Out-of-work benefits

Proportion of Londoners aged 16-64 on out-of-work benefits by benefit type (2013 - 2021 (Q1))

The proportion of working-age Londoners on out-of-work benefits fell between 2013 and 2018 after which it saw two years of modest increases. 2021 however has seen a large increase in Universal credit claimants (out of work) compared to early 2020 (4.6% to 10.6% of people aged 16-64).

The types of benefits claimed by those out of work has also changed in recent years, as Universal Credit has rolled out across the capital. For example, 0.2% of working-age Londoners were out of work and claiming Universal Credit in 2016. By February 2021, this proportion had risen to 10.6% of the working-age population.

Compared to London, the proportion of the working-age population on out-of-work benefits was higher in the rest of England between 2014 and 2020, however in the latest quarter for February 2021 the proportion of working age Londoners on out of work benefits is now slightly higher than in the rest of England (15% and 14.3% respectively).