This article is from the source 'guardian' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at https://www.theguardian.com/business/live/2017/jun/13/uk-inflation-hard-brexit-pound-sterling-ftse-business-live
The article has changed 12 times. There is an RSS feed of changes available.
| Version 8 | Version 9 |
|---|---|
| Wage squeeze worsens as UK inflation rate jumps to 2.9% – business live | Wage squeeze worsens as UK inflation rate jumps to 2.9% – business live |
| (35 minutes later) | |
| 3.17pm BST | |
| 15:17 | |
| CBI chief: We've got to get Brexit right after election earthquake | |
| Nadia Khomami | |
| The head of the Confederation of British Industry has called Thursday’s general election a political earthquake, but said it’s an opportunity for a different kind of Brexit in which the voice of common sense is heard. | |
| Carolyn Fairbairn, director general of the CBI, also warned Theresa May that for businesses across the UK, particularly in Northern Ireland, a soft border in the country was fundamental. | |
| “Clearly it was just a political earthquake last Thursday. What we saw and realised is a lot of the consensus we thought we had we actually don’t have,” Fairbairn told the Fortune Most Powerful Women International Summit in London on Tuesday. | |
| “My biggest message is this is a time to broaden the church, listen to and work through the biggest issues. | |
| “We know we really care about the strength of our economy, about the regions of the UK growing. Don’t just be focused on London. The young turned out in their thousands, listen to that young voice.” | |
| Fairbairn said the soft border in Ireland was “absolutely fundamental”, because it had helped understanding between people and the peace process. “I’m hoping from a business and practically human point of view that there is a commitment to that,” she said. | |
| She added that there was much unhelpful language around Brexit ahead of the commencement of negotiations next week, such as “hard and soft” Brexit. | |
| “We know we want access to the single market, jobs depend on it. We also know there is a dilemma we’re facing, there is real public concern around immigration. We’re also seeing companies with skills shortages, a 96% reduction in nurses applying [as revealed yesterday]. | |
| We need to open up that dilemma again and come up with ways to address the public concern.” | |
| Asked why businesses were quiet during the referendum campaign, Fairbairn said they weren’t but their voice wasn’t heard enough. “We learnt through the referendum how strong this sense of feeling left out of prosperity and growth a lot of the country felt,” she continued. “We didn’t understand enough the concerns around immigration.” | |
| What was needed now was “a reset”, she explained. “In terms of the migration issue, I think people were saying we want control back. Is that served by a single number, a cap? If not, let’s go back to problem solving.” | |
| “I’ve got a fundamental confidence in common sense prevailing through all this,” Fairbairn said. | |
| “I think nobody in this room would think the referendum campaigns were good. The information and understanding... I think we can get to a better place now, where there are more voices coming through. Universities, young people. The chips are falling a different way now and we can have a different outcome. The fact is the EU will be our trading partner for a long time and it’s an opportunity to protect our relationship.” | |
| But she added: “Let’s be very clear, everybody I speak to in business accepts Brexit is happening. But what we don’t have is a consensus about how it’s happening.” | |
| She stressed that there was a lot of “really fantastic stuff” going on in businesses across the country, and urged people “not get too down on ourselves in terms of the economy”, which has huge potential. “But we’ve got to get Brexit right and make sure we have access to the single market.” | |
| 3.01pm BST | 3.01pm BST |
| 15:01 | 15:01 |
| While Britain faces the prospect of falling real wages, squeezed households and ongoing child poverty, America’s stock market has just hit a new all-time high. | While Britain faces the prospect of falling real wages, squeezed households and ongoing child poverty, America’s stock market has just hit a new all-time high. |
