Analyst tips unemployment to drop to 5pc by 2014 - Moody's

'The UK unemployment figures show that we are still getting to grips with the complexity of our economic situation and we need to focus on those key areas, especially the skills shortage in manufacturing, which can create up to 1 million jobs.'

'The overall unemployment figures are still in our favour, we have seen a small rise in the overall employment picture over the past three quarters and employment growth in the housing sector continued to be stronger than any of the three major sectors.

'However, the weak manufacturing figures show that we are far from at the end of the jobs curve. Despite this, we continue to have some of the strongest labour market in the G7.'

But the report also points out that the UK is now the only European Union country with over two million job vacancies, highlighting that the UK is unable to meet international economic standards for the amount of jobs available.

It also pointed to the UK's 'weak wage growth of a mere 0.4pc since the financial crisis of 2009 and its record weakness in housing market demand as well as poor productivity."
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Motis lawyers request more time in which they can appeal.

The appeals court will hear arguments on August 7.

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