Millions of workers in the UK are set to receive a pay boost, with the National Living Wage increasing to £12.71 an hour from April 1. The rise will benefit 2.7 million workers, with the average minimum wage worker taking home an extra £1,040 a year.
The increase is part of the government’s efforts to ease the cost of living, but businesses have warned that it will add to their financial pressures. The UK Hospitality trade body has expressed concerns that the rise, combined with higher National Insurance contributions, will be challenging for businesses to absorb.
The pay rise has been welcomed by workers, but some have noted that living standards have essentially flatlined for seven years, with peak GDP per person remaining at broadly the same level as in 2019.
