Ryan FowlerNew analysis from the TUC has found that in nearly two-thirds (63%) of UK local authorities, wages are lower in real terms than they were in 2008. In 212 out of 340 local authorities, real wages in 2024 are still trailing behind those before the global financial crisis. Furthermore, the TUC points out that real wages across all UK local authorities have not kept pace with the pre-2008 growth rate.
The capital has the highest concentration of areas where real pay has declined, with 94% of London’s local authorities experiencing lower real wages compared to 2008. Even in regions with traditionally lower pay like the North East, real wages have not recovered in half of the local authorities, despite uplifts from the minimum wage.
Describing the situation as an “unprecedented pay squeeze,” the TUC labels the findings a stark critique of the Conservative party’s economic governance. UK workers are reportedly enduring the most extended period of wage stagnation since the Napoleonic era, with the average worker potentially missing out on an additional £10,400 annually if wages had continued to grow at the pre-crisis rate.
TUC General Secretary Paul Nowak condemned the sustained wage suppression, stating, “Hard work should pay for everyone. But people are still worse off than in 2008 across the vast majority of Britain. And in every corner of the UK pay growth is way below historic trends.”
He criticised the Conservatives for reversing wage recovery trends with austerity measures and highlighted that more robust economic growth and fair wealth distribution are necessary to rectify this. Nowak called for a “New Deal” that would entail significant investment in UK industry and ensure workers receive a fair share of the wealth they generate.
