The steady decline in vacancies this year masks the difficulty of filling many job openings.
(
Getty
)
Growth in UK wages accelerated between March and May, but the number of vacancies continued falling, official data showed on Tuesday.
Total pay, including bonuses, increased 3.4 per cent compared with a year earlier, while regular pay, which excludes bonuses, rose 3.6 per cent, according to the Office for National Statistics. After adjusting for inflation, total pay ticked up by a smaller 1.4 per cent and regular pay rose by 1.7 per cent.
Nye Cominetti, economic analyst at the Resolution Foundation, said pay packets had been partly boosted by an increase in the national living wage that benefited around 2 million workers.
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“With real average earnings still £5 a week lower than its peak over a decade ago, it’s important that [regular] pay growth continues to head back towards its pre-crisis average of over 2 per cent.”
Vacancies, which are measured with a smaller lag than wages, dropped to 827,000 in the April-June period, a fall compared both with a year earlier and the January-March period.
The unemployment rate remained unchanged at 3.8 per cent, the lowest since the mid-1970s.
UK news in pictures
Show all 50
UK news in pictures
1/50 16 July 2019
The Inveraray pipe band parades through the town at the start of the Highland Games in Inverarary, Scotland
Getty Images
2/50 15 July 2019
Extinction Rebellion Activists block roads near the Tron Clock tower in Glasgow
Getty Images
3/50 14 July 2019
Serbia's Novak Djokovic raises the winner's trophy after beating Switzerland's Roger Federer during their men's singles final on day thirteen of the 2019 Wimbledon Championships at The All England Lawn Tennis Club
AFP/Getty Images
4/50 13 July 2019
The referee counts Nathan Gorman out as Daniel Dubois looks on during the British Heavyweight Title fight between Daniel Dubois and Nathan Gorman at The O2 Arena in London
Getty Images
5/50 12 July 2019
Giant Panda, Yang Guang, exploring his new home at Edinburgh Zoo after moving in last week
RZSS/PA
6/50 11 July 2019
England's captain Eoin Morgan, left, celebrates with teammate Joe Root after winning their Cricket World Cup semi-final match against Australia at Edgbaston in Birmingham. The host nation blew away their rivals by 8 wickets with 107 balls remaining
AP
7/50 10 July 2019
Andy Murray and Serena Williams talk as they play Bruno Soares and Nicole Melichar during their mixed doubles third round match of the Wimbledon Championships. The star-studded pair went out in three sets to the top seeds
AFP/Getty
8/50 9 July 2019
Musician and composer Hero Douglas poses as she records the sounds of nature in around Llyn Mymbyr in Snowdonia
Getty Images
9/50 8 July 2019
Fifteen-year-old Cori "Coco" Gauff serves to Romania's Simona Halep in a women's singles match during day seven of the Wimbledon Tennis Championships in London. The youngest woman to qualify for Wimbledon in the open era defeated Venus Williams in her opening match and made if through to week two. Halep ended the teenagers dream run at the tournament in their round 16 match, 6-3, 6-3
AP
10/50 7 July 2019
A competitor takes part in the Red Bull Soapbox Race in Alexandra Park, London. The soapbox race is an international event in which amateur drivers race homemade soapbox vehicles on a downhill course
PA
11/50 6 July 2019
Members of the Lesbian, Gay, Bisexual and Transgender (LGBT) community take part in the annual Pride Parade in London
AFP/Getty Images
12/50 5 July 2019
Andy Murray fives mixed doubles partner Serena Williams at a practice session during day five of Wimbledon
Getty Images
13/50 4 July 2019
Chelsea's newly appointed head coach Frank Lampard gives a thumbs up as he poses at Stamford Bridge. The Blues confirmed a dramatic return for one of the club's greatest ever players. He has signed a three-year contract with the Premier League club, where he spent 13 years and became the team's all-time leading scorer with 211 goals
AFP/Getty
14/50 3 July 2019
A grey seal named after Sir David Attenborough is released back into the wild after months being treated at RSPCA East Winch Wildlife Centre in Norfolk after it was found with a plastic frisbee disc embedded in its neck
PA
15/50 2 July 2019
The Kirby Estate in London is decorated with St George flags ahead of the Women's World Cup semi-final match between England and the USA
PA
16/50 1 July 2019
