National minimum wage to rise by 3%

Cameron David-PM-2015

The national minimum wage will increase by 3% to £6.70 an hour from October 2015.

The increase is equivalent to an additional 20p an hour for workers aged 21 and over, from its current rate of £6.50 an hour

This will be the largest increase to the national minimum wage in real-terms since 2008.

The government has also announced that the national minimum wage for apprentices will increase by 20% (57p) an hour to £3.30 from its current rate of £2.73 an hour. This is the largest ever increase in the national minimum wage for apprentices.

The hourly rate for 16-to-17 year-olds will also increased by 2% (8p an hour) to £3.87 from £3.79, while the rate for 18-to-20 year-olds will rise by 3% (17p) from £5.13 to £5.30 per hour.

Prime minister David Cameron (pictured) said: “At the heart of our long-term economic plan for Britain is a simple idea: that those who put in, should get out; that hard work is really rewarded; and that the benefits of recovery are truly national.

“The announcement will mean more financial security for Britain’s families and a better future for our country.

Deputy prime minister Nick Clegg added: “This is just one of the many ways in which we’ve created a fairer society, while building a stronger economy.

“Whether you’re on low pay or starting your dream career through an apprenticeship, you will get more support to help you go further and faster.”

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The Low Pay Commission has welcomed the government’s acceptance of its recommendations on rates for the national minimum wage.

David Norgrove, chair of the Low Pay Commission, said: “We judge that the improved economic and labour market conditions mean, once again, that employers will be able to respond in a way that supports employment.”