Despite figures showing a rise in unemployment, the UK jobs market is actually in good health, according to the Chartered Institute of Personnel and Development (CIPD).

Figures from the Office for National Statistics (ONS) show that unemployment rose by 12,000 in the three months to May, with job vacancies falling by 32,000 between April and June.

However, employers are heeding the government’s advice and keeping a lid on pay rises, which may be helping to minimise redundancies, the CIPD suggested.

The "ongoing struggle employers have to attract and retain talent" is another reason why the jobs market remains buoyant, as it discourages employers from letting workers go, the CIPD’s public policy officer Gerwyn Davies said.

But he warned that the ONS figures do not include redundancies that have been announced in the last month, which could have a bearing on the market going forward.

Chancellor Alistair Darling repeated calls for pay restraint last week, insisting above-inflation wage deals would encourage price rises and damage the economy.