UK labour market extends its positive momentum – UOB

Economist Lee Sue Ann at UOB Group assessed the latest UK labour market report published on Wednesday.

Key Quotes

“UK wages are rising at their fastest rate in more than a decade and the unemployment rate has fallen to a record low… Including bonuses, wages rose at an annual pace of 4.0% y/y, higher from a previous revised reading of 3.8% y/y, and marking the highest rate since mid2008”.

“The unemployment rate of 3.8% is also at its lowest since 1974, largely driven by a record-low in the percentage of women who are unemployed. Meanwhile, the claimant count change showed a minor increase… Overall, the UK labour market has remained resilient over the summer despite Brexit uncertainty and even as the broader economy felt the effects of a global slowdown”.