Inflation gnaws at the growth in pay of British workers during the three months to February, evidence that households are feeling the strain of rising prices as Brexit negotiations begin.
LONDON, ENGLAND, UK (REUTERS) – Inflation almost completely gnawed away the growth in pay of British workers during the three months to February, the clearest evidence yet that households are feeling the strain of rising prices as Brexit negotiations begin.
Inflation-adjusted pay growth inched up just 0.2 percent over the period, the weakest increase since mid-2014, official data showed on Wednesday (April 12).
The figures drove home how households are grappling with rising prices in shops, exacerbated by the pound’s plunge that followed last year’s vote to leave the European Union and by rising global oil prices.
The unemployment rate in the period between December and February held steady at an almost 12-year low of 4.7 percent, in line with the median forecast in a Reuters poll of economists.
Sterling hit its highest level in over a week against the U.S. dollar after the figures as investors focused on a slightly stronger-than-expected rate of nominal pay growth.