East Midlands Chamber has renewed its call for policymakers to prioritise skills investment, increase energy support packages and reconsider business rates to ease pressure on firms after unemployment in the region remained unchanged at 5.5%.
The latest estimated figure from the Office for National Statistics for over 16s in the East Midlands cover the period between January and March 2026.
East Midlands Chamber Director of Policy and Insight Richard Blackmore said: “5.5% unemployment in the East Midlands is still far too high and lays bare the sheer extent of difficulty firms are facing. On one hand, the skills gap reduces the pool of suitable applicants that match the needs of an employer; on the other, some employers may have touched the brakes on recruitment to mitigate the high costs associated with staffing and the high cost of just doing business – that’s a perfect storm.
“With pressure on business coming from all angles and all directions – whether the Middle East conflict pushing up inflation and fuel costs or high business rates, which disproportionately impact some sectors, or paperwork and associated costs resulting from the Employment Rights Act coming into force a month ago – it’s not an even playing field for employers.
“Less than half the East Midlands businesses that responded to our Quarterly Economic Survey for the first quarter of this year had even attempted to hire, while of those that did, 7 out of 10 reported difficulty finding applicants with the skills needed for the role.
“While an announcement is anticipated in the coming days shelving a plan to increase fuel duty later in the year, a much greater level of support is needed to alleviate cost pressure on business. Increasing energy support packages and looking again at business rates would be a positive step and should be prioritised without delay.
“To widen the pool of suitable applicants for jobs, innovative approaches to addressing the skills gap are needed, like the proposal outlined in the Chamber’s Framework for Growth to introduce an online skills portal. That would make training and apprenticeships easier for employers to access, contributing to reduced unemployment.”
View East Midlands Chamber’s Framework for Growth here
View East Midlands Chamber’s Quarterly Economic Survey, Q1 2026 here
