UK Wage Growth Surges: BoE Faces Tough Decisions Ahead

British wages, excluding bonuses - a key gauge of inflation pressure for the Bank of England, grew by 5.7% in the three months to the end of May compared with a year earlier, official data showed. This meets the expectations of most economists polled by Reuters.

The Bank of England, set to announce its next rate decision in two weeks, faces mounting pressure. Investors have priced in a roughly one-in-three chance of the first interest rate cut since 2020 on August 1, following stronger-than-expected inflation data published on Wednesday.

(With inputs from agencies.)