Minimum wage increase for 1.7m workers – but rises ‘wiped out’ by inflation

‘As employers give pennies, government is taking pounds with end of energy bills help’

Low-paid workers have been the worst hit by spiking inflation (Jane Barlow/PA) (PA Wire)

Around 1.7 million workers will get a “significant” pay boost when the national minimum wage (NLW) increases from Saturday – but food price inflation continues to outstrip rises in earnings during the cost of living crisis.

A 92p rise to £10.42 an hour for workers aged 23 and over is equivalent to a near 10% increase, the Resolution Foundation said.

It’s the biggest annual cash rise in the 24-year history of the minimum wage and one of the largest annual percentage rises.