The number of workers holding multiple jobs has risen sharply, a trend economists describe as a symptom of persistent financial pressure on households. Data released by the Office for National Statistics on Monday showed that 1.3 million people now hold two or more jobs, the highest level since comparable records began. The figures represent a 15% increase year-on-year and a 30% rise from pre-pandemic levels.
Labour market analysts point to the erosion of real wages as a primary factor. Despite headline inflation falling to 2.2%, the cumulative effect of three years of above-target price rises has left many households struggling to meet basic costs. ‘I live in survival mode,’ one respondent told the ONS. ‘I work a day job in retail and drive for Uber Eats in the evenings. Without both, I cannot pay rent and heat the flat.’
The development places the Bank of England under renewed scrutiny. The Monetary Policy Committee, which has held interest rates at 5.25% since August 2023, now faces pressure to cut rates ahead of its next meeting in November. Critics argue that the Bank’s focus on services inflation has ignored the lived reality of millions. ‘The MPC is fighting yesterday’s war,’ said James Reed, chief economist at the Resolution Foundation. ‘Wage growth is slowing. The labour market is cooling. Holding rates at these levels risks tipping the economy into recession without delivering the price stability they claim to prioritise.’
Prime Minister Rishi Sunak acknowledged the figures during a visit to a training centre in Milton Keynes. ‘We understand families are finding it hard,’ he said. ‘Our plan is working, but we must go further to ease the cost of living.’ The Chancellor, Jeremy Hunt, has hinted at further measures in the autumn statement but has ruled out immediate tax cuts.
The multi-job phenomenon is particularly acute in the hospitality, retail and healthcare sectors. Women account for 60% of those holding two jobs, often through part-time or zero-hour contracts. The Trades Union Congress described the figures as ‘a damning indictment of the state of the labour market’ and renewed its call for a statutory minimum wage of £15 per hour.
The Bank of England’s own analysis suggests that the rise in multiple jobholding reflects a structural shift in the labour market, driven by the decline of full-time secure employment and the expansion of the gig economy. ‘These jobs offer flexibility but rarely provide pensions, sick pay or holiday entitlement,’ said Professor Emily Skelton of the London School of Economics. ‘Workers are patching together livelihoods from several sources because single jobs no longer suffice.’
Global factors may complicate the Bank’s response. Energy prices have ticked up again and supply chain disruptions in the Red Sea are feeding into goods prices. Yet the domestic picture – weak GDP growth, falling business investment and rising insolvencies – argues for looser policy. Market pricing suggests a 60% probability of a quarter-point rate cut in November, up from 40% a month ago.
The government faces a political dilemma. With a general election expected within six months, the Treasury is wary of stimulus that could reignite inflation. But as the data shows, inflationary pressure is no longer coming from wages; it is coming from rents, childcare and food. ‘The Bank cannot ignore the reality on the ground,’ said Lord Turner, a former chairman of the Financial Services Authority. ‘Real interest rates are now very high. That is a policy choice with consequences for employment and growth.’
The coming weeks will test the credibility of the Bank’s forward guidance. Governor Andrew Bailey has described the job market as ‘tight’ and cited wage growth as a cause for caution. Yet the multi-job data suggests that aggregate wage figures mask severe distress at the individual level. A decision to hold rates in November would risk deepening the sense among voters that the economic establishment is out of touch with their experience.
