Pay rise for workers on minimum wage
Millions of workers in receipt of minimum wage will see the amount they get paid rise.
From 1 April 2017, the rates for workers rose as following:
- 25 years and over: £7.50 per hour – up by 30p from £7.20 an hour
- 21- to 24-year-olds: £7.05 per hour – up by 10p from £6.95
- 18- to 20-year-olds: £5.60 per hour – up by 5p from £5.55 an hour
- 16- to 17-year-olds: £4.05 per hour – up by 5p from £4 an hour
- apprentices: £3.50 per hour – up by 10p from £3.40 an hour.
The new rates have been recommended by the independent Low Pay Commission.
Business Minister Margot James says: “More than 2 million workers will receive an above inflation step up in pay, with some set for a £600-a-year pay rise.
“Every worker in the UK is entitled to at least the National Minimum Wage or National Living Wage and we are determined that they get it.”
If workers are concerned they are not being paid the correct rates or if employers need more information about the legal requirements, they can get advice from Acas.
An increase in the general level of prices that persists over a period of time. The inflation rate is a measure of the average change over a period, usually 12 months. If inflation is up 4%, this means the price of products and services is 4% higher than a year earlier, requiring we spend and extra 4% to buy the same things we bought 12 months ago and that any savings and investments must generate 4% (after any taxes) to keep pace with inflation. Since 2003, the Bank of England has used the consumer prices index (CPI) as its official measure of inflation (see also retail prices index).