UK claimant count rate definition
UK claimant count rate
The UK claimant count records the number of citizens aged 19 to 64 claiming unemployment benefits in the UK. The claimant count is seen as an indicator of labor market activity and economic health within the UK.
The claimant count is often lower than total unemployment data as not everyone who is unemployed is receiving benefits.
How does the UK claimant count impact GBP?
Changes in the UK claimant count can impact the value of the British pound (GBP) as a reflection of current and future economic growth in the UK and as an indicator of consumer spending and economic health at large.
- An increase in the claimant count rate typically correlates to less consumer spending and negative economic growth, bringing down the GBP
- A decrease in the claimant count rate typically correlates to more consumer spending and positive economic growth, boosting the GBP
The theory behind these correlations is that the more people employed the better the health of public businesses and the more money going to citizens through their employers.