These figures are a big blow to millions of workers who need their pay packets to catch up with the rising cost of living.
Much of this rise is a direct result of government policy. The trebling of tuition fees has dealt another blow to young people already struggling for work.
People have been getting poorer for nearly three years now and their incomes are being squeezed even tighter. It could take many years to undo the damage caused by our living standards crunch.
More top news
New Tour de France time-trial record set after Australian Rohan Dennis raced into the lead during Stage one of the competition.
Fresher and cooler as we head into the second half of the weekend.
Leah Washington, 17, had to have her left leg amputated after being trapped for hours on The Smiler rollercoaster at the theme park.