Indexed gross hourly pay in London and England (2002-2020)
Change in real hourly gross pay by job pay percentile in London (2020)
In both London and the rest of England, growth in hourly earnings between 2014 and 2020 was fastest for the bottom 10% of jobs. Compared to 2008 (real term) level of hourly earnings, London has seen an increase of 13.2%. This is above the England average of 6.9%. The rise was likely driven by the increase in the minimum and living wages. The National Living Wage (paid to workers over 25) increased from £7.50 an hour in 2017/18 to £8.72 an hour in 2020.
Although, comparing hourly earnings between different time periods gives a whole other picture. When looking at the change in hourly earnings within the last year (in 2020 real terms) earnings decreased across all pay percentiles, although less so when comparing to that of 5 years ago. Since 2020, hourly gross pay seems to have increased for those around the median job pay percentiles and top 90th percentile only.
The data on hourly earnings refer to earnings within a week in April. The hourly earnings refer to usual hours worked (based on annual earnings) and should not be impacted by any changes in actual hours worked, as is the case with weekly earnings.