Salary calculator: how big a pay rise you need in Liverpool to keep up with UK inflation

Inflation has hit a 40-year high and the cost of living is rocketing, so what pay rise would you need to match the rising prices.

The cost of living crisis continues to cause financial problems for people across Merseyside and the UK.

Spiralling food and energy prices mean that in some areas people are earning as much as £153 per month less than this time last year.

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Inflation reached a record high of 9% in April 2022 which means the price of goods and services were on average 9% higher compared to April 2021.

Most people have not had a 9% pay rise to cover the cost of this inflation meaning that many have had a real-terms pay cut.

Analysis of Office for National Statistics (ONS) Pay as You Earn (PAYE) data has found workers in every part of the UK had a real-terms pay cut this April compared to last, with earnings around 3% lower on average after adjusting for inflation.

In Liverpool the average monthly earnings in April 2021 were £1,835 which rose to £1,927 in April 2022.

However, workers suffered a 3.7% real-terms pay cut - the average person in the city is £73 worse off.

Liverpool ranks 60th in the country for workers with the biggest real-term pay cuts.

How much would you need to earn to avoid suffering a pay cut?

Our real-terms calculator will show you how much your take-home pay will have had to increase to keep up with inflation - and how out of pocket you are if your wages have stood still.

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With inflation at 9%, a worker who took home £1,000 per month after tax and other deductions last April would have to earn £1,089.92 in their pay packet this April for their pay to have remained stable.

The salary calculator will show you how much you need to be taking home now compared to last year if your pay is to keep up with inflation.

Type in what you earned after tax and deductions in April last year to figure out the equivalent figure in April 2022.

The calculator does not take into account National Insurance, and many people’s contributions increased last month.