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Take-home pay 'rises above inflation'

An analysis of take-home pay figures circulated by the Treasury has suggested all but the top 10% of earners saw a rise in real terms last year. But Labour claim the figures were "dodgy".

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TUC: Take Govt's figures 'with several tonnes of salt'

The Government's figures on take home pay should be taken "with several tonnes of salt", the TUC has claimed.

TUC general secretary Frances O’Grady said the figures "do not include the effects of tax credits and benefits".

Freezing child benefit has hit families hard.

The figures use the lowest possible measure of inflation (CPI), which excludes housing costs, and is not the one that the government uses to index rail fares (RPI) and other important contributors to living costs.

The analysis also uses the most generous possible measure for wages, and not the one that the Government uses (average weekly earnings) when measuring incomes.

– TUC general secretary Frances O’Grady

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