Business News

May 2011

New Minimum Wage Rates Set

The government has accepted the independent Low Pay Commission’s (LPC) recommendations for this year’s National Minimum Wage (NMW) rates.

The following rates, announced in April, will come into effect on 1 October 2011:

• the adult rate will increase by 15p to £6.08 an hour;
• the rate for 18-20 year olds will increase by 6p to £4.98 an hour;
• the rate for 16-17 year olds will increase by 4p to £3.68 an hour; and
• the rate for apprentices will increase by 10p to £2.60 an hour.

Business Secretary Vince Cable said: "More than 890,000 of Britain’s lowest-paid workers will gain from these changes.

“They are appropriate - reflecting the current economic uncertainty while at the same time protecting the UK’s lowest-paid workers.”

LINK: Low Pay Commission