UK earnings growth - Something to consider

Turnbull2000

(woo! we're back up)

I feel this is highly relevant to those with a mortgage or considering a mortgage. It is a long-term commitment after all, and career progress and salary growth is imperative.

ONS 2007 pay survey

2.9% - 2007 earnings inflation

4.6% - 2000 earnings inflation

£498 - Median full-time male weekly earnings

£394 - Median full-time female weekly earnings

Health professionals - Highest earning occupation

Sales - Lowest earning occupation

£498 - Median level of full-time earnings in the public sector

£439 - Median level of full-time earnings in the private sector

3.0% - Public sector earnings inflation

2.9% - Private sector earnings inflation

4.2% - RPI inflation

-1.3% - Salary growth against inflation measure

Comments -

• Salary growth is negative. As I've already predicted, mortgage debt for first-time-buyers will not be eradicated and become less burdensome after a few years. It may in fact become more difficult.

• So public sector employees are now the highest earners, retire earlier and have the best pension deal by some distance. No surprise there.

• I expect savings and pension contributions to plummet further for this generation. Their consumption levels will also fall.

WTF?_2

Don't worry - people can just take out a huge mortgage to buy a house and make a mint on the property ladder. Prices only ever go up and up don't you know.

Then they can keep borrowing off of the 'increased equity' in their property, ad infinitum. Who needs proper wages anyway in the brave new world of credit?

free4440273

^Looks that way: Dow is up nearly 300 points today: Wall St. encouraged by news from Wal Mart. Spend spend spend. BofE faces a dilemma now: inflation breaching even it's own (suspect) targets. Looks like rate cuts will have to wait until next year

epz_2

why dont you just hand me a map to the nearest bell tower and a rifle !!!!!!, at least i know for sure now where all my wages go, tax for gordons army.

can someone please explain why public sector workers get paid so much more than they did 10 years ago with little improvement in services. never thought i would say this but what we need is a recession so the government cant keep just ramping up their wages for no reason.