| The Dow Jones industrial average jumped by around 70 points to 21,307, a new record. | The Dow Jones industrial average jumped by around 70 points to 21,307, a new record. |
| Investment bank Goldman Sachs is the biggest riser (+1.5%), followed by credit card firm VISA (1.2%). | Investment bank Goldman Sachs is the biggest riser (+1.5%), followed by credit card firm VISA (1.2%). |
| Tech firms Apple, Microsoft and Cisco have all gained around 1%, after two days of losses. | Tech firms Apple, Microsoft and Cisco have all gained around 1%, after two days of losses. |
| BREAKING: Dow Jones Industrial Average hits new all-time high. https://t.co/0z9FK8VnYl pic.twitter.com/cjopE1e756 | BREAKING: Dow Jones Industrial Average hits new all-time high. https://t.co/0z9FK8VnYl pic.twitter.com/cjopE1e756 |
| 2.42pm BST | 2.42pm BST |
| 14:42 | 14:42 |
| UK government bond prices have hit their lowest levels in a month since the inflation data was released. | UK government bond prices have hit their lowest levels in a month since the inflation data was released. |
| The pound has also risen, now up 0.7 of a cent at $1.2720. | The pound has also risen, now up 0.7 of a cent at $1.2720. |
| Those two facts suggests that traders see a higher chance that the Bank of England tightens monetary policy sooner, because of the risk of inflation. | Those two facts suggests that traders see a higher chance that the Bank of England tightens monetary policy sooner, because of the risk of inflation. |
| However, several economists are suggesting that the BoE will be content to ‘look through’ the inflation figures. | However, several economists are suggesting that the BoE will be content to ‘look through’ the inflation figures. |
| The FTSE, meanwhile, is almost flat at 7519 points, up 0.1%. | The FTSE, meanwhile, is almost flat at 7519 points, up 0.1%. |
| FTSE 💯is up 0.01% at 7,512.93. LSE +6%. Convatec +2%. Johnson Matthey, Tesco, Fresnillo, Anglo American & Mediclinic +1%. 3i -2%.🇬🇧#UKshares | FTSE 💯is up 0.01% at 7,512.93. LSE +6%. Convatec +2%. Johnson Matthey, Tesco, Fresnillo, Anglo American & Mediclinic +1%. 3i -2%.🇬🇧#UKshares |
| 2.04pm BST | 2.04pm BST |
| 14:04 | 14:04 |
| Ashwin Kumar, Chief Economist at the Joseph Rowntree Foundation, has joined the ranks of the experts calling for the government to end its benefits freeze. | Ashwin Kumar, Chief Economist at the Joseph Rowntree Foundation, has joined the ranks of the experts calling for the government to end its benefits freeze. |
| He points out that the policy becomes particularly harsh when prices start to accelerate: | He points out that the policy becomes particularly harsh when prices start to accelerate: |
| “People on low incomes face challenging times. Inflation is up by the highest rate in five years, continuing a sharp rise since the Brexit vote, and employment figures out tomorrow are likely to show that wages are barely keeping up. With increases of 2 per cent in food, nearly 5 per cent in energy and 3 percent in clothing and footwear, families are facing very difficult choices. | “People on low incomes face challenging times. Inflation is up by the highest rate in five years, continuing a sharp rise since the Brexit vote, and employment figures out tomorrow are likely to show that wages are barely keeping up. With increases of 2 per cent in food, nearly 5 per cent in energy and 3 percent in clothing and footwear, families are facing very difficult choices. |
| “The benefit freeze will squeeze family budgets even further. This was a policy designed in an era of very low inflation. This is no longer the case and low-income households are suffering. As the cost of essentials rises, the new Government could help struggling families by ending the freeze on benefits.” | “The benefit freeze will squeeze family budgets even further. This was a policy designed in an era of very low inflation. This is no longer the case and low-income households are suffering. As the cost of essentials rises, the new Government could help struggling families by ending the freeze on benefits.” |
| 2.03pm BST | 2.03pm BST |
| 14:03 | 14:03 |
| Given the current economic uncertainty, Brits should plan for this wage squeeze to last for some time. | Given the current economic uncertainty, Brits should plan for this wage squeeze to last for some time. |
| Calum Bennie, savings expert at Scottish Friendly, says. | Calum Bennie, savings expert at Scottish Friendly, says. |
