>
Surprising rise in over-50s now avoiding work: Bank of England warns number has risen unexpectedly since summer
The Bank of England has warned that the number of over-50s without a job – and not looking for one – has risen unexpectedly since the summer.
While the proportion of people aged 16 to 64 in other countries who were not working or actively looking for work fell after the pandemic, it has been steadily rising in the UK since August.
The recent increase was mainly due to workers between the ages of 50 and 65 leaving the workplace and not returning, the Bank said.
Avoidance of work: The recent increase is mainly attributable to workers between the ages of 50 and 65 who leave the workplace and do not return
The rise partly reflected those who left work due to long-term illness, it added. For that reason, it’s believed that one-fifth of inactive workers in that age group are, past research has suggested.
But the Bank said the rest included “those who don’t want a job, which could mean a lot of inactivity in the short term.”
This latest update will further worry employers who are already struggling to fill positions, with more than 1.2 million vacancies in the UK according to last month’s figures.
Unemployment has fallen to its lowest level since 1974 and inactive workers of all ages are a growing drag on the economy.
A report from the Institute of Labor Studies last month said “there are simply not enough workers for the jobs available.”
Kate Nicholls, chief executive of the trade association UK Hospitality, said: ‘There is clearly a problem that we don’t have enough people in the labor market to fill gaps in the economy.
“This is not a skill shortage. This is a labor shortage.’