Strong wage growth and some good news for government in ONS labour market data
Continued wage rises kept interest rate setters cautious as pay rises can spur inflation. But there was good news for the government in some of the data.
news.sky.comHere’s the latest I can share based on recent reporting:
- In the United States, wage growth has been solid but varied by measure. Some reports show wage growth near or just above 3% year-over-year, reflecting a tight labor market, while others point to softer quarterly gains as inflation pressures ease.[2][4]
- In the UK, wage growth remains elevated relative to CPI, with earnings excluding bonuses around 5–6% year-over-year in late 2025 to early 2026, helping to sustain higher wage-costs for employers.[3]
- Australia’s wage data through late 2025 into 2026 indicates continued but gradually cooling growth, with quarterly WPI around 0.7–0.8% and annual growth near the low 3% range, aligning with central bank targets.[5]
- Global wage-trend syntheses suggest wage growth is holding in a range that supports consumer spending in developed economies but remains a key variable for inflation forecasts and central bank policy.[4][9]
If you’d like, I can pull more precise figures for a specific country, region, or time frame (e.g., latest quarter, year-over-year, or sector-specific). Also, I can summarize recent central-bank commentary on how wage trends are influencing policy decisions.