Biggest squeeze for public sector pay in 20 years

Public sector pay for jobs such as NHS workers, teachers and civil servants fell further behind price rises in the three months to February, figures show.

The father of three says it costs £1.80 a litre to put diesel in the family car and their energy bill has gone from £69 to £268 a month. Their weekly shop at Aldi is up from £50-60 to £80-90. Ruth Gregory, senior UK economist at Capital Economics, said the number of people classed as inactive rose by 76,000 in the three month period.. The increase was 3.1%. Now official figures show the average wage is going up by 4%.Households are watching most things get more expensive. Prices are rising at over 6% a year and accelerating, outstripping the uplift in benefits and pay. Remember, the target rate for price increases in the economy, as measured by inflation, is 2%.

The ONS said the highest rate of vacancies was in construction, which rose by 18.7% in the first three months of the year. Sectors such as hotels and food services, including restaurants, and entertainment saw job openings increase by 13.1%. But Labour's shadow chief secretary to the Treasury, Pat McFadden, said the data shows that "Conservative choices are leaving real wages squeezed and people worse off".

At least they get rises in the public sector.

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