The Chancellor of the Exchequer announced increases to the National Living Wage which is set to rise to two-thirds of average earnings.
The announcement confirmed that government is committed to accept the Low Pay Commission’s recommendations – following its consultation.
Based on the Low Pay Commission’s latest forecasts, this would see the National Living Wage increase to over £11 (approximately £11.16) an hour from April 2024 and would mean the annual earnings of a full-time worker on the National Living Wage will increase by over £1,000 next year.
The National Living Wage age band will reduce from age 23 to age 21 effective from April 2024.
Further announcements are due in the Autumn statement on 22 November 2023.