He raised the minimum wage.

VTV.vn - The British government announced yesterday that it will raise the national minimum wage for workers aged 21 and over by 4.1%, to approximately $16.67 per hour, starting in April 2026.

He increased the minimum wage by 4.1%.

The UK government announced yesterday that it will raise the national minimum wage for workers aged 21 and over by 4.1%, to approximately $16.67 per hour, starting in April 2026. The goal is to narrow the gap between the minimum wage and the average wage, although there are concerns that this could lead to price increases.

It is estimated that around 2.4 million workers aged 21 and over will see a pay increase in this round of adjustments, while around 300,000 young workers and apprentices will receive increases of 6-8.5% as the UK gradually eliminates lower minimum wage levels for this group.

The UK Finance Minister said that wage increases are necessary to ensure that low-income earners are paid fairly.

However, the UKHospitality industry association argues that the new wage increase will put significant pressure on businesses. Association chair Kate Nicholls emphasized that businesses have already "reached their limit" due to a range of rising costs, and the new wage increase could force them to raise prices, contributing to inflation. She also expressed concern that raising wages for less experienced workers would make it more difficult for young people to find jobs.

The UK currently has the highest inflation rate among developed economies , reaching 3.6% in October, partly due to rapid wage increases following the COVID-19 pandemic. While the Bank of England forecasts inflation will return to its target of 2% by mid-2027, many policymakers warn that wage increases above 3% could slow this progress. Rising labor costs are also believed to have contributed to a decline in employment this year. The unemployment rate is currently at 5%, its highest level since 2021.

However, the Low Pay Commission, which proposed the 4.1% increase, said previous increases for workers over 21 had not had a significant negative impact on employment. Chairperson Philippa Stroud said the commission had weighed the cost of living pressures on workers against the difficulties faced by businesses ahead of the tax hikes in April next year.

Source: https://vtv.vn/anh-tang-luong-toi-thieu-100251127100529956.htm