The Chancellor, John Healey, has confirmed in the Commons that the National Living Wage and the National Minimum Wage will both rise by 3.9%, according to LBC. He said the rise covers 2.3 million of the lowest paid workers.
The National Living Wage for over-21s goes from £12.71 to £13.21 an hour. That is a penny above the £13.20 the Times reported ahead of the statement. The rate for 18 to 20-year-olds goes from £10.85 to £11.27 an hour, as the Times reported.
The figures add up. A 3.9% rise on £12.71 gives £13.2057, which rounds to £13.21. The same rise on £10.85 gives £11.273, which rounds to £11.27.
The confirmation means younger workers get the same percentage rise as adults this year. That ends the faster increases for the youth rate seen in previous years, including an 8.5% rise this year. In cash terms the gap between the two rates widens from £1.86 an hour to £1.94.