Stagnant pay shows new PM is right to pledge action on the cost of living – TUC
- ONS data continues to suggest the jobs market held steady in Spring, with the employment rate up 0.1 to 75.1% and the unemployment rate down 0.1 to 4.9%.
- Payrolls fell 71,000 over the year to June but were largely unchanged in the latest two months.
- Redundancies fell by 28,000 to 108,000 in the latest three-month period.
- Youth unemployment remains high at 14.8 % and increased over the quarter and the year.
- Vacancies fell by 7,000 over the quarter to 712,000
- Real pay growth was 0.4% against CPI inflation, down from 1.8% in the same period last year. Private sector real pay fell by –0.1%
Responding to the latest labour market statistics and the government’s announcement on energy bills, TUC General Secretary Paul Nowak said:
“Today’s figures show Andy Burnham is doing the right thing by pledging action on the cost of living.
“Working people are up against it with stagnant real pay, over a million people stuck on insecure zero-hour contracts, and a million young people not in employment, education, or training.
“Cutting VAT on energy bills will provide some welcome relief. But with Donald Trump’s illegal war in Iran continuing to drive up bills, the government will need to go further. The new Prime Minister could raise up to £60 billion over four years by increasing taxes on banks – and use it to bring down bills further for households across the country
“Andy Burnham is sending the right signals by pledging to help young people into work. In the months ahead, he will need to expand the youth jobs guarantee and double down on his pledge to reindustrialise Britain and deliver good growth in every postcode.”
- The TUC is proposing a social tariff paid for by an increase in the bank surcharge.
- Bank bonuses hit £25 billion in the year to Q1 2026.
- About the TUC: The Trades Union Congress (TUC) exists to make the working world a better place for everyone. We bring together the 5.3 million working people who make up our 47 member unions. We support unions to grow and thrive, and we stand up for everyone who works for a living
Contacts:
TUC press office
media@tuc.org.uk
020 7467 1248
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