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UK Faces Job Losses Amid Rising Employment Costs

12/11/2025

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Summary

Story summary

The UK faces higher hiring costs for low-paid staff due to rising National Insurance contributions and minimum wage.
Chancellor Rachel Reeves says there is no link between her £25 billion tax increase and employment declines, even as 180,000 jobs were lost since the NIC announcement.
Economic inactivity among under-25s has risen to three million, while youth employment has fallen from 52% to 51%, and OECD rankings place UK 27th.

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Story summary

The UK faces higher hiring costs for low-paid staff due to rising National Insurance contributions and minimum wage.
Chancellor Rachel Reeves says there is no link between her £25 billion tax increase and employment declines, even as 180,000 jobs were lost since the NIC announcement.
Economic inactivity among under-25s has risen to three million, while youth employment has fallen from 52% to 51%, and OECD rankings place UK 27th.