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UK employer pay awards hold at 3.3%, Brightmine says

UK employer pay awards hold at 3.3%, Brightmine says

FILE PHOTO: An employee works at at Spice Kitchen, a specialist food manufacturer that exports gift boxes of spices around the world, in Liverpool, Britain April 3, 2025. REUTERS/Temilade Adelaja/File Photo · Reuters
Reuters Tue, July 21, 2026 at 7:07 PM EDT 1 min read

LONDON, July 22 (Reuters) - Pay settlements by British employers held steady in the three months ‌to June despite concerns about the Iran ‌war and economic uncertainty, according to data published on Wednesday ​that will be studied by the Bank of England.

The median pay award by employers remained at 3.3% in the three months to the end of June, ‌matching the pace ⁠of the three previous rolling quarters, figures from human resources data firm Brightmine showed.

"While ⁠the big picture continues to remain uncertain for 2027, the remarkable level of stability in the year ​to ​date gives us some indication that ​organisations are finding more sustainable pay ‌positions in spite of wider economic challenges," said Sheila Attwood, Brightmine's senior content manager.

Below are details from the survey and related context:

• Pay settlements were higher than employers expected at the start of the year

• The median pay award of ‌3.3% is likely indicative of where pay awards will settle in 2026 ​as a whole

• Brightmine analysed 268 ​pay settlements between ​April 1 and June 30 covering ‌more than 3.6 million employees.

• ​Official data ​on Tuesday showed the jobs market stabilised at weak levels

• The BoE is watching for signs ​that the ‌energy price jump caused by the Iran ​war is creating long-term inflation pressure.

(Reporting by Suban ​AbdullaEditing by William Schomberg)

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