Wednesday, 20 January 2010 13:15 The number of young people out of work fell over the three-month period between September and November, according to the latest figures from the Office of National Statistics.

Research shows the number of unemployed 16-24 year olds over the quarter was down from 943,000 to 927,000. In a shock turnaround, total unemployment stood at 2.46 million, down 7,000 and the first such decrease in 18 months. The number claiming Jobseeker's Allowance also fell 15,200 over December to 1.61 million - significantly more than the 2,500 fall predicted by analysts.

Part of the reason lies in a steep increase of 81,000 in the number of economically inactive students.

Dr John Philpott, chief economic adviser at the Chartered Institute of Personnel and Development (CIPD), says this indicates that "ever larger numbers of young people" are avoiding the dole by turning to study.

Although "this is desirable as an alternative to unemployment", Dr Philpott, cautions that it remains to be seen how much of a boost it will provide for their job prospects in a difficult and highly competitive jobs market.

He adds: "Men continue to fare less well than women in terms of employment, women benefiting more from the rise in part-time jobs. However, more women entered the labour market in search of work in the three months to November while more men exited the market, with the result that female unemployment increased and male unemployment decreased. There are now more than one million jobless men outside the labour market - and thus not counted as unemployed - who say they want a job."Business leaders are warning that the UK jobs market remains in an unhealthy state, and it would be wrong to assume that unemployment has peaked.

Jason Rainbow