Forty-one per cent of those in work have not had a pay rise in the past year, according to a new poll of MoneySavingExpert.com users. Just a quarter have had a rise that matched or exceeded inflation, while those on the lowest salaries are generally least likely to have seen a rise.
Some 8,926 users responded to our poll on the topic - and discounting those who said they didn't know, some 8,851 told us whether they'd had a pay rise, or had awarded themselves one if self-employed.
We also asked whether any increase they'd seen was less than, in line with or more than inflation. The Consumer Prices Index (CPI), a key measure of UK inflation, was 3% in September and October - the highest it's been since March 2012.
Here are the poll's key findings, calculated from those who said whether they had or hadn't had a pay rise:
- Overall 59% said they HAD had a pay rise in the past year. But only 24% said their wage had risen in line with or by more than inflation.
- For those that had had no pay rise, it wasn't simply a case of being new in their role. 89% of those who hadn't had a pay rise said they HAD been in their job for longer than a year.
- Those on the lowest salaries were generally much less likely to have had a pay rise. Just 39% of those earning less than £11,500 had had a pay rise in the past year, compared to 59% of those earning more than £65,001 (those earning over £150,000 were least likely to have had a rise, but this was a very small sample). Only 13% of those earning under £11,500 saw a rise in line with or by more than inflation.
The poll comes as new statistics reveal that for September 2017, average regular pay for employees in Great Britain was £477 per week before tax, up from £467 per week on a year earlier.
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'If you don't ask, you often don't get'
MSE consumer expert Megan French said: "This suggests many people have had an effective pay cut in the last year, with those who can least afford it affected the most. When inflation is high and people aren’t getting pay rises to match, households really feel the squeeze on paying the bills they can't avoid, such as heating, food and rent.
"But pay rises aside, it's always worth remembering there are plenty of ways to cut costs and give yourself a money makeover, such as switching your energy or doing an audit of your direct debits to make sure you're not paying out for things you don't use, which can all add up to save £1000s."
Poll results in full
Here's a full breakdown of the poll results:
Poll results in full (excluding don't knows)
|No – and I’ve been in my job for a year or more||No – but I’ve been in my job for less than a year||Yes – but by less than current inflation||Yes – in line with inflation||Yes – by more than inflation|
|I earn less than £11,500||56%||6%||26%||7%||6%|
|I earn £11,501 – £25,000||47%||4%||35%||5%||9%|
|I earn £25,001 - £45,000||29%||4%||40%||9%||17%|
|I earn £45,001 - £65,000||25%||4%||35%||12%||24%|
|I earn £65,001 - £100,000||28%||5%||27%||14%||27%|
|I earn £100,001 - £150,000||36%||6%||19%||10%||30%|
|I earn over £150,000||65%||8%||4%||7%||16%|