UK regular wages grow by 6.2% in Q4 ’23

British regular wages excluding bonuses increased by 6.2 per cent in the fourth quarter of 2023, compared to the same period a year earlier, Reuters reported on Tuesday.

Economists had predicted a 6.0 per cent annual rise in the Office for National Statistics’ measure of regular earnings for the October-to-December period. This latest figure marked a deceleration from the 6.7 per cent growth in the three months to November.

British regular pay growth slowed to its lowest pace in over a year at the end of last year, Reuters added citing official data. However, the slowdown was less severe than most analysts had anticipated.

The Bank of England (BOE) is closely monitoring wage growth to assess inflation pressure in the economy and consider potential interest rate cuts from their highest level since 2008.