Younger workers in Britain are continuing to feel a squeeze on their incomes, with the real-terms take home pay of those under the age of 40 shrinking by up to 11% since 2008.
The shocking findings come from a study by the centre-left Resolution Foundation think tank, who say it may take a further three years before wages recover to the time before the economic crash.
Workers under the age of 40 have been hit hardest by a relentless squeeze on average pay packets, with those living in London and the East Midlands seeing the biggest drop in earnings.
Average hourly wages for workers between the ages of 22 to 39 have fallen more than 10% since 2008, while older workers in their fifties and sixties have seen a smaller fall of around 2%.
Only the wages of those in part-time work appear to have recovered to the time before the crash, but average weekly earnings for all workers fell by a further 0.4% between January to April this year (2017).
Resolution Foundation analyst Stephen Clarke said: “The pay squeeze made an unwelcome return at the start of 2017 and looks set to stay for the rest of the year at least.
“What’s most worrying is that pay packets had still not recovered from the last squeeze when this latest one hit.
“The wages of younger workers are still more than 10 per cent lower than they were back in 2008. This latest squeeze means it will take many more years for their earnings to fully recover.”