Official data on Tuesday showed on a sudden note that the unemployment rate in Britain had fallen to 4.2 percent and wage growth slowed down to its lowest level since almost two years ago.
The Office for National Statistics (ONS) said in a statement that the unemployment rate for the second quarter was compared to 4.4% for three months ending May.
Analysts’ consensus was for a slight increase in the rate.
According to ONS, wage growth excluding bonuses fell from 5.8% over the same reporting period to 5.4%, marking its lowest point since August 2022.
Even though job vacancies continue declining, there are still more than before pandemic, according to Liz McKeown, Director of Economic Statistics at ONS.
Wednesday’s inflation numbers is followed by second-quarter growth figures out Thursday as British economic data comes thick and fast this week.
Taken together, these records could give hints about what pace future interest-rate cuts by the Bank of England may take place.
Ruth Gregory , deputy chief UK economist at research group Capital Economics says: “The further easing in wage growth will be welcomed by the Bank of England as a sign that labour market conditions are continuing to cool.”
“This provides some backing for our forecast that the Bank of England will proceed with further two 25 basis-point interest rate cuts later this year.”
In early August, BoE cut borrowing costs for first time since Covid-19 pandemic onset back in early 2020.
This follows after UK inflation fell sharply from four-decade highs.
An impressive share, I just given this onto a colleague who was doing just a little analysis on this. And he in reality purchased me breakfast because I discovered it for him.. smile. So let me reword that: Thnx for the deal with! But yeah Thnkx for spending the time to debate this, I really feel strongly about it and love reading more on this topic. If potential, as you become experience, would you mind updating your blog with more particulars? It is highly useful for me. Massive thumb up for this blog post!
There is apparently a lot to know about this. I consider you made various good points in features also.
You actually make it appear really easy along with your presentation but I to find this topic to be actually something which I feel I’d never understand. It sort of feels too complicated and extremely vast for me. I’m having a look forward on your next publish, I will try to get the grasp of it!
Some genuinely marvellous work on behalf of the owner of this internet site, perfectly great content.
Howdy just wanted to give you a quick heads up. The words in your article seem to be running off the screen in Chrome. I’m not sure if this is a formatting issue or something to do with web browser compatibility but I thought I’d post to let you know. The layout look great though! Hope you get the issue resolved soon. Kudos
The subsequent time I learn a weblog, I hope that it doesnt disappoint me as a lot as this one. I imply, I do know it was my option to learn, however I actually thought youd have something attention-grabbing to say. All I hear is a bunch of whining about one thing that you would fix if you werent too busy searching for attention.
I’d have to examine with you here. Which is not one thing I usually do! I take pleasure in reading a post that may make folks think. Additionally, thanks for permitting me to comment!