UK Minimum Wage Set to Increase 6.7%

The UK government has announced a 6.7% increase in the minimum wage for most adults, raising it to £12.21 ($15.88) per hour starting April next year. This decision, revealed by Finance Minister Rachel Reeves, aims to address the cost of living while benefiting around 3 million workers. However, the increase poses challenges for employers, who have already faced a more than 20% rise in the minimum wage over two years. Young workers aged 18-20 will see a 16.3% increase, while those aged 16-17 will see an 18.0% rise. The Confederation of British Industry has expressed concerns that the wage hike could pressure company finances and limit investment. This announcement comes as part of the Labour government's broader economic agenda ahead of the upcoming budget.