| “The seemingly perpetual squeeze on UK households continues. The rise of inflation to 2.9% means no end is in sight for hard-pressed consumers who see prices rising but growth in their wages failing to keep pace. It is no surprise then that consumers are reining back on spending or in many cases are turning to credit to get by as day-to-day living gets more expensive.” | “The seemingly perpetual squeeze on UK households continues. The rise of inflation to 2.9% means no end is in sight for hard-pressed consumers who see prices rising but growth in their wages failing to keep pace. It is no surprise then that consumers are reining back on spending or in many cases are turning to credit to get by as day-to-day living gets more expensive.” |
| “Prices will continue to rise due to the falling pound and the higher costs of imports so the message has to be try to be prudent with spending and stash more cash. You will need more bang for your buck in the next few months and having more money in your financial armoury can only help.” | “Prices will continue to rise due to the falling pound and the higher costs of imports so the message has to be try to be prudent with spending and stash more cash. You will need more bang for your buck in the next few months and having more money in your financial armoury can only help.” |
| 1.11pm BST | 1.11pm BST |
| 13:11 | 13:11 |
| Britain’s real pay crisis is a sign that austerity has failed, argues the GMB Union. | Britain’s real pay crisis is a sign that austerity has failed, argues the GMB Union. |
| Tim Roache, GMB general secretary, says Theresa May must take the opportunity to ditch polities such as the public sector pay freeze: | Tim Roache, GMB general secretary, says Theresa May must take the opportunity to ditch polities such as the public sector pay freeze: |
| “Yet again, we are seeing the cost of living rise faster than wages. Inflation has risen to almost ten times its rate 12 months ago. | “Yet again, we are seeing the cost of living rise faster than wages. Inflation has risen to almost ten times its rate 12 months ago. |
| In the real world, that increase means that no matter how hard people work, increasingly they are struggling to pay their bills. | In the real world, that increase means that no matter how hard people work, increasingly they are struggling to pay their bills. |
| “Too often there is more month than money left after pay day. | “Too often there is more month than money left after pay day. |
| “This is further proof, if any was needed, that austerity has failed and that it’s working people paying the price. | “This is further proof, if any was needed, that austerity has failed and that it’s working people paying the price. |
| “If the Prime Minister is to take anything away from her election embarrassment, it should be that people are fed up. | “If the Prime Minister is to take anything away from her election embarrassment, it should be that people are fed up. |
| “They’re fed up with working hard to stand still and with a system set up to benefit those who already have more than enough. | “They’re fed up with working hard to stand still and with a system set up to benefit those who already have more than enough. |
| “Ending the public sector pay freeze and making sure all workers are paid a decent wage is an absolutely must, and it needs to be on the agenda for the Queen’s Speech.” | “Ending the public sector pay freeze and making sure all workers are paid a decent wage is an absolutely must, and it needs to be on the agenda for the Queen’s Speech.” |
| 12.41pm BST | 12.41pm BST |
| 12:41 | 12:41 |
| A neat summary of today’s data: | A neat summary of today’s data: |
| Spot the problem. pic.twitter.com/3IxmppSnqW | Spot the problem. pic.twitter.com/3IxmppSnqW |
| 12.29pm BST | 12.29pm BST |
| 12:29 | 12:29 |
| House price inflation has also risen, thanks to a pick-up in prices in London. | House price inflation has also risen, thanks to a pick-up in prices in London. |
| The average house price rose by 5.6% in the 12 months to April, to £220,000. That’s up from 4.5% in the year to March 2017. | The average house price rose by 5.6% in the 12 months to April, to £220,000. That’s up from 4.5% in the year to March 2017. |
| The Office for National Statistics cautions that: | The Office for National Statistics cautions that: |
