UK Real Incomes Need to Fall 5% Due to Shocks, Says Economist Charles Bean

Shopping in the city centre of Liverpool, UK.

Photographer: Anthony Devlin/Bloomberg
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Charles Bean, one of the UK’s most prominent economists, said the country as a whole will have to take a real-terms pay cut to adjust for the shocks stemming from the war in Ukraine.

A former Bank of England deputy governor and member of the Office for Budget Responsibility, Bean said businesses can absorb some of the hit but that people too will suffer.