FX.co ★ UK Payroll Employment Drops to Lowest in 5 Years

In May 2025, the United Kingdom saw a decrease in payrolled employment, falling by 109,000 or 0.4%, bringing the total to 30.2 million. This decline continues a trend observed over seven consecutive months and represents the steepest reduction since May 2020. Year-on-year, the payrolled workforce contracted by 0.9% or 274,000 individuals, with the accommodation and food service sector experiencing the most significant drop, losing 124,000 jobs. Regionally, Westminster experienced the largest decline in payrolled employees at 4.1%, whereas Causeway Coast and Glens noted a growth of 2.0%. On a positive note, the median monthly pay witnessed a 5.8% increase compared to the previous year, rising to £2,521. The accommodation and food service sector led wage increases with a 7.5% growth, while the finance and insurance sector recorded the smallest gain at 3.5%.