| While up against March 2017, there has been a general slowdown in the annual growth rate since mid-2016. | While up against March 2017, there has been a general slowdown in the annual growth rate since mid-2016. |
| #UK #house prices 🔼 5.6% in Apr & 1.6% vs Mar, average price now £220k, deceleration likely to continue https://t.co/iQdKI5JfCj pic.twitter.com/miAb0jUJg2 | #UK #house prices 🔼 5.6% in Apr & 1.6% vs Mar, average price now £220k, deceleration likely to continue https://t.co/iQdKI5JfCj pic.twitter.com/miAb0jUJg2 |
| London continues to be the region with the highest average house price at £483,000, followed by the South East (£315k) and the East of England, (£281k). | London continues to be the region with the highest average house price at £483,000, followed by the South East (£315k) and the East of England, (£281k). |
| The North East still has the lowest average price (123k). | The North East still has the lowest average price (123k). |
| In London, prices have risen by 4.7% in the last 12 months -- up from just 1.5% a month ago. | In London, prices have risen by 4.7% in the last 12 months -- up from just 1.5% a month ago. |
| Updated | Updated |
| at 12.41pm BST | at 12.41pm BST |
| 11.53am BST | 11.53am BST |
| 11:53 | 11:53 |
| Today’s Evening Standard is splashing on the rise in inflation, and blaming it on the EU referendum. | Today’s Evening Standard is splashing on the rise in inflation, and blaming it on the EU referendum. |
| Our first edition @EveningStandard has today's 2.9% rise in inflation caused by Brexit devaluation + @tombradby on May & latest on Lions pic.twitter.com/d9P9mypK7W | Our first edition @EveningStandard has today's 2.9% rise in inflation caused by Brexit devaluation + @tombradby on May & latest on Lions pic.twitter.com/d9P9mypK7W |
| It warns that there is now “clear blue water” between wages and inflation, adding that: | It warns that there is now “clear blue water” between wages and inflation, adding that: |
| There was growing concern in the City today that the hit to consumer spending power combined with political uncertainty following the loss of Theresa May’s Commons majority will further undermine already slowing economic growth. | There was growing concern in the City today that the hit to consumer spending power combined with political uncertainty following the loss of Theresa May’s Commons majority will further undermine already slowing economic growth. |
| Strangely, the front page doesn’t mention that real wages also fell through most of their editor’s time as chancellor (2010-2016)..... | Strangely, the front page doesn’t mention that real wages also fell through most of their editor’s time as chancellor (2010-2016)..... |
| Updated | Updated |
| at 11.56am BST | at 11.56am BST |
| 11.32am BST | 11.32am BST |
| 11:32 | 11:32 |
| Resolution: Pay squeeze will be longer and deeper than feared | Resolution: Pay squeeze will be longer and deeper than feared |
| There’s a danger that the political deadlock in Westminster could push inflation higher in the months ahead, warns Stephen Clarke, economic analyst at the Resolution Foundation. | There’s a danger that the political deadlock in Westminster could push inflation higher in the months ahead, warns Stephen Clarke, economic analyst at the Resolution Foundation. |
| And that could be particularly bad news for poorer families, if essential purchases like food and clothes keep climbing while benefits remain capped. | And that could be particularly bad news for poorer families, if essential purchases like food and clothes keep climbing while benefits remain capped. |
| Clarke says: | Clarke says: |
| “The latest rise in inflation adds further pressure to already shrinking pay packets. The uncertain political environment, coupled with Brexit negotiations beginning in six days’ time, is already having an impact on sterling and could create further inflationary pressures down the track. | “The latest rise in inflation adds further pressure to already shrinking pay packets. The uncertain political environment, coupled with Brexit negotiations beginning in six days’ time, is already having an impact on sterling and could create further inflationary pressures down the track. |
