London Employment Trends
The unemployment rate in London was 8.2% as of January 2026, up 0.5% from the previous month. The unemployment rate stood 3.4% below the peak from June 2020 but remains above the long-run average.
There were 4,500 fewer full-time jobs in January 2026 compared to a month earlier. Combined with a gain of 1,600 part-time positions, this led to a decrease of 2,900 total jobs in January.
Full-time employment was down 13,600 jobs from the peak in October 2023 but stood 3,700 jobs above the trough in October 2024.
* All figures are seasonally adjusted, 3-month moving averages. Seasonal adjustment removes normal seasonal fluctuations.
