Wages struggling to keep up with soaring inflation

Workers got an average rise of just seven per cent

THE average wage in Barnsley has grown by less than seven per cent in the last year despite soaring inflation figures – leaving residents with less money in their pockets.

The latest ONS figures show the median pay in Barnsley was £1,951 last month – up from £1,832 the year before.

It relates to a 6.5 per cent wage rise in the last 12 months, just as the cost-of-living crisis has begun.

Across the country, average monthly wages have also risen by 6.5 per cent in the last year – to £2,111 in August – but this still represents a real-terms pay cut due to soaring inflation.

Further figures show that realterms pay – excluding bonuses and taking inflation into account – fell by almost three per cent between May and July.

This equates to one of the largest wage drops since records began back in 2011.

The Trade Union Congress haa called on new Prime Minister Liz Truss to get ‘pay rising’ ahead of a ‘difficult’ winter.

The cost-of-living crisis has taken hold in the borough, which is already one of the country’s hardest-hit areas, and has left some families with heartbreaking choices to make such as to eat or heat their homes.

General secretary of the organisation, Frances O’Grady, said the minimum wage must be boosted whilst also giving public sector workers a ‘decent pay rise’ – as well as allowing unions to negotiate better compensation for working people.

She added: “Every worker deserves a decent standard of living, and as the cost-of-living crisis intensifies, millions of families don’t know how they will make ends meet this winter.”

The Chronicle revealed last month that more employers across the borough have signed up to the voluntary living wage scheme over the last year.

The Living Wage Foundation, which encourages businesses to sign up to a ‘real living wage’ which is higher than the minimum wage and pegged to living costs, has seen 13 firms sign up.

It’s up from eight last year and just two half a decade ago.

The rate, which is calculated by a group of economists and applies to employees aged 18 and over, is currently £9.90 per hour in Barnsley though it is slightly higher in London.

In comparison, the government’s national living wage stands at just £9.18 for over 21s and £9.50 for residents aged 23 and over.

In a report compiled by thinktank Centre for Progressive Policy, it suggests the soaring costs of energy, fuel and food are set to drive a further wedge between more deprived communities in the north and those in affluent southern areas.

Barnsley ranks among the top ten per cent of England’s 333 local authorities based on six indicators of deprivation – including the percentage of households in fuel poverty and Universal Credit claimants – with more people at risk of being pulled into poverty.