WageSight

Employment falls in Lambeth as pay rises to £3,496 a month

WageSight Wire · Jul 2026

Employment
169,867 workers (June 2026)
Monthly change
-0.1% (-200 workers)
Annual change
-1.5% (-2,643 workers)
Median pay
£3,496/month (YoY: +4.3%, £145 more in cash terms)
Total pay bill
+3.3% on the year
Real pay vs Feb 2022
+£50 better off in real terms

Payrolled employment in Lambeth fell 1.5% over the year to June 2026, 2,643 fewer workers, with a further monthly dip of 0.1% sustaining the downward pressure.

Across London, payrolled employment edged down 0.8% over the year to June 2026. Lambeth ranked 16th of 20 sub-regional areas in London by employment change over the past year.

The median pay packet for workers in Lambeth stood at £3,496 in June 2026, up 4.3% over the past year and ahead of inflation at 2.82%. After a period of sharp inflation from 2022 that eroded real earnings, wages have been recovering. Workers in Lambeth are now £50 a month better off in real terms than in February 2022, when median earnings stood at £2,777 a month. The total pay bill in Lambeth rose 3.3% over the year, faster than headcount, suggesting average earnings per worker are improving.

Lambeth's performance lagged behind the UK as a whole, where payrolled employment was broadly flat, down 0.2% over the year to June 2026. Across the UK, 599,257 workers entered payrolled employment in May 2026, the most recently available flow data, while 596,423 left, a net gain of 2,834 workers.

“Employers in Lambeth have reported a significant dip in payroll in the latest figures. It's too early to tell if this is businesses bracing agains the impact of the current economic uncertainty on inflation. On the flip side, wages for those in work continues to surge. The positive story is that workers in Lambeth are seeing their pay packets grow. That's money in people's pockets, and it matters for local businesses and public services. But there will be understandable concern at the employment picture.”

— Paul Hebden, Campaign Salience

London — employment and pay

#AreaWorkersJobs (yr)Median payPay (yr)
1Bexley and Greenwich266,072+0.3%£3,068+4.5%
2Barking & Dagenham and Havering228,534+0.0%£2,751+4.9%
3Hackney and Newham326,819+0.0%£2,813+4.4%
4Merton, Kingston upon Thames and Sutton286,271-0.4%£3,181+4.5%
5Hounslow and Richmond upon Thames236,611-0.4%£3,036+3.9%
6Bromley152,806-0.6%£3,385+4.3%
7Croydon191,987-0.6%£2,973+5.1%
8Wandsworth177,562-0.7%£3,991+4.6%
9Redbridge and Waltham Forest285,050-0.7%£2,866+5.3%
10Harrow and Hillingdon274,842-0.7%£2,833+4.6%
11Tower Hamlets170,646-0.9%£3,316+4.1%
12Lewisham and Southwark314,396-1.0%£3,311+4.6%
13Ealing181,268-1.0%£2,908+4.5%
14Barnet174,513-1.2%£2,929+5.2%
15Kensington & Chelsea and Hammersmith & Fulham153,283-1.4%£3,735+4.8%
17Enfield145,051-1.6%£2,611+4.6%
18Haringey and Islington240,111-1.7%£3,264+5.0%
19Camden97,256-1.8%£3,610+5.9%
20Brent169,443-1.9%£2,723+5.2%

Notes to editors

Figures from WageSight, derived from ONS / HMRC PAYE Real Time Information. Full method at wagesight.com/methodology.

WageSight's newswire places sourced local economic stories — with expert comment — in front of news desks across the UK. To discuss providing commentary for stories in your area or sector, contact [email protected].