UK Employer Pay Awards Hold at 3.3% Amid Economic Uncertainty: Brightmine
Overview of UK Pay Settlements and Economic Context
LONDON, July 22 (Reuters) - Pay settlements by British employers held steady in the three months to June despite concerns about the Iran war and economic uncertainty, according to data published on Wednesday that will be studied by the Bank of England.
Pay Award Trends and Analysis
The median pay award by employers remained at 3.3% in the three months to the end of June, matching the pace of the three previous rolling quarters, figures from human resources data firm Brightmine showed.
Expert Commentary
"While the big picture continues to remain uncertain for 2027, the remarkable level of stability in the year to date gives us some indication that organisations are finding more sustainable pay positions in spite of wider economic challenges," said Sheila Attwood, Brightmine's senior content manager.
Survey Details and Key Findings
Below are details from the survey and related context:
Highlights from the Brightmine Survey
• Pay settlements were higher than employers expected at the start of the year
• The median pay award of 3.3% is likely indicative of where pay awards will settle in 2026 as a whole
• Brightmine analysed 268 pay settlements between April 1 and June 30 covering more than 3.6 million employees.
Wider Economic Indicators
• Official data on Tuesday showed the jobs market stabilised at weak levels
• The BoE is watching for signs that the energy price jump caused by the Iran war is creating long-term inflation pressure.
(Reporting by Suban AbdullaEditing by William Schomberg)
