Question to the HM Treasury:

To ask His Majesty's Government what assessment they have made of the potential impact of unreliable labour market data on the accuracy of inflation forecasts and other economic indicators used for policy formulation.

Falling response rates have caused concern over the quality of Labour Force Survey (LFS) data and led to its suspension in October 2023. Following the return of the LFS in February, these figures are still volatile and, although the Office for National Statistics (ONS) expects to see improvements to survey quality following planned improvements, the estimates will continue to be badged as ‘official statistics in development’ until further review. The ONS recommends using a suite of labour market indicators alongside the LFS estimates.