Unemployment has plummeted by 21,000 in the West Midlands, according to latest figures, as the region defied a UK-wide rise.

The region’s fall in joblessness, which brought the unemployment rate down to 5.7 per cent, came as the country-wide figures rose by 10,000.

Figures from the Office for National Statistics show there were 156,000 people out of work in this region in the three months from May to July 2015.

Business leaders in Greater Birmingham said the fall demonstrates the continuing strength of the local economy.

Paul Faulkner, chief executive of Greater Birmingham Chambers of Commerce, said: “The fall in unemployment in the region demonstrates the continuing strength of the region’s economy.

“It shows that the region is in a good state, and in light of on-going Combined Authority discussions we hope that devolution agreements made build on these strengths further. We look forward to subsequent combined authority announcements in forthcoming weeks.”

The ONS figures show UK unemployment has risen for a third month in a row - the first time this has happened since 2011.

However, workers are enjoying the strongest rise in real terms regular pay for more than a decade.

Near-zero inflation means wage growth is having a bigger impact than it has had at any time since August 2002.

The surge in pay growth could add to expectations about the time for an interest rate hike nearing, despite inflation currently being zero.

It may encourage those Bank of England officials who argue that underlying inflationary pressures are building.

Total pay rose 2.9 per cent year-on-year in the three months to July, according to the ONS.

Regular pay, excluding bonuses, was also up 2.9 per cent. This was the strongest since February 2009.

Real terms regular pay was also up by 2.9 per cent, the strongest rate since the three months to August 2002, when it climbed by three per cent.