Indexed gross annual pay in London and England (2002-2021)
Change in real annual gross pay by job pay percentile in London (2021)
Annual earnings dropped tremendously since 2008 (in real terms) where in 2014 the bottom 10th percentile saw the largest decrease of 20.6%.
Up to 2020, there has been an increase in annual pay, in particular for the top 90th percentile as gross annual pay also includes bonuses. In 2020, the 90th percentile is close to their 2008 level annual earnings by shy of 1.9%.
The impact of the pandemic is clearly evident in the figures for 2021, as pay takes a downward turn for both the bottom 10th percentile, the 50th percentile (the median), and the 90th percentile. The 90th percentile seems to be hit harder than the 10th percentile in terms of the reduction in gross annual pay.
Comparing annual earnings between different time periods gives a clearer picture to annual pay growth or decline over time. When looking at the change in annual earnings within the last year (in 2021 real terms) earnings have declined across all percentiles, although more for the top 90th percentile. However, when looking at five year growth, and especially the 10 year growth, the bottom percentiles fare better than the top job pay percentiles, with annual gross pay increasing 7.4% since 2011 in the bottom 10th percentile.
The data on annual earnings refer to earnings within a reference week in April. The data annual earnings have not been impacted by any changes in actual hours worked, as is the case with weekly earnings.