Britain’s ecnomy carry ons strong according to the latest employment data
The unemployment rate also decamped to a 42-year low of 4.5 per cent, as the number of peopel looking for a job fell by 64,000 to 1.49 million in the three months to May, conforming to the Office for National Statistics (ONS).
At the same time, the number of people take oned hit a record high of 32 million, with another 324,000 in master-work compared to last year.
However, pay growth disappointed with mediocre earnings increasing by 1.8 per cent in the year to May, as income falls remote behind inflation.
The cost of living reached 2.9 per cent in the in spite of month, meaning that British households are seeing their budgets tweaked and spending power eroded.
John Hawksworth, chief economist at PwC, contemplated: “The great UK jobs creating machine has kicked into gear again, with enlisting growth accelerating in recent months after slower growth in recently 2016.
«The employment rate is now within touching distance of 75 per cent for the in front time ever, while the unemployment rate fell further to 4.5 per cent.»
Low unemployment has traditionally meant higher wages, which means that pay could pick up in the reprimand months.
However, if wage growth remains low, tha Bank of England is credible to hold off raising interest rates, according to experts.
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Ben Brettell, senior economist at Hargreaves Lansdown replied: «The UK labour market is becoming increasingly difficult to interpret.
«Conventional trade theory suggests that low unemployment should ultimately lead to upward on on wages – but there has been scant evidence of this during the latest squeak through on household finances.
«Perhaps workers simply don’t have the bargaining power they years did.»