UK wage growth slowed slightly at the start of 2025 but remained fairly strong as the jobs market continued to hold fairly firm.
The unemployment rate remained at 4.4% in January, the Office for National Statistics revealed on Thursday, while February's claimant count rate rose to 4.7% from 4.6% previously.
Average wage growth including bonuses eased to 5.8% for the three months to January, down from 6.0% previously, which was revised up to 6.1% by the ONS. Pay growth excluding bonuses remained at 5.9%, as expected.
More timely data from February shows the jobless claims increased by roughly 44,200, more than the 7,900 expected and the previous 22,000, which was revised down to 2,800.
The number of 'payrolled' employees was up 21,000, based on HMRC figures, with the previous figures revised down to 9,000.
"Overall pay growth remains relatively strong, with pay growth high in both the public and private sectors, despite the latter slowing slightly in the latest period," said ONS director of economic statistics Liz McKeown.
"The wider labour market picture is relatively unchanged, with the number of employees on payroll broadly flat in the latest period and with little growth seen over much of the last year."
She added that initial estimates show that the number of job vacancies was little changed compared to the previous quarter, remaining just above pre-pandemic levels.