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Graduate pay increase forecast

Pay for graduates is due for a four per cent rise in 2012, with university leavers' average salaries predicted to reach £26,000, having remained at £25,000 since 2009.

The figures come from the Association of Graduate Recruiters (AGR), which said the increase will be the biggest for seven years.

However, the AGR warned of a 1.2% drop in graduate vacancies this year after a small rise in 2011.

But the positive figures at least offer hope for young people looking to build up their savings for such needs as deposits to buy a home.

The predicted average graduate salary rise is "significant and sizeable", said AGR chief executive Carl Gilleard, adding that it shows the market is predicted to stay relatively stable.

Mr Gilleard said the news should be seen as good considering the uncertain economic conditions in the UK, Europe and around the world.

Copyright Press Association 2012

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