UK Unemployment Falls to 4.9% as Wages Rise 4.4%, Lifting Pound and Hitting Gilts
Updated
Updated · Bloomberg · Jun 18
UK Unemployment Falls to 4.9% as Wages Rise 4.4%, Lifting Pound and Hitting Gilts
3 articles · Updated · Bloomberg · Jun 18
Summary
UK unemployment unexpectedly dipped to 4.9% in April, while wage growth came in stronger than forecast, reinforcing signs of labor-market resilience ahead of the Bank of England decision.
Average regular pay rose 4.4%, even as private-sector pay kept slowing and vacancies fell to 707,000 in the three months to May—the lowest since early 2021.
Markets reacted by pushing gilt prices lower and sterling higher, while the FTSE 100 lagged as weaker Brent crude weighed on energy shares.
The data followed a surprise 2,000 rise in May payrolls, defying expectations for a 23,000 drop and complicating the case for easier UK monetary policy.