Eurozone crisis affecting unemployment, says Grayling

UK unemployment rose by 114,000 between June and August to 2.57 million, a 17-year high, according to official figures.

The Office for National Statistics (ONS) said the unemployment rate also increased to 8.1%.

The unemployment total for 16-24 year olds hit a record high of 991,000 in the quarter, a jobless rate of 21.3%.

The employment minister, Chris Grayling, said events elsewhere were affecting Britain.