Logo of Phnom Penh Post newspaper Phnom Penh Post - Minimum wage in UK to increase, Johnson says Johnson says

Minimum wage in UK to increase, Johnson says Johnson says

Content image - Phnom Penh Post
Britain's minimum wage is to increase by more than four times the rate of UK inflation from next year, Prime Minister Boris Johnson’s government announced on Tuesday. AFP

Minimum wage in UK to increase, Johnson says Johnson says

Britain's minimum wage is to increase by more than four times the rate of UK inflation from next year, Prime Minister Boris Johnson’s government announced on Tuesday.

A 6.2-per cent increase from April takes the so-called national living wage for workers aged 25 and over from £8.21 to a minimum £8.72 ($10.79 to $11.52).

Johnson, whose Conservative party’s recent general election victory came with support from economically struggling pro-Brexit areas, said it was the biggest increase since 2016.

The new government said almost three million people would benefit from the increase.

UK annual inflation stands at 1.5 per cent, with consumers’ purchasing power under pressure from higher import prices following the EU referendum in 2016, which has weighed on the pound.

Johnson has been advised to repay the trust of voters in more disadvantaged areas, particularly in northern England, after he secured the Conservatives biggest majority since the 1980s.

The December 12 vote saw swathes of working class, traditionally left-wing Labour-supporting places, switch to the right-wing Tories because of Brexit.

During the election campaign, Johnson pledged more investment to reverse nearly 10 years of austerity measures under his predecessors.

But the British Chambers of Commerce said above-inflation pay increases came at a difficult time for hard-pressed businesses amid economic uncertainty.

“Raising wage floors will pile further pressure on cashflow and eat into training and investment budgets,” said the trade body’s co-executive director Hannah Essex.

“For this policy to be sustainable, government must offset these costs by reducing others and impose a moratorium on any further upfront costs for business.”

MOST VIEWED

  • Body of woman killed in Bangkok returns

    The Cambodian embassy in Thailand is working to repatriate the body of a casino dealer who was shot dead in Bangkok on Monday night. Ministry of Foreign Affairs and International Cooperation spokesman Kuy Kuong told The Post on Wednesday that officials are preparing paperwork to

  • Chikungunya hits 15 provinces, says gov’t

    Ministry of Health spokeswoman Or Vandine said on Thursday that the chikungunya outbreak in the Kingdom has spread to 15 provinces. Some 1,700 people are now suspected to have the disease. Vandine urged people to prevent its further spread by eliminating shelters for the Aedes aegypti mosquitoes

  • Gov’t exempts visa A and B holders from Covid fees

    Airline passengers who are diplomats and officials of international organisations holding Type A and B visas for travel to Cambodia are exempted from paying Covid-19 testing fees, said the Ministry of Health in its latest adjustment of rules on Wednesday. Health Minister Mam Bun Heng

  • Bill covering dress code draws ire

    Ministry of Interior secretary of state Ouk Kim Lek responded on Tuesday to criticism concerning a draft law that would ban women from wearing overly revealing clothing, saying that input from all parties will be considered as the law moves through the promulgation process. Several

  • What’s the deal with Cambodia and China’s FTA?

    Cambodia’s Free Trade Agreement (FTA) with China kicks off a series of FTAs in future but for now, critics wonder what else the parties could bring to the table apart from what it already has to date By the end of this year, Cambodia

  • Cambodia, Vietnam exchange border maps amid criticism

    Cambodia and Vietnam formally exchanged border maps on Monday despite criticism from former members of the Supreme Court-dissolved Cambodia National Rescue Party (CNRP) that the Kingdom is losing land in the deal. The two countries said agreement on the border is 84 per cent complete, leaving