Young workers due for a pay increase of £450


Around 270,000 workers aged 21 to 24 earning the minimum wage will see their hourly wage rise by 25p an hour to £6.95. It is the largest increase since 2008, outstripping average wage growth and inflation.

The new rate is the highest ever National Minimum Wage in real terms, surpassing the previous pre-recession peak. Those working 35 hours a week will get a boost of £450 a year.

Around 210,000 workers aged under-21 and apprentices will also see an increase to their earnings.

Business Secretary Greg Clark said: “The Government promised to create an economy that works for all and today’s increase means our lowest paid workers will benefit from their largest pay rise since the recession.

“This will make a real difference to hard-working people up and down the country and means for the vast majority of workers, the National Minimum Wage is at its highest level in real terms.”

Everyone entitled to the national minimum or living wage has to receive it. Employers who fail to pay are found and punished, as well as being publically named and shamed.

The Government has increased HMRC’s enforcement budget this year by £7 million, improving its ability to crack down on employers who fail to pay staff properly.

The rise in the National Minimum Wage follows the introduction of the £7.20 National Living Wage in April for those aged 25 and over, giving around 1.3 million workers a pay rise.