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Average Earnings

Volume 464: debated on Wednesday 10 October 2007

To ask the Chancellor of the Exchequer what the increase in average earnings in (a) the whole labour market, (b) the private sector and (c) the public sector has been since 1997. (155940)

The information requested falls within the responsibility of the National Statistician, who has been asked to reply.

Letter from Colin Mowl, dated 9 October 2007:

The National Statistician has been asked to reply to your recent Parliamentary Question asking what increase in average earnings in (a) the whole labour market, (b) the private sector and (c) the public sector has been since 1997. I am replying in her absence. (155940)

Growth in earnings is estimated from the Average Earnings Index (AEI). The AEI figures for Great Britain are collected and published monthly. The AEI does not cover the self employed and people who do unpaid work.

The monthly changes to the index and growth are published on the National Statistics website at: http://www.statistics.gov.uk/statbase/tsdtablesl.asp?vlnk=emp. Calendar year comparisons are available on request.

Each month 8900 companies are surveyed for the AEI, covering 12.8 million employees, which is just under half of all GB employees.

I attach a table showing the average earnings index seasonally adjusted from 1997 until 2006 for the whole economy, public and private sectors.

Average Earnings Index: all employee jobs, main industrial sectors, seasonally adjusted, Great Britain

Including bonuses, excluding arrears

Whole economy (divisions 01-93)

Public sector

Private sector

2000=100

Index

Annual growth (Percentage)

Index

Annual growth (Percentage)

Index

Annual growth (Percentage)

LNMQ

LNMU

LNNJ

LNKW

LNKY

LNKZ

1997

86.8

89.6

86.2

1998

91.3

5.1

92.5

3.3

91.0

5.6

1999

95.7

4.8

96.4

4.2

95.5

5.0

2000

100.0

4.5

100.0

3.8

100.0

4.7

2001

104.5

4.5

105.0

5.0

104.3

4.3

2002

108.2

3.6

109.3

4.1

107.9

3.5

2003

111.9

3.5

114.8

5.0

111.3

3.1

2004

116.8

4.3

119.8

4.4

116.0

4.2

2005

121.5

4.1

125.4

4.7

120.6

4.0

2006

126.5

4.1

130.0

3.6

125.7

4.2

Total Growth 1997 to 2006

45.7

45.1

45.9

Note:

All figures based upon the calendar year.

Source:

Annual Earnings Index, Office for National Statistics.