David Cameron has acknowledged the latest unemployment figures are "very disappointing" after more than 100,000 people joined the ranks of those looking for a job.
As unemployment reached a 17-year high, the Prime Minister admitted that the Government had to "do more to get our economy moving".
But he insisted the coalition's deficit reduction plans must not be abandoned, arguing that to do so would send interest rates soaring and the economy "into a tailspin".
At Prime Minister's Questions in the Commons, Labour leader Ed Miliband said it was time for Mr Cameron to admit the Government's plan "isn't working".
Mr Cameron said: "These are very disappointing figures that have been announced today and every job that is lost is a tragedy for that person and for their family.
"That is why the Government is going to do everything it can to get people into work."
He added: "I accept we have got to do more to get our economy moving, to get jobs for our people, but we mustn't abandon the plan that has given us record low interest rates."
Mr Miliband hit back: "The same script, month after month. Doesn't he realise? It isn't working."
The figures showed that youth unemployment has reached a record high of 991,000, while the numbers claiming jobseeker's allowance increased for the seventh month in a row, to 1.6 million.
Other figures showed a 178,000 slump in employment in the quarter to August - the biggest fall in more than two years - and the largest-ever cut in the number of part-time workers, down by 175,000.
David Cameron has acknowledged the latest unemployment figures are "very disappointing" after more than 100,000 people joined the ranks of those looking for a job.
As unemployment reached a 17-year high, the Prime Minister admitted that the Government had to "do more to get our economy moving".
But he insisted the coalition's deficit reduction plans must not be abandoned, arguing that to do so would send interest rates soaring and the economy "into a tailspin".
At Prime Minister's Questions in the Commons, Labour leader Ed Miliband said it was time for Mr Cameron to admit the Government's plan "isn't working".
Mr Cameron said: "These are very disappointing figures that have been announced today and every job that is lost is a tragedy for that person and for their family.
"That is why the Government is going to do everything it can to get people into work."
He added: "I accept we have got to do more to get our economy moving, to get jobs for our people, but we mustn't abandon the plan that has given us record low interest rates."
Mr Miliband hit back: "The same script, month after month. Doesn't he realise? It isn't working."
The figures showed that youth unemployment has reached a record high of 991,000, while the numbers claiming jobseeker's allowance increased for the seventh month in a row, to 1.6 million.
Other figures showed a 178,000 slump in employment in the quarter to August - the biggest fall in more than two years - and the largest-ever cut in the number of part-time workers, down by 175,000.