Analyst Ashley Webb from Kaituo Macro said that if the UK government gives too many public sector employees a pay rise, it may exacerbate inflation and cause interest rates to continue to rise. Chancellor of the Exchequer of the United Kingdom, Rishi Sunak, indicated over the weekend that salaries for public sector employees will be higher than inflation levels in order to retain talent and prevent industrial action. If the large pay rise is limited to only healthcare workers and teachers, the impact on wage growth will be minimal, but if it includes all public sector employees, especially private sector employees who may face pressure to match pay rises, the impact on wage growth will be much greater. Webb said that the Bank of England may cut interest rates in the coming months, but if wage growth remains unstable, the rate cut may slow down.