Labour Costs in the United Kingdom increased to 110.60 points in the second quarter of 2025 from 109.20 points in the first quarter of 2025. Labour Costs in the United Kingdom averaged 75.64 points from 1997 until 2025, reaching an all time high of 110.60 points in the second quarter of 2025 and a record low of 52.20 points in the first quarter of 1997. source: Office for National Statistics

Labour Costs in the United Kingdom is expected to be 113.35 points by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the United Kingdom Labour Costs is projected to trend around 116.20 points in 2027 and 118.75 points in 2028, according to our econometric models.



Related Last Previous Unit Reference
Average Weekly Hours 31.80 31.90 Hours Nov 2025
Claimant Count Change 17.90 -3.30 Thousand Dec 2025
Employed Persons 34303.00 34226.00 Thousand Nov 2025
Employment Change 82.00 -16.00 Thousand Nov 2025
Employment Rate 75.10 74.90 percent Nov 2025
Full Time Employment 25537.00 25584.00 Thousand Nov 2025
Job Vacancies 734.00 728.00 Thousand Nov 2025
Labor Force Participation Rate 79.20 79.00 percent Nov 2025
Labour Costs 110.60 109.20 points Jun 2025
HMRC Payrolls Change -42.55 -33.36 Thousand Dec 2025
Part Time Employment 8766.00 8642.00 Thousand Nov 2025
Population 69.28 68.49 Million Dec 2024
Labour Productivity 99.70 99.00 points Sep 2025
Unemployed Persons 1682.90 1662.80 Thousand Nov 2025
Unemployment Rate 5.10 5.10 percent Nov 2025
Average Earnings incl. Bonus (3Mo/Yr) 4.70 4.80 percent Nov 2025
Average Weekly Wages 741.00 740.00 GBP/Week Nov 2025
Wages in Manufacturing 808.00 805.00 GBP/Week Nov 2025
Youth Unemployment Rate 13.70 13.40 percent Nov 2025


United Kingdom Labour Costs
In the UK, unit labour costs (ULCs) reflect the full labour costs, including social security and employers’ pension contributions, incurred in the production of a unit of economic output. Changes in labour costs are a large factor in overall changes in the cost of production. If increased costs are not reflected in increased output, for instance, this can put upward pressure on the prices of goods and services – sometimes referred to as “inflationary pressure”.
Actual Previous Highest Lowest Dates Unit Frequency
110.60 109.20 110.60 52.20 1997 - 2025 points Quarterly
SA, 2023=100