Economic inactivity rate

Proportion of the working age population who are neither in employment or out of work and actively seeking employment

Labour market Poverty and deprivation
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Introduction

The latest local labour market statistics were released on 15th October 2024. They are based on responses to the Annual Population Survey (APS) over a 12-month period between July 2023 and June 2024. The next release will be in January 2025.

The headline economic inactivity rate measures the proportion of working age residents of an area who are not in employment and not actively seeking employment.  The remainder of the working age population are either employed or unemployed. The 16 to 64 age group is used by the ONS as a proxy for working age, partly to simplify historical and international comparisons. 

Local labour market statistics are updated each quarter, with the latest time period having a nine month overlap with that of the previous release. The time series charts on this page follow ONS guidance and compare non-overlapping periods.


Economic inactivity rate

25.5%

North East economic inactivity rate

% of people aged 16 to 64
(Jul 23-Jun 24). 
Higher than the England excluding London rate (21.4%).

-0.6 pp

compared to a year earlier

change expressed in pp (percentage points).
England excluding London rate increased by 0.2 pp.

5th

highest among nine similar areas

comparing the combined authority areas of the north and midlands.

30.4%

South Tyneside economic inactivity rate

the highest rate among the seven North East local authority areas.


Economic inactivity by sex and age

27.8%

female economic inactivity rate

(Jul 23-Jun 24, 16 to 64).
Higher than England excluding London rate (25.1%)
but pp gap is smaller than for males.

23.2%

male economic inactivity rate

(Jul 23-Jun 24, 16 to 64).
Higher than the England excluding London rate (17.7%).

43%

aged 50 to 64

out of all economically inactive (16 to 64 ).
24% aged under 25.
females and males, respectively, 55% and 45% of the total

37.6%

female 16 to 24 rate

Highest of the eight age/sex combinations.
Male equivalent: 31.5%.
Both lower than England excluding London rates, unlike for other age groups.


Reasons for North East economic inactivity

38.5%

of 16-64 inactivity due to ill-health

(Jul 23-Jun 24)
18.7% due to study,
18.4% caring roles,
14.4% early retirement,
10.0% other

9.8%

inactivity rate due to ill-health

(16 to 64 year olds)
4.8% due to study
4.7% caring roles
3.7% early retirement
2.5% other

highest inactivity rate due to ill-health

across 20 years of data.
121,000 people aged 16-64 inactive due to ill-health,
up 30,000 in five years

10.0%

female inactivity rate due to ill-health

male rate: 9.7%
England excluding London:
female rate: 7.1%
male rate: 6.1%


Further analysis

The evidence hub includes other data reports that provide information about non workers within the labour market. Specifically, it includes reports about unemployment and jobseekers benefit claimants.

Most of the raw data for these reports can be downloaded from the Office for National Statistics (ONS).

Unemployment rate

Statistics about the percentage of economically active people who are seeking employment.

Claimant count

A measure of people claiming benefit because they are seeking employment.

Economic activity rate

Information about the percentage of working age people who are not economically inactive.

Labour market homepage

The evidence hub's labour market landing page. With links to all data reports about employment, unemployment, economic inactivity, and pay.

Nomis labour market statistics website

An ONS site providing a flexible way to access up-to-date official statistics for local areas. Also includes population estimates and some economic data. 

Regional labour market statistics

Labour market statistics for the broader North East region. Updated monthly and more up to date than combined authority level data, but less detailed.