1038 GMT February 18, 2020
Average weekly earnings, including bonuses, rose by 3.3 percent on the year, their biggest rise since the three months to July 2008 and comfortably beating a median forecast of 3.0 percent in a Reuters poll of economists, Reuters reported.
The Bank of England, which has said it will need to raise interest rates gradually to offset inflation pressures from the labor market, has forecast slower wage growth for the end of 2018 than Tuesday’s official figures suggest.
Total earnings, excluding bonuses, also rose by an annual 3.3 percent in the three months to October, the Office for National Statistics said, the biggest rise since the end of 2008.
With unemployment at close to its lowest level since the 1970s – 4.1 percent in the three months to October – employers have begun raising pay for staff more quickly.
The pace of wage rises remains slower than the four-percent increases seen before the financial crisis but real earnings, adjusted for inflation, rose nonetheless by the fastest since the end of 2016, up 1.1 percent.
The number of people in work rose by 79,000 in the three months to October, more than any forecast in the Reuters poll.
City workers head to work during the morning rush hour in Southwark in central London, England, the UK, on April 16, 2014.