21.04.202606:07:35UTC+00UK Wage Growth Tops Estimates

Regular pay in the UK, excluding bonuses, increased by 3.6% year-on-year to GBP 692 per week in the three months to February 2026. This marked a slowdown from 3.8% growth in the previous period but was slightly above market expectations of 3.5%. It was also the weakest pace of growth since the three months to November 2020.

In the private sector, wage growth eased to 3.2% from 3.3%, the lowest rate since the three months to October 2020. Public sector pay growth also cooled, falling to 5.2% from 6.0%, its softest increase since early 2025.

By industry, annual pay gains were recorded in wholesale, retail, hotels, and restaurants (4.2%); manufacturing (3.5%); services (3.7%); construction (0.5%); and finance and business services (2.4%).

After adjusting for inflation, real wages rose 0.2% in the three months to February, unchanged from the 0.2% increase in the previous period and the most modest real pay growth since mid-2023.