ONS latest | Wages rise at record level, but not faster than inflation

UK wages are rising at their fastest pace in decades, but soaring inflation means workers are still facing financial struggles, according to new figures.

The latest data from the Office for National Statistics (ONS) shows that regular pay rose by 5.7% in the year to September 2022, which was the fastest growth since 2000, excluding the pandemic years when people’s pay automatically rose following the end of furlough.

However, when adjusted for rising prices, wages fell by 2.7%. The UK unemployment rate also rose slightly to 3.6% in the three months to September, up from 3.5% in August, according to the ONS.

Jonathan Boys, labour market economist for the CIPD, the professional body for HR and people development, commented on the ONS figures: “With vacancies falling for the fourth consecutive quarter, the data suggests a softening in demand for labour. However, vacancies still remain near record high levels.