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Inflation

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Question 2

Extract 1 – Emergency services pay framework

In autumn 2024, representative bodies for regional emergency service personnel highlighted ongoing recruitment difficulties, pointing to a prolonged period of real-wage contraction. Although local authorities approved a series of annual increments, staff associations argued that these adjustments failed to protect the purchasing power of service workers against sustained inflationary pressures since the fiscal restructuring of 2014.

Fig. 1.1 tracks the average annual salaries of regional firefighters alongside the Consumer Price Index (CPI) over a ten-year period.

Fig. 1.1 – Mean Regional Firefighter Salaries & Consumer Price Index 2014–2024

YearMean Annual Firefighter SalaryConsumer Price Index (2014 = 100)
2014£32,000100.0
2015£32,400101.5
2016£32,800102.8
2017£33,100103.5
2018£33,600105.2
2019£34,200107.1
2020£34,800108.5
2021£35,500111.2
2022£36,200118.4
2023£37,000124.8
2024£38,000129.5

Using the data in Fig. 1.1, explain what happened to average firefighter salaries after 2017.

[2]
Markscheme

Inflation Questions

  1. A Level
  2. /Economics
  3. /Inflation

77 exam-style questions on OCR A Level Economics Inflation. Each one has a worked solution and a mark scheme showing where the marks go.

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