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Real wage growth

Annual growth in average weekly earnings adjusted for inflation, showing whether workers' living standards are rising.

3.7 %
-0.20pp vs previous period

As of 2026-03

Historical trend

-6.0 2.2 10 2001-012013-082026-03

Trend summary

UK real regular pay grew 2.1% in the year to February 2025, measured as average weekly earnings excluding bonuses, deflated by CPI.

Trend

  • Real wage growth turned positive in mid-2023 after two years of negative real growth during the 2021–23 inflation surge.
  • Nominal AWE regular pay grew 5.9% year-on-year in February 2025, with CPI at 2.8% in the same period.
  • Cumulative real pay remains below its pre-financial-crisis peak on some longer-run measures.

Context

  • The ONS Average Weekly Earnings (AWE) series covers Great Britain; it is seasonally adjusted and excludes arrears of pay.
  • Real wages deflated by CPIH (which includes housing costs) show a smaller recovery than CPI-deflated measures.

Trend summary generated by claude-sonnet-4-6 on 18 March 2025. Contains no editorial judgement β€” describes direction, magnitude, and official projections only.

G7 comparison

πŸ‡¬πŸ‡§ United Kingdom
3.7 %
πŸ‡©πŸ‡ͺ Germany
2.8 %
πŸ‡ΊπŸ‡Έ United States
1.2 %
πŸ‡«πŸ‡· France
0.9 %
πŸ‡―πŸ‡΅ Japan
-0.5 %

About this indicator

Source
ONS / OECD
Update frequency
Monthly
Last updated
16 June 2026
Licence
OGL v3
Rising trend is…
Positive

Statistics

Latest
3.7 %
Period high
10.3
Period low
-6.0
Period average
3.5