Today's figures show that pay growth in the UK continues to disappoint. In the three months to January 2017, real wages (which strip out the effects of inflation) are now growing at the slowest rate for two years. This underlines the importance of increasing productivity, which remains the only sustainable route to higher wages, and therefore increased living standards.
Today's figures show that real wage growth, which strips out the affects of inflation, in the UK is at its lowest level for over two years. With inflation increasing at a faster pace, more sustainable productivity growth will be needed to drive faster wage growth.
For a variety of reasons, people are now working for longer. Economic conditions, the raising of retirement ages, improved health and poor future personal financial planning are all contributory factors in this. Workers have to and, in many cases, want to work for longer into what would once have been their retirement years.