The national minimum wage will be increased for all age groups in October this year, the government has announced.
Nearly one million people are set to benefit from an increase to the national minimum wage, the government has announced.
From October, people aged 22 and over will need to be paid at least £5.80 an hour by their employer, up from £5.73 in the past. Additionally, 18 to 21-year-olds will now be paid at least £4.83 - up from £4.77 - while 16 and 17-year-olds will see their minimum pay rate increased to £3.57 from £3.53.
The changes were recommended by the Low Pay Commission, an independent body.
Business secretary Lord Mandelson commented: "The Low Pay Commission has carefully examined the latest economic data before making their recommendations on the minimum wage rate, balancing the needs of workers and businesses in the current economic climate. The government agrees with this assessment and has accepted the recommendations for these new rates to take effect in October."
The British Chambers of Commerce had called for the minimum wage to be frozen in order to help business through the recession and avoid job losses, but chairman David Frost said he was satisfied with the change.
"We are pleased that the increase is only a modest one, and it shows that the Low Pay Commission and the government have largely understood the seriousness of the situation," Mr Frost explained.
But he added: "A freeze would have been more help to business."
