UNEMPLOYMENT saw its sharpest spike in more than four years in the three months before August, new figures show.

The rise was linked to the falling number of people aged under 25 in work, while other age groups saw an increase.

The number of people in work fell by 56,000 to 32.7 million in the last quarter, while the number of people claiming unemployment benefits rose, according to the Office for National Statistics (ONS).

Economists had expected that 26,000 more people would be in work during that time.

Instead, the quarterly decline in employment was the steepest since May 2015 when the level of employment fell by 65,000.

Scotland was hit the hardest by the lack of work.

Scottish Labour leader Richard Leonard said that the figures north of the border were “deeply concerning” and blamed the uncertainty around Brexit as well as a “lack of investment” by the SNP.

He said: “Instead of grandstanding about referendums at her party conference, Nicola Sturgeon should be focused on stopping the rise in unemployment in our communities.”

Labour in government would invest £70 billion in public services, infrastructure and communities, Mr Leonard also said.

Employment minister Mims Davies claimed that the figures are “a welcome example of the underlying strength of our economy” ahead of Brexit on October 31.

But the Trades Union Congress said that continuing uncertainty over leaving the EU has “hit the labour market” and employers are more apprehensive over recruiting more staff.

TUC general secretary Frances O’Grady urged the government to “stop playing games with people’s jobs.”

In August, the jobs market had its eighth consecutive month of falling vacancies to their lowest level since November 2017 after dropping by 11,000 to 813,000.