Labour gives a pay boost to millions of working people with a 6.7% rise in minimum wage

As a result of the increase in the minimum wage, more than 3 million low-paid workers are in line for a pay rise.

Rachel Reeves speaking at Labour Party Conference

Ahead of the Chancellor’s Budget, the Labour government has announced a pay boost for millions of working people with a 6.7% rise in the minimum wage.

The minimum wage will rise to £12.21 an hour next year as the Chief Secretary to the Treasury, Darren Jones, confirmed a 6.7% increase ahead of Wednesday’s Budget.

The minimum wage for over 21s, known officially as the National Living Wage, will rise from £11.44 to £12.21 from April 2025. For someone working full time, or a 37.5 hour week, that equates to £23,873.60 a year, up from £22,368.06.

For 18 to 20-year-olds, the minimum wage will rise from £8.60 to £10. This means someone on a 37.5 hour week would earn £19,552 a year, up from £16,815.

Apprentices will also benefit, with their pay rising from £6.40 to £7.55 an hour.

As a result of the increase in the minimum wage, more than 3 million low-paid workers are in line for a pay rise.

The TUC general secretary, Paul Nowak, welcomed the hike in the minimum wage. He said: “This increase will make a real difference to the lowest paid in this country at a time when rents, bills and mortgages are high.”

The rise in wages comes after the government instructed the Low Pay Commission, which recommends minimum wage rates, to include the cost of living in its calculations.

Basit Mahmood is editor of Left Foot Forward

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