The Credit Crunch is hurting Gateshead with unemployment rising in every council ward in the borough, claim local Liberal Democrats.
Councillor Peter Maughan, speaking after the publication of the latest figures for the number of people on Jobseekers’ Allowance, said that rising unemployment is likely to lead to more home repossession and business closures.
The figures show that 555 more people were unemployed and receiving Jobseekers’ Allowance in September than in the same month in 2007, bringing the total in Gateshead to 3,906.
“The actual number of people unemployed is about double this as the published figures do not include those out of work but on other benefits,” said Peter.
“With Britain going into recession, there needs to be a big cut in interest rates. This will help businesses and homeowners keep their heads above water.
“The danger is that, without a big interest rate cut, there will be more house repossessions and business closures.”
The ward with the highest rate of unemployed residents on Jobseekers’ Allowance is Bridges where one in ten of the working population receive the benefit (10.8%).