Budget 2021: Minimum wage to rise next month

Millions can expect an increase to their wage from the beginning of next month

New minimum wage rates will come into force across England from April 1, the chancellor has announced. Speaking in the Commons on Wednesday as he announced his Spring Budget, Rishi Sunak said workers aged 23 and over will see their salary increase to £8.91 per hour from the start of next month. This is the first time the government's highest rate has included those aged 23 and 24, with it currently applying to those aged 25 and over. Under the current rate, over 25s receive a minimum wage of £8.72 an hour, while those aged between 21 and 24 get £8.20. The new rules would see 21 and 22-year-olds receive £8.36, whereas those aged 18 to 20 get a rise from £6.45 to £6.56. There's also a slight increase for those aged under 18, who will now receive £4.62, not £4.55, with apprentices getting £4.30 instead of £4.15. Amongst other key headlines from the Budget announcement, it was confirmed that the furlough scheme would run until the end of September and that a new 5% deposit scheme would be introduced to help some buy homes. Contactless card payment limits will also increase from £45 to £100, in what is being seen as a boost to retail across the United Kingdom. It's the second rise to the contactless limit in the last year, after it rose from £30 to the current limit in April 2020.