UK living standards turn around. Average weekly earnings are expected to rise 1.8% in the three months to the end of February, which would mean wages are rising faster than inflation for the first time in six years.

UK living standards turn around. Average weekly earnings are expected to rise 1.8% in the three months to the end of February, which would mean wages are rising faster than inflation for the first time in six years.

Wage earners are unlikely to feel much of an immediate improvement in their living standards.

Earnings growth below 2 percent remains weak by historical standards. Before the financial crisis the Bank of England was relaxed about wage rises of 4-5 percent.

And pay is only on the verge of overtaking inflation because of a sharp fall in price growth, something that could change if productivity gains remain weak and inflation picks up again.

http://www.nytimes.com/reuters/2014/04/14/business/14reuters-britain-economy-salary.html?ref=business&_r=0

 

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