People sleep as Glastonbury Festival 2019 comes to an end
SWNS
17/50 30 June 2019
The crowd enjoys the atmosphere as Years & Years perform on the Pyramid Stage during day five of the Glastonbury Festival at Worthy Farm, Pilton on June 30, 2019 in Glastonbury, England
Getty
18/50 29 June 2019
A couple make their way across the sand with their belongings as people enjoy the sunshine and hot weather on Bournemouth Beach in Dorset. PRESS ASSOCIATION Photo. Picture date: Saturday June 29, 2019
PA
19/50 28 June 2019
A lion-tailed macaque stays cool in the hot weather by eating frozen treats with fruit at Camperdown Wildlife Centre, Dundee
Katielee Arrowsmith / SWNS
20/50 27 June 2019
A festival goer dance with LED hula hoops on the second day of Glastonbury Festival 2019
PA
21/50 26 June 2019
Festival goers warm up prior to the gates opening at 8am on the first day of Glastonbury 2019
Adam Gray / SWNS
22/50 25 June 2019
An early glimpse of this year's Glastonbury Festival is given in this picture taken by a local who glided over the site in their paramotor
James Pearce / SWNS
23/50 24 June 2019
The interior roof of a Tesco shop collapses under the torrential rain in Stirling, Scotland on 24 June
James Charity
24/50 23 June 2019
Steph Houghton celebrates with teammates after scoring England's first goal during the Women's World Cup round of 16 match against Cameroon at the Stade du Hainaut stadium in Valenciennes, France
AP
25/50 22 June 2019
Pride marchers at a rally outside the Scottish Parliament in Edinburgh
PA
26/50 21 June 2019
The sun rises between the stones and over crowds at Stonehenge where people gather to celebrate the dawn of the longest day in the UK. The neolithic Wiltshire monument is built along the solstice alignment of the summer sunrise and the winter sunset. On the longest day of the year, the sun rises behind the Heel Stone, the ancient entrance to the Stone Circle, and rays of sunlight are channeled into the centre of the monument
PA
27/50 20 June 2019
Frankie Dettori celebrates with the trophy after winning the 4.20 Gold Cup on Stradivarius as Queen Elizabeth looks on
Action/Reuters
28/50 19 June 2019
Endangered Amur tiger cub Makari plays with a pinata which was given to him and brothers Dmitri and Czar as they celebrate their first birthday this week at Whipsnade Zoo in Dunstable
PA
29/50 18 June 2019
Eoin Morgan celebrates his century with Joe Root during England's ICC Cricket World Cup match against Afghanistan at Old Trafford in Manchester. Morgan hit 17 sixes and set a new record in one-day international cricket, which saw his side win by 150 runs
Getty
30/50 17 June 2019
Worcestershire County Cricket Club's New Road ground fully submerged by floodwater following heavy rainfall in the area. Worcestershire switched next week's County Championship home game with Sussex to Kidderminster due to the threat of flooding at the ground
PA
31/50 16 June 2019
Dominic Raab (left) and Rory Stewart during the live television debate on Channel 4 for the candidates for leadership of the Conservative party, at the Here East studios in Stratford, east London
PA
32/50 15 June 2019
Great Britain celebrate their first place on the podium during the Accenture World Triathlon Mixed Relay at Nottingham Embankment
PA
33/50 14 June 2019
Mayor of London Sadiq Khan speaks at a service of remembrance at St Helens church, London, to mark the two-year anniversary of the Grenfell Tower block fire
PA
34/50 13 June 2019
Community member Desi Cranenburgh attaches her latest homemade tribute near to the site of Grenfell Tower in London, a day before the second anniversary of the fire which killed 72 people
Getty
35/50 12 June 2019
Boris Johnson during the launch of his campaign to become leader of the Conservative and Unionist Party and Prime Minister at the Royal Academy of Engineering in central London
PA
36/50 11 June 2019
Strip club dancer Celia Lister protests with other demonstrators to oppose moves to close a branch of Spearmint Rhino in Sheffield. Dancers marched through the city centre after a row developed over whether to renew Spearmint Rhino's licence for the premises. The debate deepened after reports a video had been filmed by private investigators of sex acts taking place in the club
PA
37/50 10 June 2019
A peregrine falcon chick calls out during ringing and data collection by RSPB expert handlers in the tower at Salisbury Cathedral. Four newly hatched birds of prey are nesting along with mum and dad on the South tower.
