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World

Public sector pay rises are hurting the economy

13 August 2024

6:53 PM

13 August 2024

6:53 PM

Today’s labour market figures ought to bring good news: they show that growth on earnings has moderated to 5.4 per cent, the lowest level in two years. That should ease fears of inflation – it is growth in pay which has most concerned the Bank of England in recent months – and pave the way for further cuts in interest rates.

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