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Insider UK
Business
David Dubas-Fisher & Peter A Walker

Wages fall in real terms across Scotland

Wages fell by 3.3% in real terms in Scotland in August, exclusive research by the Reach Data Unit has found.

The average person paid via PAYE earned £2,116 in August, according to data from the Office for National Statistics (ONS).

That’s down from £2,123 in July, but up from £2,021 in August 2021.

However, wages have failed to keep up with the rate of inflation.

The Consumer Prices Index (CPI) rose by 9.9% in the 12 months to August, the ONS announced today. While that’s down from 10.1% in July, it still means prices are rising faster than wages.

It also means that wages have fallen 3.3% in real terms on average, when adjusted for inflation.

Edinburgh experienced one of the largest drops, with wages falling by 6.4% in real terms.

In Glasgow, wages fell by 4.6%, in the Shetlands by 6.8%, in Inverness and Nairn and Moray, Badenoch and Strathspey by 5.5%, and in Aberdeen and Aberdeenshire by 6.4%.

TUC general secretary Frances O’Grady said: “Every worker deserves a decent standard of living, but as the cost-of-living crisis intensifies, millions of families don’t know how they will make ends meet this winter.

“The new prime minister must get pay rising - boosting the minimum wage and giving public sector workers a decent pay rise would be a good start.

“And unions should be allowed to go into every workplace to negotiate proper pay rises for all working people.”

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