Here’s why your pay won’t be going up any time soon...

Most private sector employees are unlikely to see above-inflation pay rises in 2015, according to a report.

Employers plan to keep pay rises below 2% over the next year, meaning many people will see real-term pay cuts or freezes if inflation recovers to its targeted 2% rate next year, said the report by XpertHR.

Commentators are forecasting a rise in inflation in 2015. It currently stands at a five-year low of 1.2% for September.

The report, which was based on interviews with 262 employers, said: “The majority of employees are unlikely to receive a pay rise that matches inflation.”

This follows a weekend where up to 90,000 people took to the streets of London for the Britain Needs A Pay Rise march, calling for better pay in all sectors of employment.

TUC general secretary Frances O’Grady said: “This looks like pay misery without end.

“Britain needs, but is not getting, a pay rise. But without more spending power in people’s pockets it will be hard to sustain the recovery.

“Already the deficit is much greater than expected because the tax take is down. The economy is looking more fragile than even a few months ago.”

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