Question to the HM Treasury:

To ask Mr Chancellor of the Exchequer, what forecast he has mad of the change in the level of real-terms pay for the 2017-18 financial year.

The Office for Budget Responsibility’s Spring Budget 2017 forecast was for nominal wage growth to increase in each year of the forecast. Inflation is expected to weigh on real earnings growth in the near term, before returning to 2.0% from 2019 onwards.

The Government is taking action to support incomes. The introduction of the National Living Wage (NLW) has benefitted around 1.7 million low paid workers and delivered the fastest wage growth for the lowest paid in 20 years. Further increases to the NLW in April this year have delivered an additional increase in earnings of over £500 a year for a full-time worker.