| “The latest rise in inflation will be a double blow to low-income working families, who are also seeing their tax credits fall in value as they have been frozen in cash terms. Many will wonder whether the ‘end of austerity’ announced by the Prime Minister last night could mean a softening of the ongoing benefits freeze. | “The latest rise in inflation will be a double blow to low-income working families, who are also seeing their tax credits fall in value as they have been frozen in cash terms. Many will wonder whether the ‘end of austerity’ announced by the Prime Minister last night could mean a softening of the ongoing benefits freeze. |
| “With no sign yet of pay settlements responding to rising inflation, Britain’s renewed pay squeeze looks set to be longer and deeper than many originally expected.” | “With no sign yet of pay settlements responding to rising inflation, Britain’s renewed pay squeeze looks set to be longer and deeper than many originally expected.” |
| The pay squeeze is set to worsen as inflation rises and wage growth remains around 2 per cent pic.twitter.com/deaI4139pv | The pay squeeze is set to worsen as inflation rises and wage growth remains around 2 per cent pic.twitter.com/deaI4139pv |
| Housing, clothing, food and drink responsible for rising inflation in recent months – likely to hit the least well off the most pic.twitter.com/wqq21xRrqr | Housing, clothing, food and drink responsible for rising inflation in recent months – likely to hit the least well off the most pic.twitter.com/wqq21xRrqr |
| 11.22am BST | 11.22am BST |
| 11:22 | 11:22 |
| Ben Lord, who manages M&G’s UK Inflation Linked Corporate Bond Fund, predicts that CPI inflation will peak at 3% later this year. | Ben Lord, who manages M&G’s UK Inflation Linked Corporate Bond Fund, predicts that CPI inflation will peak at 3% later this year. |
| He also believes the Bank of England will resist any pressure to raise interest rates in response: | He also believes the Bank of England will resist any pressure to raise interest rates in response: |
| At this point, with such high uncertainty about the direction of travel into Brexit negotiations, but with very significant downside risks, it seems extremely unlikely the Bank of England will tighten policy at this point. | At this point, with such high uncertainty about the direction of travel into Brexit negotiations, but with very significant downside risks, it seems extremely unlikely the Bank of England will tighten policy at this point. |
| With so little evidence of domestic inflation pressures, and with most inflation coming from ‘transient’ and exogenous forces, governor Mark Carney will look through CPI at 3%, 4% even 5% perhaps. | With so little evidence of domestic inflation pressures, and with most inflation coming from ‘transient’ and exogenous forces, governor Mark Carney will look through CPI at 3%, 4% even 5% perhaps. |
| In fact, if Brexit negotiations commence poorly, and if the government can’t get anything done without a workable majority and now with a viable and sizeable opposition, I would still argue that Carney’s last move at the helm may be in the looser direction. | In fact, if Brexit negotiations commence poorly, and if the government can’t get anything done without a workable majority and now with a viable and sizeable opposition, I would still argue that Carney’s last move at the helm may be in the looser direction. |
| 11.06am BST | 11.06am BST |
| 11:06 | 11:06 |
| Britain’s inflation rate has been driven higher by the slump in the pounce since June’s referendum, tweets Conservative MP George Freeman: | Britain’s inflation rate has been driven higher by the slump in the pounce since June’s referendum, tweets Conservative MP George Freeman: |
| This is the reality of the devaluation of the £ post Brexit: rising cost of living & falling earnings = less money in people's pockets. https://t.co/nSQxD6VUvm | This is the reality of the devaluation of the £ post Brexit: rising cost of living & falling earnings = less money in people's pockets. https://t.co/nSQxD6VUvm |
| Freeman argued we should remain in the EU. | Freeman argued we should remain in the EU. |
| 10.49am BST | 10.49am BST |
| 10:49 | 10:49 |
| Hannah Maundrell, editor in chief of money.co.uk, has sent over some advice on coping with inflation: | Hannah Maundrell, editor in chief of money.co.uk, has sent over some advice on coping with inflation: |
| check you’re on a fixed rate energy tariff (one that guarantees the price you pay per unit) and if not switch | check you’re on a fixed rate energy tariff (one that guarantees the price you pay per unit) and if not switch |
