UK wages rise faster than expected – but don’t keep up with inflation

The British economy suffered the same malaise as the rest of the industrialised world during the pandemic.

But as other countries recover we seem to be suffering a bout of long economic Covid, and like Covid it is full of mysteries.

Wages are growing at a faster rate, but not in line with inflation – and productivity remains very low.

Trade has suffered, in part down to Brexit, but the number of people over 50 who left the world of work during the pandemic never to return is also presenting a major challenge for the economy.