Wage growth fails to overtake inflation again

People walking across Canary WharfImage copyright
Getty Images

Wages in the three months to February remained unchanged from the three months to January, despite a a record number of people being in work.

Average earnings increased by 2.8%, which was weaker than forecast but still the highest since September 2015.

Inflation over the period, as measured by the consumer price index, was around 2.9%, the latest Office for National Statistics figures show.

Unemployment fell by 16,000 between December and February to 1.42 million,

The Bank of England has said it expects the fall in unemployment to start pushing up pay more quickly, which is the main reason why it has said it is likely to raise interest rates more quickly than it previously thought.

The number of people in work has reached a record high of 32.2 million.

Source link