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U.K. unemployment unexpectedly dropped to its lowest rate since 2008, falling to 5.4% in the period between June and August. Pay growth excluding bonuses slowed slightly but inflation remained low, allowing real income growth. The low unemployment rate and inflation leaves the Bank of England room to keep interest rates low for now, though wage growth may prompt an interest rate hike in early 2016. The number of people employed reached a record high of 31.1 million.

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