Fact Service November 2019

Issue 46

Earnings less in real terms than in 2010

If inflation is taken into account, average weekly earnings are less now than in 2010 when the Conservatives came to power.

In September 2010 — just five month after the Conservatives took power — average weekly earnings, including bonuses, were £447 a week, and excluding bonuses they were £422. 

The Retail Price Index in September 2010 was 237.9 and by September 2019 was 291.0 — a 22.3% increase over the nine-year period.

If weekly earnings had matched the rise in inflation average weekly earnings, including bonuses would now be £547, but are only £542. Excluding bonuses, earnings would now be £516, but are only £508.