Disposable income is in danger of being squeezed as average UK wages come under pressure, according to the latest figures from the ONS.
Average wages including bonuses fell 0.2% from April to June this year. However, it said this was because of an “unusually high” growth rate last April when some employers who usually pay bonuses in March paid them a month later.
Pay excluding bonuses was 0.6% higher than last year, the lowest rise on record, according to the BBC.
Meanwhile, unemployment continued to fall. In the quarter to June, 30.6 million people were in work, 167,000 more than the first quarter of the year and 820,000 more than a year earlier. The proportion of 16- to 64-year-olds in work hit 73%.