year March 2004 to March 2005, there was a decrease in 8 of the 10 LEC areas. Lochaber had the greatest decrease, falling 40.0% from 75 to 45 claimants. Shetland had the greatest increase over the year, rising 30.8% from 65 to 85 claimants.

Information supplied by Highlands & Islands Enterprise
Further economic information and previous Factsheets can be accessed on the HIE Website: http://www.hie.co.uk