Regular pay excluding bonuses increased by 7.2pc in the three months to April, according to the Office for National Statistics.
The figure was ahead of economists’ predictions of 6.9pc and higher than of an upwardly revised 6.8pc in the previous three months.
Almost, almost, keeping up with inflation. Expect another interest rate rise therefore.
“Between April 2010 and April 2018, the median pre-tax weekly earnings of an employee in the UK fell by around 3% in real terms” (from Fullfact.org, not that i’d place too much trust in that).
Low inflation, low interest rates = reduction in wages.
High inflation, high(er) interest rates = reduction in wages.
It’s as if the circumstances don’t matter, you are goibng to earn less.
Wonderful to see interest rates soaring though. Soon they’ll be back to risk + time preference rate. And savers can stop having their income stolen to subsidise borrowers. And the collapse of BTL. Truly good news.
@Addolff
One notes you didn’t make any mention of productivity there. Where do you expect the wage increases to come from?
And in April, NMW went up by close to 10%.