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No wage relief

Chris Dillow

Chris Dillow
No wage relief

Real wages are falling. Next week's official figures are expected to show that consumer prices inflation has risen a little more, to around 2.4 per cent, while wage growth is stuck below 2 per cent. You might think this is good news for investors, as it suggests workers rather than companies are bearing the cost of the rise in import prices caused by sterling's fall. Such a view, though, might well be too complacent.

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