| make sure your savings are earning an interest rate that’s higher than the rate of inflation – otherwise they’ll lose buying power over time – you might need to think about high interest current accounts | make sure your savings are earning an interest rate that’s higher than the rate of inflation – otherwise they’ll lose buying power over time – you might need to think about high interest current accounts |
| shop around for food and fuel so you’re not paying any more than you need to | shop around for food and fuel so you’re not paying any more than you need to |
| check whether you could cut your mortgage repayments by switching to a fixed rate deal if you’re on your lender’s SVR | check whether you could cut your mortgage repayments by switching to a fixed rate deal if you’re on your lender’s SVR |
| 10.38am BST | 10.38am BST |
| 10:38 | 10:38 |
| Child poverty group: End welfare freeze now | Child poverty group: End welfare freeze now |
| The Child Poverty Action Group is urging the government to help struggling families cope with the ravages of inflation. | The Child Poverty Action Group is urging the government to help struggling families cope with the ravages of inflation. |
| Chief executive Alison Garnham says: | Chief executive Alison Garnham says: |
| “Unless there’s an urgent re-think of the current freeze on benefits, the living standards of ordinary families will slip and slide downwards with serious consequences, particularly for children. Families are saying they can’t manage. They need some leeway. Now is the time to ensure that benefits for working and non-working families once again reflect their needs and so rise with inflation. | “Unless there’s an urgent re-think of the current freeze on benefits, the living standards of ordinary families will slip and slide downwards with serious consequences, particularly for children. Families are saying they can’t manage. They need some leeway. Now is the time to ensure that benefits for working and non-working families once again reflect their needs and so rise with inflation. |
| “The failure to uprate benefits in line with inflation is the single biggest driver behind child poverty rising to 4 million and why it’s set to rise to over 5 million by the end of the new parliament.” | “The failure to uprate benefits in line with inflation is the single biggest driver behind child poverty rising to 4 million and why it’s set to rise to over 5 million by the end of the new parliament.” |
| 10.32am BST | 10.32am BST |
| 10:32 | 10:32 |
| This chart from Sky News’s Ed Conway shows how Britain is now experiencing its second real wage squeeze since the financial crisis: | This chart from Sky News’s Ed Conway shows how Britain is now experiencing its second real wage squeeze since the financial crisis: |
| Wages (red) vs inflation (blue). Already the biggest real wage squeeze in two centuries. Now intensifying again. Britons are getting poorer… pic.twitter.com/UdJSuAR6jY | Wages (red) vs inflation (blue). Already the biggest real wage squeeze in two centuries. Now intensifying again. Britons are getting poorer… pic.twitter.com/UdJSuAR6jY |
| The Telegraph’s Ben Wright points out that inflation is higher than the City, or the Bank of England, expected: | The Telegraph’s Ben Wright points out that inflation is higher than the City, or the Bank of England, expected: |
| UK inflation hits 2.9% in May. Higher than wage growth (2.1%), consensus fcast (2.7%), & BoE fcast for peak inflation (2.8% in Q4 07) | UK inflation hits 2.9% in May. Higher than wage growth (2.1%), consensus fcast (2.7%), & BoE fcast for peak inflation (2.8% in Q4 07) |
| 10.23am BST | 10.23am BST |
| 10:23 | 10:23 |
| Maike Currie, investment director for personal investing at Fidelity International, says inflation has hit “eye-watering” levels. | Maike Currie, investment director for personal investing at Fidelity International, says inflation has hit “eye-watering” levels. |
