UK pay growth slows as inflation pressure weakens

Commuters cross London Bridge. Recent falls in inflation meant real wages grew for the fifth month in a row, the ONS said. Photograph: Bloomberg/Getty Images

Pay growth in the UK slowed more than expected in November, in a sign that inflationary pressures have weakened more than the Bank of England was expecting when it issued its latest forecasts.

Average pay growth was 6.5% in November, down from 7.2% in the previous month, according to the Office for National Statistics, as the UK jobs market weakened in response to high interest rates and stagnation across much of the economy. Economists polled by Reuters had expected total average earnings of 6.8% in November.