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Unions demand government action after figures show biggest squeeze on public-sector pay for 20 years
Campaigners dressed as Rishi Sunak protest outside the Treasury office, London, to coincide with the increase in National Insurance Contributions coming into effect

UNIONS demanded action from the government today as official figures show the biggest squeeze on public-sector pay for 20 years, with household incomes “obliterated” by the spiralling cost of living.

Office for National Statistics figures show real wages fell by 2 per cent over the year, with public-sector pay particularly hard hit with a 4.2 per cent drop — the largest fall on record.

The figures come as experts forecast that inflation, already at 6.2 per cent, will reach around 9 per cent this autumn.

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