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Minimum wage increase to boost low-paid workers’ incomes

Published 22nd November, 2021 by Neil Nixon

Minimum wage increase to boost low-paid workers’ incomes

The National Living Wage will rise to £9.50 from 1 April 2022. This represents an increase of 59 pence or 6.6%. The LPC’s recommendations set the minimum wage back on track to reach the government’s target of two-thirds of median earnings by 2024. The recommendations were unanimously agreed by commissioners and accepted in full by the government.

Bryan Sanderson, Low Pay Commission chair, said: “The rates we recommended will put money in the pockets of care-workers, food distributors and many other groups of the lowest paid members of our society up and down the UK. Many of them have made a vital contribution during the last few difficult months.”

Alongside the NLW increase announcement, the Commission recommended rises in National Minimum Wage rates for younger workers. The 21-22 year old rate will increase to £9.18, narrowing the gap with the NLW and leaving this age group on course to receive the full NLW by 2024. NMW rates for 18-20 and 16-17 year olds will increase in line with underlying wage growth, protecting earnings for young workers while recognising their higher risk of unemployment. The minimum wage for apprentices will increase by 51p, bringing it in line with the 16-17 year old rate.

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