Private sector pay growth slows to five-year low
UK wage growth slowed to 4.5% between September and November 2025, according to the Office for National Statistics, highlighting a significant deceleration in private sector pay. Wages in private businesses rose by just 3.6%, marking the lowest increase in five years. Public sector pay grew by 7.9%, although the ONS noted this was likely influenced by pay awards being brought forward compared with the previous year. The labour market also showed signs of cooling. The number of people on company payrolls fell by 135,000, with the largest reductions seen in retail and hospitality. Youth unemployment for 16–24-year-olds remained high at [...]







