Real income deflation that is -
"Though economic growth will be greater than expected this year, and public sector job losses significantly lower than previously forecast, the outlook for many consumers will be tough.
The OBR, the independent body appointed by George Osborne to scrutinise the Government finances, has said wage growth will not keep pace with the increase in the cost of living.
This will mean that families trying to budget will find it harder than ever to square their books and their disposable, real income will be lower by the end of next year than it is now. "
More: OBR: inflation to outstrip wage growth over next two years - Telegraph
