Minimum-wage.co.uk Website Review

The National Minimum Wage (NMW) is the minimum wage per hour a worker is entitled to in the United Kingdom. These rates are reviewed yearly by the government and are advised by the independent body Low Pay Commission (LPC). In March 2015 the government announced that on 1 October 2015 the hourly ad*lt rate of National Minimum Wage would rise by 20p, from £6.50 to £6.70 (3%). This is the biggest real-terms increase since 2007 and is estimated to benefit more than 1.4 million of Britain’s The changes in the past five years are visible in the table below. In 2010 the age groups were slightly altered and an apprentice bracket was also introduced. Before that the age groups were divided slightly differently and there was no applicable minimum wage for apprentices. The announcement has been subject to discussion. While many argue that the increase is not enough, others argue that setting higher minimum While most people would agree the 3% increase might not seem a lot at first sight, there are other factors that need to be taken into account – such as inflation, prices of essential goods and housing. Inflation has decreased to 0% in March 2015 and the Bank of England expects inflation to remain around 0% for the most of this year. This means that unless it would suddenly increase over the next few months, the 3% increment would actually mean 3% in real terms upon the In addition the price of essential goods have also been falling sharply. Food and non-alcoholic drinks dropped at an annual rate of 2.5% since 1997. Transport dropped at an annual rate of 2.8%. Clothes and shoes dropped 3.7% month-on-month. Even gas and electricity prices decreased a little. The decrease in prices means that one will have more money to spend after buying the essentials. Thus the standard of Prime Minister David Cameron has also pledged to take everyone earning less than £12,500 out of Income Tax altogether and pas* a law to have a Tax-Free Minimum Wage. This would also give a minimum wage worker more to spend.