Wage growth is expected to fall by 1.5 percentage points over the next 12 months according to the Bank of England, strengthening the case for rate cuts this summer.

According to data from the Bank’s decision maker panel, which surveys the finance chiefs of small, medium and large businesses, employers believe that their wage bills will grow by 4.5 percent over the course of the year ahead. That compares to the six percent annual wage growth they reported last month.

Aside from falling wage