Andrew Bailey warns of ‘significant decline in wage growth in year ahead’ as Bank prepares for interest rates decision
There are growing signs that the UK jobs markets is slowing as employers respond to higher national insurance contributions (NICs) by cutting hiring and offering weaker pay rises, the governor of the Bank of England has warned.
Andrew Bailey said the combined effect of lower employment and weaker wages growth would be considered by the Bank’s nine-member monetary policy committee (MPC) when it next meets in August to set interest rates, which now stand at 4.25%.