| “Rising prices coupled with lacklustre earnings growth means our wages aren’t keeping up with the rising cost living. Our real income are being squeezed and we’re witnessing this impacting UK consumer spending, which fell for the first time in nearly four years in May as consumers tightened their belts. This is bad news for an economy which relies on confident consumers spending on goods and services - already we are seeing signs of a stagnating economy as confidence among companies and consumers falter. Election result paralysis will only add to the UK economy’s woes. | “Rising prices coupled with lacklustre earnings growth means our wages aren’t keeping up with the rising cost living. Our real income are being squeezed and we’re witnessing this impacting UK consumer spending, which fell for the first time in nearly four years in May as consumers tightened their belts. This is bad news for an economy which relies on confident consumers spending on goods and services - already we are seeing signs of a stagnating economy as confidence among companies and consumers falter. Election result paralysis will only add to the UK economy’s woes. |
| Readers may remember that inflation was rather higher back in the 1970s -- but the key point is that wages aren’t keeping pace. | Readers may remember that inflation was rather higher back in the 1970s -- but the key point is that wages aren’t keeping pace. |
| Currie explains why inflation is a concern: | Currie explains why inflation is a concern: |
| “Inflation never seems like a problem until suddenly it is and while it may be good news for borrowers, as it erodes the value of their debts, it has detrimental implications for savers, investors and retirees, chipping away at the value of future interest and dividend payments and eroding the worth of your capital pot. Once pricing pressures become entrenched, consumers’ feel the pain, businesses don’t invest and the stock market gets worried. | “Inflation never seems like a problem until suddenly it is and while it may be good news for borrowers, as it erodes the value of their debts, it has detrimental implications for savers, investors and retirees, chipping away at the value of future interest and dividend payments and eroding the worth of your capital pot. Once pricing pressures become entrenched, consumers’ feel the pain, businesses don’t invest and the stock market gets worried. |
| 10.17am BST | 10.17am BST |
| 10:17 | 10:17 |
| TUC: Government must act | TUC: Government must act |
| TUC General Secretary Frances O’Grady says the government must respond to the wage squeeze by ending the 1% cap on public sector pay rises: | TUC General Secretary Frances O’Grady says the government must respond to the wage squeeze by ending the 1% cap on public sector pay rises: |
| “The election showed that working people are struggling. And the biggest price rises in four years won’t provide any comfort. | “The election showed that working people are struggling. And the biggest price rises in four years won’t provide any comfort. |
| “Working people are still £20 a week off worse, on average, than they were before the crash – and now rising prices are hammering their pay packets again. | “Working people are still £20 a week off worse, on average, than they were before the crash – and now rising prices are hammering their pay packets again. |
| “The new government must stop the real wage slide. Ministers must focus on delivering better-paid jobs all around the UK. | “The new government must stop the real wage slide. Ministers must focus on delivering better-paid jobs all around the UK. |
| “And it’s time to lift the artificial pay restrictions in the public sector. Our hardworking nurses and teachers are long overdue a pay rise.” | “And it’s time to lift the artificial pay restrictions in the public sector. Our hardworking nurses and teachers are long overdue a pay rise.” |
| UK #inflation rises unexpectedly in May to 2.9%, highest since June 2013 pic.twitter.com/9iz81wPU0J | UK #inflation rises unexpectedly in May to 2.9%, highest since June 2013 pic.twitter.com/9iz81wPU0J |
| 10.11am BST | 10.11am BST |
| 10:11 | 10:11 |
| Sign up to our email | Sign up to our email |
| Guardian Business has launched a daily email. | Guardian Business has launched a daily email. |
| Besides the key news headlines that you’d expect, there’s an at-a-glance agenda of the day’s main events, insightful opinion pieces and a quality feature to sink your teeth into each day. | Besides the key news headlines that you’d expect, there’s an at-a-glance agenda of the day’s main events, insightful opinion pieces and a quality feature to sink your teeth into each day. |
| For your morning shot of financial news, sign up here: | For your morning shot of financial news, sign up here: |