Weak UK productivity spurs warnings of living standards squeeze

Experts say employers will struggle to award pay rises if country cannot restore growth to pre-financial crisis levels

A slowdown in the UK's already lacklustre productivity growth has prompted fresh warnings that households will face a squeeze on living standards this year.

Jobs markets experts said employers will struggle to award pay rises that keep pace with mounting inflation unless the country can turn around its poor performance on productivity, a measure of what is produced per hour worked.

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