UK workers 'still thousands of pounds worse off' seven years after financial crisis

Workers are still an average £44 a week worse off, according to the TUC Credit: PA

Britain's workers are still earning thousands of pounds less a year than they were seven years ago, according to an analysis by a trade union body.

Research by the Trades Union Congress (TUC) showed average pay in the UK is worth £2,270 less in real terms than prior to the financial crisis in 2008.

Wages increased for the first time in several years from 2014 to 2015, rising by an average of £435, but there is still a way to go to return average earnings to pre-crisis levels.

According to the TUC's analysis, workers are an average £44 a week worse off than they were prior to 2008.

The government is set to introduce the national living wage in April, which will see all minimum wage workers above the age of 25 given a rise of 50p an hour.

But the TUC wants "concerted action" to boost wages for low and middle-income workers, not just those on minimum wage.

Frances O'Grady called on the government to 'do the right thing' Credit: PA

Frances O'Grady, the TUC general secretary, called on the government to "do the right thing" and "make sure that working people see productivity gains in their pay packets".

The TUC's findings come amid government attempts to pass the Trade Union Bill.

Although the Bill's most controversial provision is an attempt to restrict trade union funding to political parties - with Labour potentially losing as much as £6m - unions says it will also weaken workers' abilities to negotiate on pay.

On Thursday the bill suffered an embarrassing defeat in the House of Lords as peers voted 327 to 234 against it.