PA
38/50 9 June 2019
England's forward Ellen White celebrates after scoring during the France 2019 Women's World Cup Group D football match between England and Scotland. White's goal was England's second of the match, which they went on to win 2-1
AFP/Getty
39/50 8 June 2019
Jason Roy celebrates his century with Joe Root. He went on to hit 153 as England scored their highest Cricket World Cup total of 386. The hosts beat Bangladesh by 106 runs to bounce back from defeat to Pakistan in their previous match
Action/Reuters
40/50 7 June 2019
Labour Party leader Jeremy Corbyn celebrates with newly elected labour MP Lisa Forbes at Cathedral Square, Peterborough following her victory in the Peterborough by-election. The newly-formed Brexit Party lost out to Labour by 683 votes
PA
41/50 6 June 2019
Veterans observe a two minute silence at the National Memorial Arboretum at Alrewas, in Staffordshire, for a service to mark the 75th anniversary of the D-Day landings
PA
42/50 5 June 2019
French President Emmanuel Macron, British Prime Minister Theresa May, Britain's Prince Charles, Queen Elizabeth II, President Donald Trump, first lady Melania Trump and Greek President Prokopis Pavlopoulos, front row from left, watch a fly past at the end of an event to mark the 75th anniversary of D-Day in Portsmouth
AP
43/50 4 June 2019
Anti-Donald Trump protesters gather with a Trump baby blimp flying over Parliament Square for a protest against the US president's state visit to the UK
EPA
44/50 3 June 2019
Queen Elizabeth II views a display of US items of the Royal collection with US President Donald Trump and US First Lady Melania Trump at Buckingham palace
AFP/Getty
45/50 2 June 2019
Liverpool's players celebrate with the Champions League trophy on board a parade bus after winning the final against Tottenham Hotspur, in Madrid the night before
Getty
46/50 1 June 2019
Fans gather in Madrid ahead of the all-English club Champions League Final between Tottenham and Liverpool
Reuters
47/50 31 May 2019
Racegoers during Ladies Day of the 2019 Investec Derby Festival at Epsom Racecourse, Epsom.
PA
48/50 30 May 2019
Jofra Archer celebrates taking the wicket of South Africa's Aiden Markram during England's opening ICC Cricket World Cup match at the Kia Oval in London. The hosts beat South Africa by 104 runs
Action/Reuters
49/50 29 May 2019
The Red Arrows in the Apollo formation while performing a full display at Chalkoutsi, Greece. The aerobatic display team have been granted formal approval on Wednesday to perform for audiences, known as Public Display Authority (PDA), to mark the official start of the Red Arrows' 55th display season
Cpl Ashley Keates/PA
50/50 28 May 2019
British Environment Secretary Michael Gove returns to his home following a run in London.
EPA
1/50 16 July 2019
The Inveraray pipe band parades through the town at the start of the Highland Games in Inverarary, Scotland
Getty Images
2/50 15 July 2019
Extinction Rebellion Activists block roads near the Tron Clock tower in Glasgow
Getty Images
3/50 14 July 2019
Serbia's Novak Djokovic raises the winner's trophy after beating Switzerland's Roger Federer during their men's singles final on day thirteen of the 2019 Wimbledon Championships at The All England Lawn Tennis Club
AFP/Getty Images
4/50 13 July 2019
The referee counts Nathan Gorman out as Daniel Dubois looks on during the British Heavyweight Title fight between Daniel Dubois and Nathan Gorman at The O2 Arena in London
Getty Images
5/50 12 July 2019
Giant Panda, Yang Guang, exploring his new home at Edinburgh Zoo after moving in last week
RZSS/PA
6/50 11 July 2019
England's captain Eoin Morgan, left, celebrates with teammate Joe Root after winning their Cricket World Cup semi-final match against Australia at Edgbaston in Birmingham. The host nation blew away their rivals by 8 wickets with 107 balls remaining
AP
7/50 10 July 2019
Andy Murray and Serena Williams talk as they play Bruno Soares and Nicole Melichar during their mixed doubles third round match of the Wimbledon Championships. The star-studded pair went out in three sets to the top seeds
AFP/Getty
8/50 9 July 2019
Musician and composer Hero Douglas poses as she records the sounds of nature in around Llyn Mymbyr in Snowdonia
Getty Images
9/50 8 July 2019
Fifteen-year-old Cori "Coco" Gauff serves to Romania's Simona Halep in a women's singles match during day seven of the Wimbledon Tennis Championships in London. The youngest woman to qualify for Wimbledon in the open era defeated Venus Williams in her opening match and made if through to week two. Halep ended the teenagers dream run at the tournament in their round 16 match, 6-3, 6-3
AP
10/50 7 July 2019
A competitor takes part in the Red Bull Soapbox Race in Alexandra Park, London. The soapbox race is an international event in which amateur drivers race homemade soapbox vehicles on a downhill course
PA
11/50 6 July 2019
Members of the Lesbian, Gay, Bisexual and Transgender (LGBT) community take part in the annual Pride Parade in London
AFP/Getty Images
12/50 5 July 2019
Andy Murray fives mixed doubles partner Serena Williams at a practice session during day five of Wimbledon
Getty Images
13/50 4 July 2019
