MNI BRIEF: UK National Living Wage Rises To GBP12.71/HR

The UK national living wage will rise 4.1% to GBP12.71 GBP, from GBP12.21, the Treasury announced on Tuesday.

This increase is above inflation, which was 3.6% in the latest data. The minimum wage will rise by 8.5% for 18-20 year olds and 6.0% for 16-17 year olds. 

The Low Pay Commission should have taken "a more conservative approach to setting youth rates, rather than continuing the process of smoothly converging the 18-20 year old rate with the National Living Wage," the Resolution Foundation noted, as unemployment rose to 5.0% in the three months to September. The Foundation has noted that one in eight young people are not in employment, education, or training. (See MNI INTERVIEW: UK Fiscal Gap Needs Simple Tax Hikes - King)