Dear users,This morning we published "The measurement of real income in the UK: options for a coherent approach". This article explores the conceptual challenges regarding the measurement of real household income in the UK. It examines what it means for price and cost indices to be coherent with income measures, and presents how a family of measures could be produced to provide a better understanding of the real value of household income.
While this article discusses the measurement of real income conceptually, it is hoped that the discussion will help guide decisions regarding the future development of statistics that measure income growth, and statistics that measure changes in prices and costs. We therefore welcome feedback on the contents and implications of this document.Kind regards,Helen