Lambeth has the highest number of unemployed people in London.

Some 10,698 people in the borough are now claiming jobseekers’ allowance, according to statistics for July published by the Government.

It also has the fourth highest rate of unemployment in the capital, with 5.4 per cent of residents of working age receiving the allowance.

The number of unemployed has more than trebled in the past year, with numbers out of work soaring from just below the national average to well above it.

In July 2008, 3,105 people were receiving jobseeker’s allowance, just 1.8 per cent of the working age population and below the national average of 1.9 per cent.

Now unemployment levels are well above the national average of 4.1 per cent of the working population, suggesting Lambeth was worse hit by the recession than many other parts of the capital and nationwide.

Statistics also show the number of jobless is still worsening compared to other parts of London and the United Kingdom, with the number of unemployed increasing by 467 in the past three months.

Lib Dem parliamentary spokesman Chris Nicholson said not enough had been done to prevent the effects of the recession on unemployment, and action was coming too late.

But Lambeth Council’s cabinet member for employment and enterprise said the council was working hard to help reduce joblessness.

Coun John Kazantzis said: “We want to support local people through this difficult time which is why we've put in place a credit crunch taskforce and launched a Lambeth Working campaign to help people back into employment.

“We're also launching an employment hub later in the year, and have been providing general advice to help residents get through the recession, like how to save money through energy efficiency and to access all the benefits they're entitled to.

"In addition we have set up a business desk to provide support for businesses."

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