Wage rises | Employers show restraint as pay awards stagnate despite rise in GDP

Median basic pay awards have stood at 3% for the eighth consecutive rolling quarter, with the majority of pay awards lower than the 2024 deal for the same employee group, new figures reveal.

The findings from Brightmine, the HR data and insights provider, come as the UK’s period of economic uncertainty continues, with the Bank of England reducing interest rates to 4%. Inflation remains well above the 2% target, with CPI at 3.6% and RPI at 4.4% (June 2025), the highest in over a year.