Changes to the National Living Wage will be coming into force from next month.
The wage is due to increase by 6.6%, from £8.91 an hour to £9.50 an hour.
It means that around two million workers in the UK will get a pay rise.
Read more: Child Benefit amount is changing for anyone who claims it from next month
The 59p hourly boost will mean a full-time worker on the living wage will get a pay rise of more than £1,000 per year, according to the government.
But the rates will differ for under-21s, who instead receive the National Minimum Wage.
Their rate will increase from:
- £8.36 to £9.18 for 21-22 year olds
- £6.56 to £6.83 for 18-20 year olds
- £4.62 to £4.81 for 16-17 year olds
- £4.30 to £4.81 for apprentices
The Treasury confirmed in October ahead of Chancellor Rishi Sunak’s Budget that the increase for all over-23s will take place on 1 April 2022.
Critics questioned how much better off workers will be considering the Chancellor has already hiked National Insurance and cut Universal Credit as inflation rises.
Mr Sunak said: “This wage boost ensures we’re making work pay and keeps us on track to meet our target to end low pay by the end of this Parliament.”
But there will be questions over whether the hike is enough to support families facing a cost of living crisis.
In December 2021, inflation soared to 5.4 per cent - the highest rate since March 1992 - and experts have warned that the cost of living will continue to climb over the next few months.
People have been hit by steep increases in the cost of energy bills as well as essentials like food and clothes.
