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Home Business

Surprise rise in wages – as unemployment unexpectedly stays the same

by DigestWire member
February 18, 2025
in Business
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Surprise rise in wages – as unemployment unexpectedly stays the same
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Wages have risen while unemployment unexpectedly saw no change, official figures show.

Average weekly earnings rose 6% in December, data from the Office for National Statistics (ONS) showed, while wages – excluding bonuses – grew 5.9%, despite economists expecting a 5.8% rise.

Money blog: Britain’s favourite banks revealed

Even when inflation is factored in wages are still rising. In the same month as earnings grew 6% the rate of price rises was 2.5%.

It marks the third month in a row of wage growth. In November both basic pay excluding bonuses, and average weekly earnings, rose at an annual rate of 5.6%.

Both private and public sector worker pay increased.

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The unemployment rate remained unchanged at 4.4%. A rise was anticipated by economists who were polled by the Reuters news agency.

The ONS, however, has advised caution in interpreting changes in the monthly unemployment rate due to questions over the reliability of the figures.

The exact number of unemployed people is not known – partly because people don’t answer the phone when the ONS calls.

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