Next year UK minimum wage to increase 6.7%, more than inflation – CNBC TV18

Next year UK minimum wage to increase 6.7%, more than inflation – CNBC TV18



UK’s minimum wage will increase by 6.7% inflation next year, an increase that helps the Chancellor of the treasury to REVS that working people are preserved in Wednesday’s budget, but can complicate the inflation fight of bank of England, but can complicate the inflation fight of Bank of England. Are.

Salary lift for UK’s lowest -grosser, £ 12.21 ($ 15.88) per hour from £ 11.44, a character will be £ 1,400 per year for full -time worker, when it is applicable from April 2025, the Treasury Said in a statement. Tuesday

The minimum wage for 18 to 20-year children will also increase from £ 8.60 to £ 10-hour-its biggest growth at the rid In . Treasury said that for young workers, it would be worth £ 2,500.

“This government promised a real living wage for working people,” Reaves said in a comment issued by his office. “This salary boost for millions of workers is an important step towards fulfilling that promise.”

The growth for more than 3 million workers is once again above the rate of inflation, which is expected to be more than 2% average by Bloomberg Economics in the current financial year and 2025–26. The increase in wages in the private sector decreased by 5% in three months through August, while next year’s public sector pays range from 4.5% to 6.5%.

In recent weeks, Reeves and Prime Minister Kir Stmper have suggested their main priority ahead of the budget, which they have called “Working People”, which they define as workers who worry about meeting in the end Are.

While the move provides a very important boost for earning less than the cost-lived crisis in the UK, which saw them affected by spikes in energy and food prices, which means that businesses have high wages and high wages and high wages and high wages Will have to stump. Possible more contributed to national insurance payroll tax after the budget.

For BOE, it also adds to a list of factors such as lack of labor in low-skilled areas and growing long-term disease that are promoting the underlying inflation pressure in front of high interest rates. In July, experts, including Sanjay Raja, the economist of the chief Britain’s chief Britain, warned that Labor’s salary plans would have “meaningful effects” on both inflation and unemployment.

“With the productivity being stable, businesses must adjust this growth against a challenging economic background and increasing pressure on their lower line,” said John Foster, the main policy and campaign officer of the British industry’s Confederation.

He said, “This pressure will make it hard to find the headroom for firms and to invest in the technology and innovation necessary to promote productivity and provide permanent increase in wages,” he said.

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