The Olympic Games delivered a boost to Britain's jobs market after official figures showed another drop in unemployment as the part-time workforce soared.

The Office for National Statistics (ONS) said the jobless total fell by 7,000 to 2.59m in the quarter to July - an unemployment rate of 8.1pc - after a big jump in the number of people in work, with London one of the biggest gainers after hosting the Games.

But the so-called 'Olympics effect' masked a less rosy picture outside London, with some regions suffering hefty rises in unemployment.

Unemployment in the East of England fell by 9,000 with figures showing that 201,000 people were unemployed in the region between May and July at rate of 6.5pc. In Norfolk and Waveney 19,690 people were out of work - down 220 from the previous month, and a rate of 3.3pc.

However unemployment rose by 23,000 in Yorkshire and Humber in the three months to July and by 16,000 in the West Midlands. Northern Ireland was also badly affected, with 10,000 more jobless in the quarter.

There was also a big fall in those claiming jobseeker's allowance, down 15,000 between July and August to 1.57m - the largest monthly fall since June 2010.