UK firms hold off on hiring as job vacancies fall

UK companies are holding back on hiring or are not replacing departing workers, sending job vacancies tumbling official figures suggest.

The number of available jobs fell by 63,000 between March and May while the unemployment rate ticked higher.

"There continues to be a weakening in the labour market," said Liz McKeown, director of econonic statistics at the Office for National Statistics (ONS), adding that there had been a noticeable drop in the number of people on payrolls.

In April, National Insurance Contributions paid by employers increased while a rise in the minimum wage came into force.