Across the country recruitment teams are preparing themselves for unemployment levels to reach 10% in more than half of UK regions.

The prediction that the unemployment level will exceed 10% comes from a new report from economic consultants the Centre for Economics and Business Research.

This level of unemployment is thought to effect most of the UK’s regions over the next five years, with the North East, Yorkshire & the Humber, West Midlands, Wales, Northern Ireland and the North West being most effect by the anticipated increases. The North West is expected to be most effect by unemployment as the face the biggest reduction in the economic output.

Ian Shaw, director at Manchester-based Actis Recruitment, told Recruiter: “The last couple of years have been quiet for recruitment. Most firms have experienced an upturn in the last six months but nobody knows the effect the public sector cuts will have. That is just starting to kick in.

“We recruit for permanent IT roles. IT firms are keeping costs down and running as close to the bone as possible. Everybody has cut back but when businesses do see a slight upturn, they have to recruit again. It is more a case of replacing staff than expanding. But where they are recruiting, they are recruiting across the board, whether it be support or development. If someone does leave or they get a new project, they have to recruit.”

Owen James, economist at cebr, says: “The government’s fiscal austerity measures will not only affect the public sector, it will also have an impact on those sectors supplying the public sector. As such expecting the unemployment rate to differ substantially amongst regions over the next five years should not be shocking.”