Relief for Brits as wages outstrip inflation by biggest margin since 2021 ... trends now

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Brits have been offered some much-needed relief as figures showed wages outstripping inflation by the biggest margin in two and a half years.

Regular pay rose by 2.1 per cent year-on-year in real terms in the three months to February. That was the highest rate since September 2021, reflecting easing prices. 

However, the latest official figures also suggest that the jobs market is cooling, with unemployment nudging up and vacancies dipping.

Worryingly for ministers, levels of inactivity have also gone up despite efforts to reverse the trend.

The number classified as long-term sick now stands at 2.83million, the highest on record.  

Chancellor Jeremy Hunt said that workers should 'start to feel the difference' from rising incomes and tax changes.