LONDON: UK unemployment fell by 52,000 in the three months to August to 1.4 million, leaving the jobless rate unchanged at 4.3% from the previous quarter.
However, pay still failed to keep pace with inflation, with the real value of earnings down 0.3% over the past year.
Total earnings, excluding bonuses, rose by 2.1% from June to August, said the Office for National Statistics.
The news will increase expectations that the Bank of England will raise interest rates on 2 November.
However, Kathleen Brooks of traders City Index said the Bank faced a tricky decision next month.
“The prospect of raising interest rates when real wages are in negative territory will make this potential hike a tricky one for the Bank to justify,” she said.
The unemployment rate is still at the joint lowest level since 1975, although the claimant count increased by 1,700 to 804,100 last month.
The UK’s key inflation rate rose to 3% in September.
There were 32.1 million people in work in the UK in the June to August period, 94,000 more than between March and May and 317,000 more than in the same period in 2016.