This is the largest quarterly increase in unemployment since the three months to August 2009.
The number of unemployed men increased by 39,000 on the quarter to reach 1.45m, with jobless women increasing by 41,000 to reach 1.06m, the highest figure since April 1988.
The quarterly rise in unemployment hit 18 to 24-year olds the hardest, rising by 77,000 over the quarter to reach 769,000.
The number of people in employment aged 16 and over decreased by 69,000 on the quarter but increased by 24,000 on the year to reach 29.17m.
The number of employed men fell by 71,000 on the quarter to reach 15.6m, while the number of women in employment rose by 2,000 to reach 13.5m on the quarter.
The number of people working part-time increased by 70,000 to reach 1.28m, the highest figure since records began in 1992.
The number of people employed in the public sector fell by 111,000 between March and June 2011 to reach 6.04m, while the number of people in private sector employment increased by 41,000 to hit 23.1m.
The ONS found that 1.58m people claimed Jobseeker’s Allowance (JSA) in August 2011, up 20,300 on July.
Matthew Ogston, founder of UK recruitment website, Jobpage.com, said: “There can be few more potent illustrations of the weakness of the economy than these stubbornly high unemployment figures.
“The jobs market has undergone significant change over the past three to four years. Across the market as a whole, the number of permanent positions available has certainly dropped off, but at the same time there has been a rise in the amount of contract work.”
He added potential employees are also looking more towards contract work because it pays more and is often easier to secure than a full-time position.
Ogston said: “But as the pool of talent looking for permanent jobs shrinks, it is becoming harder for companies to find the best permanent staff. So, though it may seem counterintuitive when unemployment is so high, the competition for companies looking to hire the best permanent staff is tougher than ever.”
