Castle Point MP Rebecca Harris has welcomed the launch of the Government’s new National Living Wage – giving a big boost to the lowest-paid in Castle Point.
From 1 April 2016, workers aged 25 and over and not in the first year of an apprenticeship will be legally entitled to at least £7.20 an hour under the National Living Wage. That’s an extra 50 pence an hour compared to the National Minimum Wage – a £20 a week pay rise for a full time worker.
1.3 million hardworking people across the country are expected to benefit directly from the National Living Wage – which is set to rise to £9 an hour by 2020. While 6 million could see a pay rise as a result of a ripple effect pushing wages up across Britain. A report by the Resolution Foundation found that workers in Castle Point are among those who will benefit the most in the Country. Up to a third (32%) of workers in Castle Point will see their wages increase due to the National Living Wage.
At the same time, the tax-free personal allowance is increasing so that hardworking people keep more of the money they earn. From 6 April 2016 the personal allowance will rise to £11,000 – a saving of £80 – and 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.
Workers and employers can find more information online at www.livingwage.gov.uk.
Rebecca Harris commented:
‘’I welcome the introduction of the National Living Wage. This will be a huge benefit to the lowest paid workers in Castle Point, with up to a third set to receive a wage increase.
The National Living Wage, combined with the rise in the personal tax-free allowance to £11,000 from next week will mean that even more workers in Castle Point will be able to keep more of their hard earned money!”