Theresa Villiers MP has welcomed the launch of the National Living Wage, which will increase the take-home pay for 1.3 million people across the country. From the 1st April, workers over the age of £25 will be legally entitled to a minimum of £7.20 an hour, equivalent to a £20 per week pay rise. The minimum wage is set to rise to £9 an hour by 2020.
At the same time, tax-free personal allowance is also increasing, meaning that from the 6th April workers can earn up to £11,000 without having to pay tax – a saving of £80. From April 2017 it will rise again to £11,500, taking 1.3 million of the lowest-paid workers out of income tax altogether and giving a tax cut to 31 million across the country.
Theresa Villiers said: “I am proud to be part of a government that is standing up for those on the lowest income. The changes in the living wage and the tax-free personal allowance mean that more money is going into the pockets of those who need it most. An increase of £20 per week can make a big difference for someone on minimum wage and I very much welcome the fact that so many of my constituents will benefit.”
For further information, go to www.livingwage.gov.uk.