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Typical wages in the UK will increase by 6.0% more than expected

Typical wages in the UK will increase by 6.0% more than expected

British wages excluding bonuses – given the Bank of England's eye for a rate cut – rose a stronger-than-expected 6.0% in the first three months of 2024 compared with the same period last year, the data showed.

Economists polled by Reuters had forecast wage growth of 5.9%, below the 6.0% rise in the three months to February.

The BoE is watching for signs that Britain's still-strong wage growth will restore high inflation, although it signaled last week that it could cut interest rates from the current 5.25% as early as June. .

Tuesday's figures are the first of two jobs data released by the Office for National Statistics, which the BoE will consider before its next meeting.

Total pay, which includes more volatile bonus payments, rose 5.7%, beating expectations of economists who had expected a 5.5% increase.

Regular private sector wages and salaries – the BoE's key gauge – fell to 5.9% from 6.0% in the three months to February.

Sterling briefly strengthened against the US dollar after the figures were released.