Chelsea's newly appointed head coach Frank Lampard gives a thumbs up as he poses at Stamford Bridge. The Blues confirmed a dramatic return for one of the club's greatest ever players. He has signed a three-year contract with the Premier League club, where he spent 13 years and became the team's all-time leading scorer with 211 goals
AFP/Getty
14/50 3 July 2019
A grey seal named after Sir David Attenborough is released back into the wild after months being treated at RSPCA East Winch Wildlife Centre in Norfolk after it was found with a plastic frisbee disc embedded in its neck
PA
15/50 2 July 2019
The Kirby Estate in London is decorated with St George flags ahead of the Women's World Cup semi-final match between England and the USA
PA
16/50 1 July 2019
People sleep as Glastonbury Festival 2019 comes to an end
SWNS
17/50 30 June 2019
The crowd enjoys the atmosphere as Years & Years perform on the Pyramid Stage during day five of the Glastonbury Festival at Worthy Farm, Pilton on June 30, 2019 in Glastonbury, England
Getty
18/50 29 June 2019
A couple make their way across the sand with their belongings as people enjoy the sunshine and hot weather on Bournemouth Beach in Dorset. PRESS ASSOCIATION Photo. Picture date: Saturday June 29, 2019
PA
19/50 28 June 2019
A lion-tailed macaque stays cool in the hot weather by eating frozen treats with fruit at Camperdown Wildlife Centre, Dundee
Katielee Arrowsmith / SWNS
20/50 27 June 2019
A festival goer dance with LED hula hoops on the second day of Glastonbury Festival 2019
PA
21/50 26 June 2019
Festival goers warm up prior to the gates opening at 8am on the first day of Glastonbury 2019
Adam Gray / SWNS
22/50 25 June 2019
An early glimpse of this year's Glastonbury Festival is given in this picture taken by a local who glided over the site in their paramotor
James Pearce / SWNS
23/50 24 June 2019
The interior roof of a Tesco shop collapses under the torrential rain in Stirling, Scotland on 24 June
James Charity
24/50 23 June 2019
Steph Houghton celebrates with teammates after scoring England's first goal during the Women's World Cup round of 16 match against Cameroon at the Stade du Hainaut stadium in Valenciennes, France
AP
25/50 22 June 2019
Pride marchers at a rally outside the Scottish Parliament in Edinburgh
PA
26/50 21 June 2019
The sun rises between the stones and over crowds at Stonehenge where people gather to celebrate the dawn of the longest day in the UK. The neolithic Wiltshire monument is built along the solstice alignment of the summer sunrise and the winter sunset. On the longest day of the year, the sun rises behind the Heel Stone, the ancient entrance to the Stone Circle, and rays of sunlight are channeled into the centre of the monument
PA
27/50 20 June 2019
Frankie Dettori celebrates with the trophy after winning the 4.20 Gold Cup on Stradivarius as Queen Elizabeth looks on
Action/Reuters
28/50 19 June 2019
Endangered Amur tiger cub Makari plays with a pinata which was given to him and brothers Dmitri and Czar as they celebrate their first birthday this week at Whipsnade Zoo in Dunstable
PA
29/50 18 June 2019
Eoin Morgan celebrates his century with Joe Root during England's ICC Cricket World Cup match against Afghanistan at Old Trafford in Manchester. Morgan hit 17 sixes and set a new record in one-day international cricket, which saw his side win by 150 runs
Getty
30/50 17 June 2019
Worcestershire County Cricket Club's New Road ground fully submerged by floodwater following heavy rainfall in the area. Worcestershire switched next week's County Championship home game with Sussex to Kidderminster due to the threat of flooding at the ground
PA
31/50 16 June 2019
Dominic Raab (left) and Rory Stewart during the live television debate on Channel 4 for the candidates for leadership of the Conservative party, at the Here East studios in Stratford, east London
PA
32/50 15 June 2019
Great Britain celebrate their first place on the podium during the Accenture World Triathlon Mixed Relay at Nottingham Embankment
PA
33/50 14 June 2019
Mayor of London Sadiq Khan speaks at a service of remembrance at St Helens church, London, to mark the two-year anniversary of the Grenfell Tower block fire
PA
34/50 13 June 2019
Community member Desi Cranenburgh attaches her latest homemade tribute near to the site of Grenfell Tower in London, a day before the second anniversary of the fire which killed 72 people
Getty
35/50 12 June 2019
Boris Johnson during the launch of his campaign to become leader of the Conservative and Unionist Party and Prime Minister at the Royal Academy of Engineering in central London
PA
36/50 11 June 2019
Strip club dancer Celia Lister protests with other demonstrators to oppose moves to close a branch of Spearmint Rhino in Sheffield. Dancers marched through the city centre after a row developed over whether to renew Spearmint Rhino's licence for the premises. The debate deepened after reports a video had been filmed by private investigators of sex acts taking place in the club
PA
37/50 10 June 2019
A peregrine falcon chick calls out during ringing and data collection by RSPB expert handlers in the tower at Salisbury Cathedral. Four newly hatched birds of prey are nesting along with mum and dad on the South tower.
