UK unemployment has fallen for a third month in a row, according to data from the Office for National Statistics.

Jobseekers Allowance claimant numbers fell by 32,300 to 1.59m in February while total unemployment stood at 2.45m for the three months to January, down 33,000 on the previous quarter.

Secretary of State for Work and Pensions Yvette Cooper says: “The fall in unemployment for the third month in a row is very welcome, but we should remain cautious. We’re not out of the woods yet and we are still determined to do more to support jobs and help the unemployed this year.

“The figures show the investment in jobs, education and training places is making a real difference. Half a million fewer people are out of work than anticipated at the time of last year’s budget – saving over £10bn as a result.”

Today the government announced funding for almost 7,000 Future Jobs Fund jobs, including jobs as sports coaches, youth workers, solar panel installers, housing and classroom assistants, bringing the total so far up to 117,000 for positions.

Jim Knight, minister for employment, says: “I am delighted to announce a further 7,000 Future Jobs Fund jobs for young people as part of government’s unprecedented guarantee that 18-24-year-olds who are unemployed for six months will get a job, a work placement or a training opportunity.”

Kevin Green, chief executive at the Recruitment and Employment Confederation, says: “These figures are good news and reinforce what recruiters have been saying for the last few months - that the UK jobs market has stabilised.  However, the public sector jobs market is also rapidly slowing and we are concerned that this will contribute to a jobless recovery.”

Dr John Philpott, chief economic Adviser at the Chartered Institute of Personnel and Development (CIPD), says: “One word sums up the latest official jobs figures: confusing. Unemployment is sharply down, however you measure it. Yet there also 54,000 fewer people in work, with full-time jobs particularly hard hit. The apparent paradox is explained by a very sharp rise of 149,000 in the number of economically inactive people, with the number of students surging by 98,000.