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
19 Aug 2026 · Impact 6/9
UK inflation rises to 2.9% in July as energy price cap lifts household bills
13 Aug 2026 · Impact 4/9
UK economy grows 0.3% in June as services lead, leaving Q2 growth at 0.4%
30 Jul 2026 · Impact 7/9
Bank of England holds Bank Rate at 3.75% for a fifth meeting as inflation risks push back rate-cut hopes
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