Real wages fall -1.2% in December as pay lags behind inflation
Pay packets across Britain grew by 6.3% in January when compared with the same month in 2021, just outstripping the 5.4% rate of inflation, according to the latest Office for National Statistics (ONS) data.
Meanwhile, wages were 10.3% higher in January 2022 than before the pandemic started in February 2020.
Recent labour market data has shown how wage rises are struggling to keep pace with spiralling inflation.
Britain’s cost of living squeeze has seen a surge in prices across the board led by higher household bills but also including rising petrol, energy, and food costs.
Other figures released by the data authority show that between October and December 2021, employment was 75.5%, while unemployment was 4.1%, and economic inactivity was 21.2%.