UK wage growth slowed to 4.5% between September and November, driven by a sharp decrease in private sector pay increases, as the number of people employed continued to fall. This slowdown, particularly in the private sector, is viewed as a positive development for controlling inflation by the Bank of England.

• Private sector pay growth saw its lowest rate in five years, while public sector wages jumped by 7.9%.
• The number of people on company payrolls fell by 135,000 in the three months to November, with significant declines in retail and hospitality sectors.
• The unemployment rate remained at 5.1%, the highest since early 2021, with the rate for 16 to 24-year-olds near a 10-year high at 15.9%.