BoE faces further pressure to hike rates after ONS error

ONS corrected labour cost figures

The Bank of England may come under further pressure to raise interest rates after revised data revealed labour costs are rising quicker than previously thought.

The Office for National Statistics (ONS) has admitted it made a mistake in calculating the growth in unit labour costs, which originally stood at 1.6% year-on-year in the three months to June, but was corrected to 2.4%. The ONS said: "We have corrected this error. This was due to income data from the second estimate of GDP being used instead of data from quarterly national accounts." Growth in unit labour costs, which is the price paid by employers to produce a given amount of economic output, could signal momentum in UK wages and strength in the UK economy. SocGen's Edwards: Carne...