UNEMPLOYMENT in Wales rose by 5,000 in the three months to December, but the number of people in jobs also rose, according to figures released yesterday.

The latest quarterly figures from the Office of National Statistics showed unemployment rose by 5,000 (0.3 per cent) to 123,000 for the quarter, raising the unemployment rate to 8.4 per cent.

A total of 1,335,000 (67.6 per cent) of 16-64 year olds in Wales are employed, an increase of 10,000 (0.5 per cent) on the previous quarter.

The number of people classed as economically inactive, those who are not earning, was 492,000, down 13,000 (0.7 per cent) on the previous period.

A total of 71,300 people claimed job seekers allowance in Wales in January this year, up 200 (0.3 per cent) from December 2010.

The figures also show that as of January 13, there were 5,442 claimants in Caerphilly, 2,991 in Blaenau Gwent, 2,662 in Torfaen, 1,133 in Monmouthshire and 4,689 in Newport.

Deputy first minister Ieuan Wyn Jones said: "These figures once again show the fragile nature of both the jobs market and the economy. The number of people in employment in Wales is up 30,000 over the previous year and 10,000 over the previous quarter. However, the claimant count has seen a very small increase, which shows how the recovery has a long way to go.

"Despite the tough financial settlement we have received from London, our focus is 100 per cent on supporting the Welsh economy and doing all we can to create employment throughout the country and helping our private sector to grow."