Further rises in unemployment forecast
Unemployment in most parts of the UK is forecast to rise over the next five years.
The Centre for Economics and Business Research warns that by 2016 the jobless rate could hit 10.7%.
The CEBR also believes unemployment could in time rise to levels not seen since the recession of the early 1990s.
The report suggests the jobs market in London, the South East and East of England will remain "relatively buoyant".
Rob Harbron, one of the report's authors, said: "Five more years of pain are expected for much of the UK, with unemployment continuing to rise in almost every region.
Shadow Work and Pensions Secretary Liam Byrne said ministers "must now accept responsibility for Britain's jobs crisis and take decisive action".