While today's unemployment figures are less grim than many economists expected, they are still dire - highlighting that the economy has a long way to go before it is back on an even keel.

Perhaps the most worrying aspect of today's figures was the surge in young people who are out of work.

In the three months to April, the number of unemployed 18-24 year olds jumped by 74,000, or 12 per cent, outstripping the overall rise in unemployment of 11.4 per cent. In total, 888,000 people under the age of 25 were out of work during the period, the highest level for 15 years, and this number is likely to surge again as the figures take into account those who leave school and college this summer.

Those who find it tough to get a job when they are young and end up on benefits can find it a struggle to get back into work when they are older, raising concerns about a new generation of people reliant on the already overstretched pockets of taxpayers.

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