You are here: Home - Household Bills - News -

National minimum wage increases to £6.31 an hour

Written by:
The national minimum wage for adults has increased by 12p to £6.31 an hour.

The new rates, first announced earlier this year, will see 890,000 low paid workers benefit from the increase.

  • The rate for 18-20 year olds is up 5p to £5.03 an hour.
  • The rate for 16-17 year olds is now £3.72, up by 4p an hour.
  • For apprentices, employers will need to pay £2.68 an hour, up by 3p.

Business Secretary Vince Cable said: “The National Minimum Wage is a vital safety net in protecting the low paid. Each year, the Low Pay Commission carries out a huge amount of detailed and valuable work to make sure they recommend a rate that supports people on low pay without damaging their chances of getting a job.

“But as signs of an economic recovery start to emerge, we need to do more to make sure that the benefits of growth are shared fairly across the board.”

Employers who fail to pay the national minimum wage will be publicly named and shamed under revamped plans announced last month to make it easier to clamp down on rogue businesses, as part of the Government’s efforts to toughen up national minimum wage compliance.

However, there are worries that the national minimum wage increase is not high enough to offset the effects of inflation on low paid workers.

Sampson Low, head of trade union UNISON, said: “The minimum wage is a vital safety net benefiting about one million workers a year.

“But over the last couple of years, it has not kept pace with inflation and it urgently needs to increase. It is not a living wage.

“We also need greater resources for legal enforcement by HMRC inspectors and for companies and public bodies to take greater responsibility for their supply chain and the agencies they use.”

Related Posts

Tag Box

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

ISAs: your back-to-basics guide for 2018/19

Here’s everything you need to know to make the most of your unused ISA allowance ahead of the 5 April deadli...

A guide to Sharia savings accounts

A number of Sharia savings products have upped their game in recent months, beating more familiar competitors ...

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Money Tips of the Week

  • RT @procopywriters: Self-employed workers lose an annual average of twenty days chasing unpaid invoices. As the growth of the #freelance la…
  • RT @procopywriters: Self-employed workers lose an annual average of twenty days chasing unpaid invoices. As the growth of the #freelance la…
  • RT @procopywriters: Self-employed workers lose an annual average of twenty days chasing unpaid invoices. As the growth of the #freelance la…

Read previous post:
Help to Buy 2 will ‘fuel builder confidence’

The current pick up in housing market activity offers builders a "natural incentive" to crank up the supply of new...