UK wages rise above pre-economic crisis levels

Average weekly wages in the UK have reached their highest levels since before the financial crisis, figures from the Office for National Statistics (ONS) show.

Earnings grew at an annual rate of 3.2% in the last three months of 2019, with weekly pay reaching an average of £512. The figures – adjusting for inflation – are the highest since the 2008 financial crash.

The figures show that employment rose by 180,000 to another record high of 32.93 million, while unemployment stayed at 1.29 million. The number of women in employment also increased again, this time by 150,000 in the three month period to December, now at a record high of 15.61 million.

ONS deputy head of labour market statistics Myrto Miltiadou, said: “In real terms, regular earnings have finally risen above the level seen in early 2008, but pay including bonuses is still below its pre-downturn peak.

“Employment has continued its upward trend, with the rate nudging up to another record high. In particular, the number of women working full-time grew strongly over the past year.”

However, the Institute of Directors warned: “The UK jobs market ended last year in fine form, but 2020 may be more challenging for employers.

“As more and more workers enter employment, it becomes harder for firms to recruit the employees they need, with a particular dearth in certain skill sets.”

Sources: bbc.co.uk, 18 February 2020, ‘Wages back above pre-economic crisis levels’. bmmagazine.co.uk, 18 February 2020, ‘UK workers wages return to above economic crisis levels’.