UK's earnings growth picking up

The variable like rate of earinings growth will be in the mind of MPC, during revising interest rate.

"If the output gap is really closing up then it should be showing up in an acceleration in earnings growth. And, growth of regular earnings ex bonuses is seemed to pick up at 2.2% 3mth yoy from a low of 0.6% in June last year but the low was a distortion caused by tax changes. Further rise in regular earnings is expected from 2.2% to 2.4%. moreover, bonuses are seemed to be strengthening as well which should boost growth in total earnings from 1.9% to 2.5%", said SocGen in a report on Wednesday.

This month's release will also move to a new definition of the claimant count. For the past year, the ONS has been running an experimental series that adds claimants of the new Universal Credit to the headline claimant count measure. From the May data onward, i.e. this release, the definition of the headline measure will be changed to be that series. Societe Generale forecasts, the new measure will have fallen by 8k after 6.5k in April.