Pay deals are running above the rate of inflation, according to research by Incomes Data Services.
It shows that pay deals are currently between 3 per cent and 4 per cent, following a “stable” period.
Three out of five settlements in the last three months have been worth between 3 per cent and 4 per cent, compared with 2.5 per cent to 3.5 per cent a year ago.
Incomes Data Services claims that deals cover up to three million workers mainly in private firms.
Most agreements for April will give workers pay rises of 3.7 per cent, many for staff in the public sector.
The current rate of headline inflation is 2.7 per cent.