UK Minimum Wage to Increase by 6.7%

Chancellor Rachel Reeves is set to deliver Labour's first Budget in nearly 15 years, pledging to raise the national minimum wage to £12.21 an hour, providing a £1,400 boost for full-time workers. Reeves emphasizes the need for significant investments to drive economic growth and improve public services, including a commitment to fix the NHS and tackle hospital waiting lists. Despite the promise of more money in people's pockets, she acknowledges the necessity of tough decisions, potentially involving £40 billion in tax rises and spending cuts, to address the financial challenges left by the previous Conservative government. Labour plans to avoid increasing headline taxes on working individuals, focusing instead on raising employers' national insurance contributions. Reeves echoes the spirit of past Labour governments, asserting that rebuilding the country requires investment and commitment to create wealth and opportunities for all. The upcoming Budget is viewed as a critical step to restore economic stability and improve living standards across the UK.