Output from Northern Ireland’s production industries increased over the quarter, while output from the service sector fell.
The Northern Ireland seasonally adjusted unemployment rate was 4.2% for the period December 2007 - February 2008. This represents a slight decrease from the rate of 4.3% recorded last quarter and is also down from the rate of 4.6% recorded in the same period one year ago. The latest Northern Ireland rate remains below the UK average (5.2%) and is also considerably lower than the EU27 rate (6.8%) for January 2008.
Seasonally adjusted figures for the same period estimate that there were 788,000 people in employment in Northern Ireland. The new figures represent an estimated increase of 1.1% in employment levels over the quarter and a rise of 2.1% over the year.
The number of people claiming unemployment related benefits stands at 23,900. This is unchanged from the previous month, but is down 1,500 over the year.
The latest seasonally adjusted working age economic inactivity rate in Northern Ireland (26.9%) has fallen slightly from a figure of 27.1% recorded for the previous quarter. However, the Northern Ireland rate (26.9%) continues to be significantly higher than the UK average (20.9%) and is the highest among the UK regions.
Commenting on the figures, Economy Minister, Nigel Dodds said: “Despite the adverse conditions currently prevalent in the world economy, the news from the Northern Ireland labour market remains positive. Employment levels are up over both the quarter and the year, and unemployment in Northern Ireland is being maintained below the UK and European Union averages.”
Results from the Index of Production (IOP) for the fourth quarter of 2007, estimate that output from the production industries increased by 2.4% in real terms over the quarter. Compared to the same period one year earlier, overall output has risen by 1.3%. Despite NI output being up over the quarter and over the year, production over the last four quarters was lower (-0.5%) than that of the previous four quarters.
Northern Ireland’s (NI) performance over the quarter (+2.4%) and over the year (+1.3%) was slightly better than that in the UK (+0.2% and +0.7% respectively).
Nigel Dodds continued: “The positive performance of the production industries in the final quarter of 2007 is also to be welcomed. Developing more productive and more innovative ways of doing business remains the best way to ensure we continue to compete overseas.”
Provisional seasonally adjusted results from the experimental Index of Services (IOS) for the fourth quarter of 2007, estimate that the service sector has decreased by 1.5% over the quarter and increased by an estimated 0.1% compared to the same quarter one year earlier. This is the second successive quarter in which the Index has recorded a decline. The increase in Northern Ireland services over the last four quarters (2.3%) is also lower than that for the UK as a whole (3.7%).
Over the quarter the largest contribution to the fall in the Index was driven by the following sub sectors: the Distribution Wholesale and Retail sector (-1.2%), the Business Services & Finance sector (-1.0%), the Hotels & Restaurants sector (-3.2%) and the Transport, Storage & Communication sector (-0.4%). All sectors reported decreases when compared against the previous quarter except for Other Services which rose by 0.7% over the quarter.
Nigel Dodds added: “Recent performance in the services sector has been less positive with output falling for two successive quarters. This is not unexpected given consumer concerns about economic uncertainty. However, as with manufacturing, this shouldn’t alter our fundamental strategy – to be more innovative, more export orientated and to improve our productivity.”
