National Minimum Wage 2023

From the 1st of this month the National Living Wage (NLW) and National Minimum Wage (NMW) in the UK will rise. This boost in income will aid millions of workers in keeping up with the escalating cost of living. As part of its commitment to raising the NLW to two-thirds of median earnings by 2024, the government will increase the minimum wage for workers aged 23 and above (National Living Wage) from £9.50 to £10.42 per hour, a 9.7% increase.

The National Minimum Wage, which applies to apprentices and workers aged 16 to 22, will also rise. The new rates are as follows:

• Workers aged 21 and 22: £10.18 per hour from £9.18 per hour, a 10.9% increase.

• Workers aged 18 to 20: £7.49 per hour from £6.83 per hour, a 9.7% increase.

• Workers aged 16 to 17: £5.28 per hour from £4.81 per hour, a 9.7% increase.

• Apprentices: £5.28 per hour from £4.81 per hour, a 9.7% increase.

The wage increase will particularly benefit younger workers and apprentices, who frequently earn less than their more experienced colleagues. The government hopes that the raise will entice more young people to join the workforce and provide them with the financial support they need to live independently.

By increasing the wages of low-paid workers and minimizing regional disparities, the government's aim is to "level up" the UK economy. Moreover, by putting more money into the hands of consumers who are likely to spend it, this wage increase is also aimed at stimulating the economy.

Source: Gov.co.uk