Falling UK wage growth boosts chances of August rate cut

Fall from 6% to 5.7%

Wages in the UK grew at their slowest pace in two years, bolstering hopes of a summer interest rate cut.

In the three months to May, average regular earnings fell from 6% to 5.7%, according to data from the Office for National Statistics released today (18 July).  This marked the lowest quarterly figure since the three months to August 2022, when it stood at 5.4%.  UK inflation returns to 2% target but June BoE cut remains unlikely Meanwhile, the UK rate of employment remained unchanged at 4.4%. The ONS director of economic statistics, Liz McKeown, said: "We continue to see overall some signs of a cooling in the labour market, with the growth in the number of employees on the payro...