Redundancies soar in London

REDUNDANCIES more than doubled in London last year as the global economic slowdown hit the capital much harder than any other area of the country.

Some 60,325 jobs were axed in the capital compared with 27,323 in 2000, according to Government figures, an increase of 120%. For the whole of Britain the increase was 30%. In many areas, including Kent and Sussex, redundancies fell.

London has suffered disproportionately because of its heavy reliance on industries such as financial services, media and advertising, airlines and tourism. The downturn and firing spree that began in the middle of last year accelerated after the 11 September US attacks.

London Chamber of Commerce campaigns director Piers Merchant said of this year: 'Sadly, we could see figures just as bad. But London's underlying economy is still healthy and its dynamism means new jobs will also be created.' Think-tank The Centre for Economics and Business Research has predicted a further 90,000 London jobs will go this year.

Liberal Democrat shadow trade and industry spokesman Vincent Cable said London redundancies were compounded by the housing market boom. 'Many workers are going to find they can no longer service their mortgages,' he said.