UK pay deals rise slightly as employers prepare for more generous settlements in 2026
British employers increased median pay awards to 3.2 percent in the three months to January. This shift suggests a trend toward higher deals for the year.
Brightmine reported that the median basic pay award in the United Kingdom 
GB rose to 3.2% in the three months to the end of January, up from the 3% level recorded over 2025. This marginal increase is significant as rising pay settlements affect employer labour costs and are being closely monitored by the Bank of England as it considers the timing of interest-rate cuts.
GB rose to 3.2% in the three months to the end of January, up from the 3% level recorded over 2025. This marginal increase is significant as rising pay settlements affect employer labour costs and are being closely monitored by the Bank of England as it considers the timing of interest-rate cuts.
