Economy alert: UK wages drop as unemployment remains steady amid 'weaking labour market'

Jan 20, 2026 - 07:14
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Economy alert: UK wages drop as unemployment remains steady amid 'weaking labour market'

The UK's wage growth fell while the country's unemployment rate remained steady towards the end of 2025, according to the latest figures from the Office for National Statistics (ONS).

UK average regular earnings growth dropped to 4.5 per cent in the three months to November, however was 0.9 per cent higher after taking Consumer Prices Index (CPI) inflation rate into account.


"The number of employees on payroll has fallen again, with reductions over the last year concentrated in retail and hospitality, and reflecting ongoing weak hiring activity," Liz McKeown, director of economic statistics at the ONS said.

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