Workers in the UK have seen their pay increase at the fastest rate in more than 20 years, but wages in real terms are still failing to keep up with rising prices.
Average pay, both including and excluding bonuses, rose by 6.4% between September and November 2022 compared with the same period in 2021, according to the latest figures from the Office for National Statistics (ONS).
This is the fastest growth in regular pay since 2001. Adjusted for inflation, however, wages fell by 2.6%.
Private sector wages grew by 7.2% annually in the three months to November. This is the largest growth rate seen for the private sector apart from during the pandemic, and is more than double the 3.3% increase in the public sector.
Inflation currently stands at 10.7%, driven by soaring costs for energy and food.
The shortfall between pay increases and the rising cost of living has led to thousands of workers going on strike over pay and working conditions in recent months, affecting train services, postal deliveries and hospital care, amongst other services.
In November 2022, a total of 467,000 working days were lost due to strikes — the highest in 11 years.
“The period since June has now seen more days lost than in any six months for over 30 years,” said ONS director of economic statistics Darren Morgan.
