Unemployment claims in Eastbourne more than double during pandemic

The town has seen one of the sharpest spikes in people claiming out-of-work benefits in the south east – with 4,735 claimants as of May 14, compared to 2,245 in early March.

It means the share of the population signing on rose from 3.8 per cent to 7.9 per cent – among the biggest jumps in the region, where the claimant rate on average rose from 2.2 per cent to 5.4 per cent.

The ONS figures count those aged 16 to 64 who are on Jobseekers Allowance and some Universal Credit claimants, with numbers rounded to the nearest five.

Across the UK, the claimant count more than doubled to 2.7 million on May 14, with separate ONS figures showing the figure stood at 2.8 million for the whole month – the highest since 1993.

The ONS cautioned that changes to Universal Credit in response to the virus mean more people could get unemployment-related benefits while still being employed, which could affect the figures.

Councillor David Tutt, Leader of Eastbourne Borough Council, said, “The outlook for employment across the UK as a consequence of the coronavirus pandemic is bleak.

“And in seaside resorts where tourism is the mainstay of the local economy, the numbers of people out of work will be that much greater.

“However, the unique selling points that make Eastbourne so attractive to visitors won’t change, whether that’s our gateway to the South Downs National Park, world class seafront, fantastic range of hotels, superb events calendar, brand new Beacon shopping complex or our status as sunniest town in the UK – people will return in their millions next summer.”

Councillor Tutt said the council will also continue to work hand-in-hand with partners such as the Chamber of Commerce, Hospitality Association, Federation of Small Businesses and the voluntary sector to facilitate economic development and local regeneration.

He said the council will also continue to use planning powers to bring forward the ‘right projects and schemes that will create jobs’ as well as the infrastructure needed.

Councillor Tutt said, “Times are tough, they are very likely to get tougher and this will inevitably mean change in the way businesses and organisations operate, including the council, but I am confident that when we fully emerge from this crisis, our town will bounce back more quickly than many others.”

Responding to these figures, Eastbourne MP Caroline Ansell said, “There is no doubt the pandemic is having a detrimental effect on jobs in Eastbourne because we rely on the tourism and hospitality industry for a good proportion of our employment.

“However, the figures do not tell a full picture and are complicated. For example, Universal Credit claimant count is not always an accurate record of unemployment as an application might well simply indicate a move to part-time work rather than a job loss.

“Going forward, it’s quite clear we must get Eastbourne’s tourism economy up and running as soon as possible because I am worried about these figures and I do fear there will be tough times ahead.

“I am working with the tourism minister and the town’s hospitality association to ensure we can move into the recovery phase and safely invite visitors once again.

“However, structurally Eastbourne needs to diversify its economy. We need a 365-tourism offering and we need to build up our digital and creative industries too.

“The Government has also done tremendous work in Eastbourne and across the UK to ensure people are supported during COVID-19. Some 2,300 people have been furloughed in the town under Coronavirus Job Retention Scheme – 19 per cent of the total jobs in the constituency.”

Mrs Ansell said another 4,500 people have claimed under the Self-Employment Income Support Scheme – 73 per cent of those eligible.

This amounts, she said, to £13.3 million of direct cash support for the Eastbourne’s workforce since March.

Data reporting by Tommy Lumby.