Commenting on labour market figures, published by the ONS today, Debapratim De, senior economist at Deloitte, said:

“Despite the contraction in economic activity over March and April, employment and job vacancies rose and the unemployment rate fell to a new multi-decade low. This is an exceptionally strong labour market, making it easier for people to change jobs and secure higher pay.

“With bonus payments helping incomes outpace soaring inflation, there will be greater pressure on the Bank of England to raise interest rates and ensure inflation doesn’t become the primary factor driving wage negotiations.”