MILLIONS of workers will see their pay increase next year seeing an extra £1,000 added to their wages.
Jeremy Hunt confirmed the news at the Tory Party Conference in Manchester earlier this month.
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The government confirmed the National Living Wage will increase from £10.42 to £11 an hour from 1 April 2024.
The move will impact roughly two million workers in the UK.
The National Living Wage is the minimum wage for those over 23.
These rates were increased by 10.1% in April this year, benefitting thousands of workers.
The figures suggest the average worker will be around £1,000 better off a year though the exact amount will depend on how many hours you work and how much pay in tax.
The government claims a full-time worker on the National living wage will be more than £9,000 better off than they would have been back in 2010.
The Chancellor said at the Tory party conference that the government would be backing the pledge in its party manifesto.
He said: “We promised in our manifesto to raise the National Living wage to two-thirds of median income – ending low pay in this country.”
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The conservatives claim they are still waiting for the Low Pay Commission to confirm its recommendation for next year.
However, the government says regardless of the recommendation it will still increase the National Living wage to £11 an hour.
The government is expected to confirm the new figure in the Autumn Statement on November 22.
However recent reports suggest the rise next year to well above what the government has announced.
The Resolution Foundation said stronger than expected wage growth means the figure could increase to around £11.46 an hour next April, well above the £11 suggested by the Chancellor recently.
The National Minimum wage is also set to increase on the same day though the new rate is yet to be announced.
The National Minimum Wage is the minimum pay per hour for workers under the age of 23.
You are entitled to the National Minimum Wage if you are of school-leaving age or above which is usually 16.
Here are the rates for 2023/24:
- Those aged 21-22 get at least £10.18 an hour
- For 18 to 20-year-olds, the minimum wage is £7.49 an hour
- Under-18s are entitled to a minimum of £5.28 an hour
- The apprenticeship wage is also £5.28 an hour
Alongside hiking the living wage, Mr Hunt admitted Britain’s tax burden is “too high” and the size of the state simply too large.
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Mr Hunt promised to get spending on public services under control so the economy can stabilise and tax cuts can eventually go ahead.
To reduce spending and save a whopping £1bn, the Chancellor pledged to impose a hiring freeze on the civil service.
