The persistence of hidden unemployment among incapacity claimants in large parts of Britain

BEATTY, Christina and STEVE, Fothergil (2023). The persistence of hidden unemployment among incapacity claimants in large parts of Britain. Local Economy.

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Across Britain as a whole, the number of non-employed adults of working age in receipt of incapacity-related benefits substantially exceeds the number claiming unemployment benefits. This article explores the extent to which the large number of incapacity claimants hides unemployment. Building on previous methods and evidence but deploying an updated methodology to adjust for underlying differences in health, the article finds that the number of incapacity claimants who might have been expected to have been in work in a genuinely fully-employed economy remains substantial, though somewhat lower than in the early 2000s. It also finds that this hidden unemployment is disproportionately concentrated in the weaker local economies of Britain’s older industrial areas and a number of coastal towns. The benefit claims are legitimate it is argued, but the scale and location of hidden unemployment casts doubt on assumptions that the contemporary UK economy is operating close to full employment.

Item Type: Article
Uncontrolled Keywords: 1205 Urban and Regional Planning; 1402 Applied Economics; 1604 Human Geography; Urban & Regional Planning; 3304 Urban and regional planning; 4404 Development studies; 4407 Policy and administration
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SWORD Depositor: Symplectic Elements
Depositing User: Symplectic Elements
Date Deposited: 20 Jun 2023 16:18
Last Modified: 11 Oct 2023 13:01

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