Recruitment rises as interest rates are fixed

Rae Bryden, manager at Joules in Gunwharf Quays, who was the Manager of the Year winner and was runner-up in the Fashion Store of the Year category at The News's Retail and Leisure Awards in 2016.  Picture: Sarah Standing (170883-5016)

Shortlist revealed for The News Retail and Leisure Awards 2017

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A REPORT released today shows the number of people placed in permanent jobs by recruitment consultancies in the south rose for the 12th month running in July.

The report, by business specialist KPMG, came a day after the Bank of England pledged not to raise interest rates until more than 750,000 new jobs are created, in a radical step to bolster the economy.

Households and businesses were told not to expect rate rises for at least the next three years as new Bank governor Mark Carney said rates will remain at 0.5 per cent until the unemployment rate drops to 7 per cent from 7.8 per cent, depending on stable inflation.

Mr Carney said ‘a renewed recovery is now under way’ in the UK as the bank hiked its growth forecasts following a flurry of recent upbeat economic figures.

But he insisted the new ‘forward guidance’ strategy of explicitly pinning rate rises to queues at the job centre is vital to help secure Britain’s recovery, which remains the weakest on record.

Around 2.51m Britons are unemployed.