Economic inactivity rate

The economically inactive are non-workers who are not actively seeking employment. With information about main reason for inactivity and comparisons by sex and age group.

Labour market Poverty and deprivation Non-workers Low income and deprivation
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Introduction

The latest local labour market statistics were released in July 2026. They are based on responses to the Annual Population Survey (APS) over a 12-month period from April 2025 to March 2026. The next release is scheduled for October 2026.

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. 

Survey respondents provide information about the main reason for any economic inactivity. Only one reason can be cited, although, in reality, inactivity can be a result of a combination of factors (e.g early retirement due to a combination of sickness and increased care responsibilities).

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.


Inactivity trends and comparisons

24.6%

North East economic inactivity rate

(Apr 25-Mar 26)
% of residents aged 16 to 64.
higher than the UK rate (21.0%).

-1.7 pp

compared to a year earlier

expressed in percentage points (pp)
North East rate: 1.1 pp higher than
five years earlier. (UK 0.5 pp lower).

4th

highest among 15 English combined authority areas

North East rate 1.5 pp above
the median for these areas.

32.6%

South Tyneside economic inactivity rate

the highest rate among the
seven North East
local authority areas.
Lowest: Gateshead (22.4%)


Inactivity by sex and age

27.4%

North East female economic inactivity rate

(Apr 25-Mar 26, 16 to 64).
Above the UK rate 
(24.3%).
Higher than the male rate...

21.8%

North East male economic inactivity rate

Above the UK rate
(17.5%).
The gap is wider than for
North East females.

42.6%

female 16 to 24 rate

Highest of eight age/sex combinations.
Male equivalent: 41.9%,
NE rate higher than UK in all eight groups,
gap is largest for males aged 50 to 64.

39%

aged 50 to 64

out of all working age (16-64)
economically inactive
30% aged under 25.
Females 56% of the total.


Reasons for North East inactivity

8.1%

inactivity rate due to long-term sickness

16-64 population %, Apr 25-Mar 26
5.9% due to study,
4.7% caring roles,
3.2% pre-65 retirement,
0.7% temporary sickness.

5th

highest of 15 inactivity rates due to long-term sickness

Among English combined authority areas.
UK rate 2 percentage points lower.
2nd highest rate due to caring roles.
3rd highest rate due to pre-65 retirement.

12.8%

50-64 inactivity rate due to long-term sickness

North East broad region.
25-49 rate: 6.7%,
16-24 rate: 4.1%.
16-24 rate due to study: 29%

33%

of North East economic inactivity due to long-term sickness

(Apr 25-Mar 26, 16-64)
24% due to study,
19% caring roles,
13% pre-65 retirement,
3% temporary sickness.


North East trends in inactivity by reason

100,000

economically inactive in the North East due to long-term sickness

16-64 population (Apr 25-Mar 26)
lowest total since 2021-22.
14,400 higher than in 2020-21.

+1.1 pp

five year increase in inactivity rate due to long-term sickness

North East, 2020-21 to 2025-26.
Percentage point change.
Decrease of 0.6 pp in latest two years.
UK five year change: +0.9 pp.

+0.9 pp

five year increase in inactivity rate due to study

North East, 2020-21 to 2025-26.
Percentage point change.
Unchanged in latest year.
UK five year change: -0.3 pp.

-0.2 pp

five year decrease in inactivity rate due to family/home care

North East 2020-21 to 2025-26.
Third lowest rate in 20 years.
Unchanged rate due to pre-65 retirement
compared to five years earlier,
0.7 pp decrease in latest year.


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 (source)

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. 

ONS regional labour market statistics (source)

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