Exact date millions of workers are set to receive £1,000 pay increase

The exact date millions of workers are set to receive a £1,000 pay increase has been revealed.

At this year's Conservative Party Conference it was announced that the National Living Wage will increase from next year.

As things stand, minimum wage is the rate businesses pay to those under the age of 23 who work.

The National Living Wage is higher than the National Minimum Wage for workers 23 and over.

And the Chancellor said that the statutory rate will rise to £11-an-hour next year, up from the current £10.42.

Over the course of a year, this amounts to a payrise of just over £1,000 for most full-time workers on the minimum wage.

However, the ongoing cost-of-living crisis means incomes ‘will not return to pre-Covid levels until 2026 for many families’, according to new research.

The real incomes of the poorest half of UK families will not get back to their pre-pandemic levels, suggests the National Institute of Economic and Social Research (NIESR).

Pexels

“Higher real wages this year are a welcome boost, especially for low-income working families who have been hit hardest by the Covid and inflation shocks,” said Professor Adrian Pabst, of the NIESR.

“But a return to pre-pandemic living standards will require sustained real wage growth, including further increases in the National Living Wage.

“Only a rethink of economic and social policy can avoid another period of protracted stagnation where the United Kingdom falls further behind other advanced economies and regional disparities continue to widen.”

It called on the Government to increase public investment rather than implementing tax cuts ahead of the autumn statement later this month.

“In its absence the UK is set for a decade in the doldrums and poor prospects for regional regeneration,” it said.

Pexels

Now, with regards to the £1,000 wage increase, it's important to note that this amount depends how much you earn over the calendar year, how many hours you worked and how much you're taxed.

But the increase itself is set to take place from 1 April onwards.

Although, just last month, the wage of nearly half a million UK workers increased by 10 percent.

Workers under the Living Wage Foundation will receive around £12 an hour outside London - a rise of £1.10 - and £13.15 an hour in the capital - a £1.20 increase.

Living Wage Foundation director Katherine Chapman said: “As inflation eases, we cannot forget that low-paid workers remain at the sharp end of the cost-of-living crisis.

“Low-paid workers continue to struggle with stubbornly high prices because they spend a larger share of their budget on food and energy.

“These new rates are a lifeline for the 460,000 workers who will get a pay rise.”

Unison general secretary Christina McAnea added: “This is good news for hundreds of thousands of low-paid workers whose employers do the right thing. That’s pay them a decent wage.”

Topics: Money, UK News, Cost of Living

Anish Vij

Anish is a GG2 Young Journalist of the Year 2024 finalist. He has a Master's degree in Multimedia Journalism and a Bachelor's degree in International Business Management. Apart from that, his life revolves around the ‘Four F’s’ - family, friends, football and food. Email: [email protected]

@Anish_Vij