PA
38/50 9 June 2019
England's forward Ellen White celebrates after scoring during the France 2019 Women's World Cup Group D football match between England and Scotland. White's goal was England's second of the match, which they went on to win 2-1
AFP/Getty
39/50 8 June 2019
Jason Roy celebrates his century with Joe Root. He went on to hit 153 as England scored their highest Cricket World Cup total of 386. The hosts beat Bangladesh by 106 runs to bounce back from defeat to Pakistan in their previous match
Action/Reuters
40/50 7 June 2019
Labour Party leader Jeremy Corbyn celebrates with newly elected labour MP Lisa Forbes at Cathedral Square, Peterborough following her victory in the Peterborough by-election. The newly-formed Brexit Party lost out to Labour by 683 votes
PA
41/50 6 June 2019
Veterans observe a two minute silence at the National Memorial Arboretum at Alrewas, in Staffordshire, for a service to mark the 75th anniversary of the D-Day landings
PA
42/50 5 June 2019
French President Emmanuel Macron, British Prime Minister Theresa May, Britain's Prince Charles, Queen Elizabeth II, President Donald Trump, first lady Melania Trump and Greek President Prokopis Pavlopoulos, front row from left, watch a fly past at the end of an event to mark the 75th anniversary of D-Day in Portsmouth
AP
43/50 4 June 2019
Anti-Donald Trump protesters gather with a Trump baby blimp flying over Parliament Square for a protest against the US president's state visit to the UK
EPA
44/50 3 June 2019
Queen Elizabeth II views a display of US items of the Royal collection with US President Donald Trump and US First Lady Melania Trump at Buckingham palace
AFP/Getty
45/50 2 June 2019
Liverpool's players celebrate with the Champions League trophy on board a parade bus after winning the final against Tottenham Hotspur, in Madrid the night before
Getty
46/50 1 June 2019
Fans gather in Madrid ahead of the all-English club Champions League Final between Tottenham and Liverpool
Reuters
47/50 31 May 2019
Racegoers during Ladies Day of the 2019 Investec Derby Festival at Epsom Racecourse, Epsom.
PA
48/50 30 May 2019
Jofra Archer celebrates taking the wicket of South Africa's Aiden Markram during England's opening ICC Cricket World Cup match at the Kia Oval in London. The hosts beat South Africa by 104 runs
Action/Reuters
49/50 29 May 2019
The Red Arrows in the Apollo formation while performing a full display at Chalkoutsi, Greece. The aerobatic display team have been granted formal approval on Wednesday to perform for audiences, known as Public Display Authority (PDA), to mark the official start of the Red Arrows' 55th display season
Cpl Ashley Keates/PA
50/50 28 May 2019
British Environment Secretary Michael Gove returns to his home following a run in London.
EPA
Overall, the data lends support to a cautious assessment by the Bank of England’s Gertjan Vlieghe, who said last week that the so far robust UK labour market might have reached the limits of growth.
The steady decline in vacancies this year also masks the difficulty of filling many job openings.
“Skills shortages are now clearly evident across all sectors,” said Tej Parikh, chief economist at the Institute of Directors. “Serious work [is] needed to upskill our workforce and to fine tune our immigration policy in light of the talent shortfall facing the country.”
The veiled warning about the likely consequences of Brexit follows a starker prediction from Mark Carney last week. The governor of the Bank of England said businesses expect they will have to cut jobs if Britain leaves the EU without a deal, as their sales go down and costs go up.
There are signs the UK’s looming departure is already having an impact on hiring. Large recruitment company Hays said earlier on Tuesday that its net fees in the UK and Ireland were down 2 per cent between April and June, pulled down by a 6 per cent fall in fees for private sector placements.
Evidence of a reduction in hiring and fewer vacancies underpin a less rosy outlook for wages from the National Institute of Economic and Social Research (NIESR). After the official data came out, NIESR forecast that growth in regular pay will stabilise at around 3.5 per cent in the third quarter.
Arno Hantzsche, senior economist at NIESR, said: “Economic and political uncertainty pose a considerable risk to hiring activity and, according to our new estimates, prevent a further acceleration of earnings growth in the months ahead.”
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