Resolution Foundation ASHE analysis

Real pay growth strongest in over 5 years, due to pick-up in nominal pay and low inflation in 2016

But still a long way to go, and prospects for lower pay growth / higher inflation mean this year’s growth unlikely to be repeated soon

Hourly pay in 2016 was still 88p (6.8 per cent) below its 2009 peak

Introduction of the National Living Wage contributed to strongest pay growth for the lowest paid in 2016

Pay growth in the first two years of recovery has been stronger for lowest paid even that around turn of millennium

Strong pay growth for women and PT employees in 2016 means they are closest to regaining pre-downturn earnings levels

Pay for employees in their 20s grew 4.2% in 2016 – they are now closer to their pre-downturn peak than those in their 30s

Northern Ireland and the West Midlands have had the strongest pay recoveries so far, London remains furthest from peak

Large, NLW-related pay increase in sales and customer service occupations means typical pay for these roles has surpassed pre-downturn peak