UK Unemployment Rising as the Country entered Recession

The United Kingdom has has now two million unemployed workers as the country entered recession late last year promting some big businesses to close shop resulting in the displacement of thousands of workers

The United Kingdom has now a total of over two million unemployed residents as the economy entered recession late last year. This latest figure is the highest since 2007. Residents claiming benefits recorded at 93, 500 in January rose to 138.400 last month according to the Office of National Statistics. ‘It’s clear that the data is absolutely dreadful’ Anita Kara, economist at UBS. ‘Going forward we expect to rise well in excess of three million through next year’. The International Herald Tribune reported:

The IMF expects the British economy to contract by a brutal 3.8 percent this year and shrink a further 0.2 percent in 2010, at a time when most of its partners are seen recovering

David Banchflower of the Bank of England thinks that there will one in ten people that will go unemployed by the end of this year. British Prime Minister Gordon Brown expressed his concern about the continued slide of the economy which prompted several established businesses to declare bankruptcy resulting in a massive displacement of workers. The report added:

Britain's economy entered recession at the end of the last year for the first time since the early 1990s. It contracted at its fastest pace since 1980 in the three months to December and is expected to keep shrinking for much of this year.

Just recently Britons complained about foreign workers taking away jobs from them. They said that people coming from EU countries enter Britain and take jobs to the detriment of the local workers.