Tax & Accounting News

Government confirms minimum wage rise

12/07/2010

The minimum wage is set to increase this October in line with recommendations made by the Low Commission.

The minimum rate for workers aged 21 and over will rise from £5.80 per hour to £5.93; the rate for 18 to 20-year-olds will increase from £4.83 to £4.92 and the figure for 16 to 17-year-olds will go up from £3.57 per hour to £3.64.

A new minimum wage for apprentices will also be introduced for under-19s, or over-19s in the first year of their apprenticeship, of £2.50 per hour. The accommodation offset will also increase from £4.51 per day to £4.61.

The Low Pay Commission has estimated around 970,000 workers may benefit from the increases.