The 6.7 per cent increase – which is worth £1,400 a year for an eligible full-time worker – is a step towards delivering the Labour Party’s manifesto commitment to make sure the minimum wage is a genuine living wage.
Jonathan Reynolds, business secretary, said, “Good work and fair wages are in the interest of British business as much as British workers.
“This government is changing people’s lives for the better because we know that investing in the workforce leads to better productivity, better resilience and ultimately a stronger economy primed for growth.”
According to the government, the move builds on its commitment to be pro-business, pro-worker and pro-growth. It delivers a key plank of the ‘Plan to Make Work Pay’, which is already set to boost the pockets of the lowest-paid workers by up to £600 a year through the Employment Rights Bill.
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