UK earnings growth has eased back further as the rate of unemployment hit its highest level for more than four years but official figures also showed signs the jobs market may be stabilising.
The Office for National Statistics (ONS) said regular wage growth fell back to 4.7% in the three months to August, down from 4.8% in the previous three months, and hitting a fresh low of more than three years.
The jobless rate increased to 4.8% in the three months to August, up from 4.7% in the previous three months and the highest since March to January 2021, the ONS added, although it said the figure needs to be treated with caution as it continues to overhaul its labour market survey.
But it said there were signs of the jobs market downturn “levelling off”, with a rise in UK workers on payrolls – up 10,000 between July and August, following a minor increase the previous month, though early estimates signalled a 10,000 drop during September to 30.3 million.
ONS director of economic statistics Liz McKeown said: “After a long period of weak hiring activity, there are signs that the falls we have seen in both payroll numbers and vacancies are now levelling off.
“We see different patterns across the age ranges with record numbers of over-65s in work, while the increase in unemployment was driven mostly by younger people.”
