U.K. Wage Growth Slows on Manufacturing, Services, VocaLink Says

Take-home pay growth at Britain’s largest publicly traded companies slowed in January by the most in more than a year as manufacturers and services companies scaled back wage increases, VocaLink Ltd. said.

Incomes after tax and other deductions climbed 2 percent in the three months through January from a year earlier, compared with 2.6 percent in the fourth quarter, the group said in a statement in London today.

Wage growth at manufacturers slowed to 2.9 percent from 3.6 percent, while it cooled to 1.9 percent from 2.5 percent at services providers. Pay increases for public employees accelerated to 2.1 percent from 2 percent.

VocaLink, which processes 90 percent of British salaries paid directly to bank accounts, uses salary-payment data from more than 200 members of the FTSE 350 Index and more than 600 government-related organizations for the report.

To contact the reporter on this story: Scott Hamilton in London at shamilton8@bloomberg.net

To contact the editor responsible for this story: Craig Stirling at cstirling1@bloomberg.net