📢 chart of the day 🤓 (with the right labels this time 😔) Here's the breakdown of the jump in the HMRC measure of median pay growth (from 6.4% in March to 6.9% in April). My three takeaways 1⃣ shows the impact of the big hike in the National Living Wage - sectors where pay is lowest (#retail and #hospitality) saw the bigger rises 2⃣ nothing that monetary policy can (or should) do about this. Instead, the Bank of England will look at what's happening to underlying pay pressures - balance of evidence there still suggests the labour market is cooling. 3⃣ MPC will still want to see another month's data, but nothing here (IMHO) to prevent a first rate cut in June cc. @ChrisGiles_ @Frencheconomics @asentance @DrGerardLyons source: ons.gov.uk/employmentandl…
