Labour Research June 2021

News

Inflation jumps

Annual price inflation almost doubled to 2.9% in April, measured by the Retail Prices Index. Influential in wage bargaining, RPI inflation has overtaken pay settlements monitored by LRD Payline, where the median increase is 2.0%.

Falls in consumer prices at the start of the pandemic are partly responsible, but bigger pay rises will now be seen as justified. The CPIH measure (including a housing element) rose from 1.0% to 1.6%.

https://www.ons.gov.uk/economy/inflationandpriceindices

www.lrd.org.uk/index.php?pagid=18