Legal & General comment on today's unemployment figures.
17 August 2011
Legal & General comment on the rise in unemployment figures issued today by The Office for National Statistics.
John Pollock, Group Board Director for Legal & General's Risk businesses, says:
"The jump in this month's unemployment figures is not totally unexpected but unfortunately this does mean that job prospects are unlikely to improve next month. We will continue to see the impact of public sector cuts but in addition, there will be an influx of school leavers hitting the job market. The continuing threat of unemployment and ongoing inflationary pressures continues to put substantial financial pressure on UK households.
As highlighted in Legal & General's latest MoneyMood survey, almost 12 million UK households are struggling to make ends meet. Paying the household bills is the main worry for 45% of those surveyed and of those paying off a mortgage, 57% are already dipping into their savings to cover the mortgage payments. So losing a job or being unable to work due to illness or injury could quickly result in the financial position for many households becoming extremely difficult.
This is where having some form of insurance protection can really help to ease the financial pressures. Insurance cover, such as mortgage payment protection, is able to help towards meeting the ongoing mortgage payments: income protection, provides an ongoing regular income and critical illness cover provides an important cash amount, all which could help provide a welcome breathing space for UK households.
With the financial outlook not looking as if it will get better soon, we would strongly recommend that people seriously consider what they would do if they were to become unemployed or seriously ill. Putting aside just a small amount of their household budget to arrange some insurance cover now could prove to be an essential lifeline in the future.
Notes to editors
Legal & General MoneyMood survey is conducted by TNS Omnibus of a national GB representative sample of around 1000 adults between 17 and 19 June 2011
For more information please contact:
t: +44 (0) 1737 375369
m: +44 (0) 7788 926790
PR Manager, Legal & General Group
t: +44 (0) 20 3124 2092
m: +44 (0) 7764 582574
About Legal & General
Legal & General Group Plc.
One Coleman Street
Registered in England. Registered Number: 1417162.
Legal & General Group Plc is a holding company, subsidiary undertakings of which are fully authorised as appropriate under the Financial Services and Markets Act in respect of their investment activities in the UK.
© Legal & General Group Plc 2011