UK Total Pay Growth Below Forecasts
2026-02-17 07:26
By
Farida Husna
1 min. read
Total average weekly earnings in the UK, including bonuses, increased 4.2% year-on-year to GBP 735 in the three months to December 2025, falling short of market estimates and slowing from a marginally revised 4.6% rise in the previous period.
It marked the softest rise since the three months to August 2024, as private sector wage growth eased to 3.5% from 3.8%, marking the weakest pace since early 2021.
Also, public sector pay gains moderated to 7.0%, the lowest since July-September 2025, following a 7.8% rise.
Adjusted for inflation, total earnings increased 0.5% in the three months to December, slowing from a 0.7% gain in the previous period and pointing to the lowest level since the three months to June 2023.