Wages have fallen in London against a backdrop of cost of living rises, according to the latest data from Employment Hero.
Employment Hero’s latest Jobs Report, based on data from over 105,000 employees across the UK’s small and medium-sized businesses, highlights a decline in wages in the Capital and the South of England, contrasting with strong growth in the North.
Wage growth in London slowed to 0.1% month-on-month in July, while the South of England saw wages decline by -0.3% over the same period.
In contrast, workers in the North benefited from an increase of 1.9% month-on-month, reflecting an ongoing positive trend for the region.
London, a hotbed for the highest-paying roles in the country, is currently struggling to match the pace of wage growth across other regions, as workers increasingly leave the high-cost area for more affordable places.
Kevin Fitzgerald, UK Managing Director of Employment Hero, said, “Workers are increasingly aware of the financial challenges of living in expensive cities like London, where wages aren’t rising in line with the cost of living.
“Small businesses across the country are under considerable pressure, as higher business costs limit their ability to offer significant pay increases – and employees in the capital are feeling the pinch.
“Meanwhile, the North is seeing a resurgence with solid wage growth and more affordable living, making it an attractive place for anyone looking to stretch their monthly pay packet further.”
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