UK unemployment falls to 4.9% but vacancies hit lowest level since 2021
UK unemployment dropped back to 4.9% in the three months to February, but vacancies fell to their lowest level since early 2021. Regular pay rose 3.6% annually, still above inflation. For buyers and sellers, the picture is mixed: wages are holding up, keeping affordability steady, but the softer jobs market strengthens the case for the Bank of England to cut rates further. Mortgage pricing is likely to edge lower if that view firms up.
What this means for…
Buyers· 2/3
Sellers· 1/3
Wider market· 3/3
Each axis scored 1 (minor) to 3 (major). Total 6/9.
More Macro commentary
15 Oct 2026 · Impact 4/9
UK economy grows 0.1% in August and 0.7% over three months, while construction output falls 1.0%
22 Sept 2026 · Impact 6/9
Government borrowing hits £18.3bn in August, £3.5bn above the OBR forecast
17 Sept 2026 · Impact 6/9
Bank of England holds Bank Rate at 3.75% but three of nine MPC members vote to raise it to 4%
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