Falling CPI Lifts Real Wage Growth and Pay..>

UK DATA: Falling CPI Lifts Real Wage Growth and Nominal Pay Stalls

-UK Dec-Feb AWE including bonus +3.5%, unchanged from Nov-Jan 

-UK Dec-Feb real AWE +1.6%, quickest pace since May-July 2016

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Nominal wage growth stalled in the three months to February, with 

regular pay, which excludes bonuses, falling to a 3.4% annual pace from 

3.5% in the previous period. However, as predicted by the Bank of 

England, the slump in CPI to a below-target 2% in early 2019 has boosted 

real wages. Pay growth slowed markedly in the month of February, with 

real earnings including bonus rising by just 1.2%, down from 2.1% in the 

three months to January. Wage growth steadied or decelerated across all 

major industry groups, with the exception of manufacturing. Factory 

wage growth rose by 0.1 percentage point to 1.9% in the three months to

Feb.