Minimum wage to rise to £7.50
The National Living Wage was launched in April 2016 under then-Chancellor George Osborne for all working people aged 25 and over.
Hammond announced the increase as part of his first Autumn Statement today.
He said the move will mean a pay rise worth over £500 a year for full time workers.
The National Living Wage is different to the National Minimum Wage, which applies to those under the age of 25.
In total, earnings for a full-time worker on the National Minimum Wage will have increased by over £1,400 a year since the introduction of the National Living Wage in April. according to the Treasury.
The government also announced an additional £4.3m a year investment to strengthen National Minimum Wage enforcement. This will fund new HM Revenue and Customs teams to proactively review employers considered most at risk of non-compliance.