Average earnings growth goes negative.

tvfreek

For those on incomes between £18k-£33k the culmative effect of high inflation means you're earning about 1/5 less in real terms then you were pre 2008 crisis. Add in the rises in world food costs over the last 4 years and 8% annual increase in the cost of renting (or even buying) its no wonder people don't feel the effect of the improving economy.

What concerns me most - how will these people cope when the wheels fall off the financial merry go round again - we're about 4 or 5 years off assuming hypothication continues at it's current pace.

CLAPTON

tvfreek wrote: »

For those on incomes between £18k-£33k the culmative effect of high inflation means you're earning about 1/5 less in real terms then you were pre 2008 crisis. Add in the rises in world food costs over the last 4 years and 8% annual increase in the cost of renting (or even buying) its no wonder people don't feel the effect of the improving economy.

What concerns me most - how will these people cope when the wheels fall off the financial merry go round again - we're about 4 or 5 years off assuming hypothication continues at it's current pace.

the cumulative effective of inflation includes foods prices and rental increase


what wheels are you expecting to fall off what merry go round?

what does hypothication (sic) mean in this context?

danothy

Graham_Devon wrote: »

Did you miss this in the opening thread?

What's an 'opening thread'?

Graham_Devon wrote: »

The ONS suggest it's linked to bonuses as companies took advantage of tax custs in April 2013. But still, even taking that into account, wage growth would still be falling.

Though apparently, if it's not in the title, it's too difficult for some to comprehend?

Wage growth falling does not necessarily equate to falling wages, and in this case case specifically it does not. From the article you linked to:

Mr Philpott said that that even adjusting for the distortion of bonuses being paid earlier last year, average weekly earnings [are] still rising more slowly than inflation, by 0.6pc year on year

Though apparently for some, if it doesn't fit their world-view, it's too difficult to comprehend?

BillJones

Graham_Devon wrote: »

Did you miss this in the opening thread?



Though apparently, if it's not in the title, it's too difficult for some to comprehend?

No, I did not miss it, but as you went on to utterly disregard that fact then clearly you did. So I pointed it out.

Your second line is a statement, not a question by the way, you don't need question marks on those...

BillJones

Graham_Devon wrote: »

It seems wages are now falling, not growing.

Unemployment contiues to fall. So we have increased employment, but reducing earnings.

It's strange isn't it, that he started with the above, yet now pretends that he understood all along that underlying wages were actually rising.

I often wonder if it's right, or fair, that some do so well, when others do so much worse, but then I read one of this guy's posts, and am reminded why...

wotsthat

BillJones wrote: »

I often wonder if it's right, or fair, that some do so well, when others do so much worse, but then I read one of this guy's posts, and am reminded why...

When your life is about proving the UK is hell and we travelled here by handcart then it's best to focus on headlines rather than engage in any depth of thought.