According to official data, regular wages are increasing at a faster rate than prices.
Have you noticed any improvement in your financial situation? According to official data, regular wages are finally increasing at a faster rate than prices. However, the economy is slowing down significantly.
Today, Brits received some much-needed respite as official data revealed that wages are now increasing at a faster rate than inflation. This marks the first occurrence of such growth in nearly two years, indicating a potential alleviation of the cost of living predicament.
According to the Office for National Statistics, there was a 7.8% increase in average regular earnings during the three months leading up to August. After considering inflation based on the Consumer Prices Index, there was a 0.7% rise.
This marks the initial instance when wages have surpassed the rise in prices since October 2021, amidst the Covid-19 pandemic.
The numbers were slightly lower than what economists had predicted, indicating that the Bank of England’s interest rates may have decreased.
Jeremy Hunt, the Chancellor of Exchequer, expressed his satisfaction with the decreasing inflation and the increasing real wages, which means that people have more money available. In order to maintain this positive trend, it is crucial to adhere to our strategy of reducing inflation by half.
Official figures released have revealed that wages are now increasing at a faster rate than inflation, marking the first time in nearly two years. This suggests that the ongoing cost of living crisis might be showing signs of improvement. Chancellor Jeremy Hunt expressed his satisfaction with these figures, referring to them as ‘good news’.
