UK private pay 2.9% while NHS-driven public wages rise 5.5%

Business Jul 21, 2026

Private sector pay in the UK grew by just 2.9% from March to May 2026, the slowest pace in six years and barely ahead of inflation at 2.8%.

Meanwhile, public sector workers saw a bigger boost, with wages rising 5.5%, mostly thanks to new NHS pay deals.

Weekly earnings up 4.5% vacancies down

Overall weekly earnings went up by 4.5%, and wage growth (excluding bonuses) held steady at 4.3%.

Unemployment stayed at 4.9% in May, down a bit from earlier this year.

Job vacancies dropped by 18,000 compared with last year, as small businesses say higher hiring costs are making it tough to fill open roles.

ONS's director of economic statistics, Liz McKeown, said that while the number of job vacancies fell, the drop-off was less than in recent periods.