Disposable Income Grows At A Tenth Of The Rate Of Previous Decade, Finds TUC
Working households have gained just £650 extra to spend since 2006/07, less than a tenth of what they gained in the previous decade (£7,200).
TUC analysis of Wednesday's ONS figures shows that working households’ disposable incomes have risen by a mere 0.2% a year since 2006/7 - compared to annual growth of 3.3% in the ten years before that.
And the TUC is warning that this decade’s meagre increase could be wiped out in the coming year, as real wages are expected to continue falling in 2018.
The small growth in household income is mainly driven by more households having work. But pay is lower, with average real wages still worth £38 per week less than before the crisis.
TUC General Secretary Frances O’Grady said:
“It’s been a historically bad decade for working people’s incomes.
“More people are working than ever, but their incomes have barely budged in a decade. That should set alarm bells ringing in Westminster.
“Britain needs a pay rise. Ministers should hike up the minimum wage and get investing across the UK.”
Disposable Income Grows At A Tenth Of The Rate Of Previous Decade, Finds TUC, 11th January 2018, 15:25 PM