Chris Wright
Wage stagnation continues. On the back of last week’s report from the NIESR, and Mervyn King’s comments in January on the lag of incomes behind inflation and living costs, the Institute for Fiscal Studies today raised the prospect of average incomes for the current financial year falling to 2004-05 levels.
While this dents the Coalition’s plans for a speedy economic recovery, it adds further weight to the case for an alternative strategy based around wage-driven growth.
