Britain's minimum wage for most adults will increase by 6.7% from April next year, a boost for low-paid workers but a concern for employers who are finding it harder to implement such rises.
Finance minister Rachel Reeves announced the increase on the eve of delivering her first budget, which is expected to include deliver large rises in spending, investment and tax.
The new Labour government that came to power in July has said the minimum wage should take more account of the cost of living and boost low earnings, while keeping the floor of two-thirds of median hourly earnings introduced by the Conservative government that preceded it.
Overall, the minimum wage increases will directly affect around 3 million workers.
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