WageSight

Employment growth easing in Luton as pay holds at £2,496 a month

WageSight Wire · Jul 2026

Employment
108,406 workers (June 2026)
Monthly change
-0.1% (-111 workers)
Annual change
+0.4% (+438 workers)
Median pay
£2,496/month (YoY: +5.5%, £131 more in cash terms)
Total pay bill
+4.9% on the year
Real pay vs Feb 2022
+£70 better off in real terms

Payrolled employment in Luton remained 0.4% higher than a year ago in June 2026, but slipped 0.1% on the month, a sign that growth may be moderating.

Across the East of England, payrolled employment was broadly flat, down 0.1% over the year to June 2026. Luton ranked 1st of 17 sub-regional areas in the East of England by employment change over the past year.

The median pay packet for workers in Luton stood at £2,496 in June 2026, up 5.5% 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 Luton are now £70 a month better off in real terms than in February 2022, when median earnings stood at £1,943 a month. The total pay bill in Luton rose 4.9% over the year, faster than headcount, suggesting average earnings per worker are improving.

Luton outperformed 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.

“Employment in Luton continues to grow, but the pace is beginning to ease. After a period of strong momentum, some moderation is not unexpected, the question is whether this represents a healthy consolidation or the early signs of a slowdown. The next few months of data will be telling.”

— Paul Hebden, Director, Campaign Salience

East of England — employment and pay

#AreaWorkersJobs (yr)Median payPay (yr)
2Thurrock85,620+0.3%£2,790+4.2%
3Norwich and East Norfolk166,035+0.2%£2,432+4.7%
4Breckland and South Norfolk123,889+0.2%£2,538+4.4%
5Central Bedfordshire143,163+0.2%£2,890+4.4%
6Bedford89,241+0.2%£2,705+4.8%
7Essex Thames Gateway163,943+0.1%£2,786+4.8%
8Essex Haven Gateway216,544-0.1%£2,592+4.6%
9West Suffolk78,525-0.2%£2,613+4.5%
10Peterborough103,442-0.4%£2,472+5.0%
11Cambridgeshire CC321,503-0.4%£2,858+4.3%
12Heart of Essex152,446-0.4%£2,933+4.8%
13West Essex149,960-0.4%£2,821+4.4%
14East Suffolk97,943-0.6%£2,425+4.8%
15North and West Norfolk97,676-0.6%£2,367+4.5%
16Southend79,629-0.7%£2,697+5.2%
17Ipswich67,053-0.8%£2,467+4.2%

Notes to editors

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

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