UK Regular Pay Growth Holds at 3.5%

UK regular pay, excluding bonuses, increased 3.5% year-on-year to GBP 705 per week in the three months to July 2026, maintaining the same pace as in the previous period and in line with market expectations. It remained the fastest annual growth since the three months to February, as public sector pay growth edged up to 6.3% from 6.2%, marking its strongest increase since the three months to December 2025. Meanwhile, private sector wage growth held steady at 2.9%, remaining at its slowest pace since the three months to October 2020. By industry, wages rose in wholesale, retail, hotels and restaurants (3.1%), manufacturing (2.9%), services (3.8%), finance and business services (2.7%), and construction (0.3%). After adjusting for inflation, real regular pay increased by 0.6%, unchanged from the previous period and marking its strongest growth since the three months to November 2025.

UK regular pay, excluding bonuses, increased 3.5% year-on-year to GBP 703 per week in the three months to June 2026, following growth in the previous two periods of 3.4%, which was in line with market expectations. It was the fastest annual rise since the three months to February, as public sector pay accelerated to 6.1% from 5.5%, marking the strongest increase since the three months to December 2025. Meanwhile, private sector wage growth eased slightly to 2.8% from 2.9%, the slowest since the three months to October 2020. By industry, wages rose in wholesale, retail, hotels and restaurants (3.5%), manufacturing (2.8%), services (3.8%), and finance and business services (2.3%), but declined in construction (-0.1%). After adjusting for inflation, real regular pay increased 0.5%, up from 0.3% in the prior period and pointing to the strongest growth since the three months to December 2025.

UK regular pay, excluding bonuses, increased 3.4% year-on-year to GBP 699 per week in the three months to May 2026, matching the pace seen in the previous two periods and meeting market expectations. However, it remained the weakest annual growth since the three months to October 2020. Private sector wage growth eased slightly to 2.9% from 3.0%, the slowest since the three months to October 2020. Meanwhile, public sector pay accelerated to 5.5% from 5.1%, marking the strongest increase since the three months to January. By industry, wages rose in wholesale, retail, hotels and restaurants (3.6%), manufacturing (2.8%), services (3.7%), and finance and business services (2.3%), but declined in construction (-0.2%). After adjusting for inflation, real regular pay increased 0.3%, up from 0.1% in the prior two periods and the strongest growth since the three months to January.