The median monthly wage in Northern Ireland increased by 8.2% over the year to February, narrowing the pay gap with the rest of the UK to just £93 (3.6%), official government data indicates.
HMRC data published on Thursday revealed pay as you earn (PAYE) employees in the north had a median monthly wage of £2,493 in February 2026, an increase of £43 (1.8%) over the month and £189 (8.2%) higher over the year.
The comparable monthly wage for the UK remained virtually unchanged at £2,586 in February, narrowing the pay gap with the Northern Ireland average.
The Office for National Statistics (ONS) said earnings in the UK grew at just 3.8% over the year, the slowest rate in more than five years.
The annual increase in earnings for PAYE employees was more than twice the UK inflation rate, which stood at 3% in January.
The change in median monthly pay in Northern Ireland v the UK (2014-2026). (Nisra)
However, the data predates the impact of the energy shock created by the ongoing Middle East crisis.
The latest labour market report from the Northern Ireland Statistics and Research Agency (Nisra) also showed the PAYE workforce in the north reaching a new record of 820,808 in February.
According to HMRC, 1,672 jobs were added last month, taking the annual increase to 11,541 (1.4%).
Nisra’s separately produced labour force survey estimated the Northern Ireland unemployment rate at 2.2% for the November to January period.
The employment rate among 16 to 64 year-olds increased by 0.9 percentage points (pps) over the same quarter to 71.6%, while the north’s economic inactivity rate dropped 0.8pps over the quarter to 26.7%.
The number of people on the claimant count also dropped by 0.6% in February to 35,600 (3.6% of the workforce).
Nisra’s quarterly employment survey also suggests the rate of job creation in Northern Ireland outpaced the wider UK throughout 2025.
The statistics body also recorded 140 confirmed redundancies in February, with employers proposing a further 190 layoffs.
The figures only include cases where employers are legally bound to notify the government when shedding at least 20 roles.
Despite the upbeat labour market data, new economic data published by Nisra on Thursday suggests the north’s crucial services sector slowed down in the final quarter of 2025.
Output in the sector, which accounts for more than half the Northern Ireland economy, decreased by 1.5% in the final three months of the year, although it finished 2025 0.6% up on the same quarter in 2024.
It followed a 5.1% decrease in output within the business services and finance sector, which has been one of the strongest performing sectors in recent years.
Meanwhile, Nisra’s Retail Sales Index (RSI) saw a decrease of 2.6% in the fourth quarter of 2025, but remained 2.2% up over the year.
On a more positive note, the Index of Production, which includes the north’s manufacturing sector, saw output increase by 1.3% in the final quarter of 2025, leaving it 2.7% up over the year.