House of Commons · Written Ministerial Statement
Business Update
07 January 2020 · Department for Business, Energy and Industrial Strategy
Proposed by Kelly Tolhurst Con Rochester and Strood
Summarised by AI from the official record, so it can contain mistakes.
At a glance
Key points
- The Government accepts the Low Pay Commission's recommendations for new National Living Wage and National Minimum Wage rates.
- The National Living Wage will increase to 8.72 per hour in April 2020.
- Youth rates will increase by between 4.6% and 6.5%.
Issue summary
The statement discusses the acceptance of the Low Pay Commission’s recommendations for new National Living Wage and National Minimum Wage rates.
Action requested
The Government accepts all of the Low Pay Commission’s recommendations, including an increase to £8.72 per hour for the National Living Wage in April 2020, benefiting over two million workers. The youth rates will also increase by between 4.6% and 6.5%. Implementing regulations will be laid before Parliament.
Key facts
- New National Living Wage rate of £8.72 will come into effect from April 2020.
- Increase in the National Living Wage is aimed at reaching 60% of median earnings by 2020 and two-thirds within five years, if economic conditions allow.
- The youth rates for National Minimum Wage are set to increase by between 4.6% and 6.5% from April 2020.