Fantastic news awaits Indian students, as the minimum wage in the United Kingdom is set to increase by over a pound, to £11.44, by next year in April. The National Living Wage in the UK currently stands at £10.42 an hour for people who are over the age of 23. This comes as a glimmer of hope as many students and workers alike have been demanding better wages.
What’s more, chancellor Jeremy Hunt’s decision will prove to lift 21-year-olds as well. By next year in April, anyone who is above the age of 21 will be able to benefit from this positive change. Cumulatively, around 2.7 million workers will get the opportunity to profit from this change in the National Living Wage policy. Additionally, the finance minister has also promised to raise the minimum wage of workers aged between 18 and 20. It will rise from £7.49 to £8.60.
Apart from full-fledged workers, apprentices also stand to get a raise. The hourly pay is supposed to increase by over 20%- from £5.28 to an effective wage of £6.40 per hour. The chancellor said that the Conservative target of “putting an end to low pay” by raising the living wage to two-thirds of the amount of average wages had been accomplished. The commission advises the government on minimum wage matters. The ideas from the commission were approved in full.
Mr Hunt’s statement has been key to understanding how important it is to regulate the minimum wage. He said “The National Living Wage has helped halve the number of people on low pay since 2010, making sure work always pays”, which only reinstates how many minimum-wage jobs contribute to the socioeconomic good of the United Kingdom.
The decision came as household budgets are increasingly strained by the rising cost of living, with those with lower incomes being most severely affected by rising energy and food expenses. This move can help low-income households and students to capitalise on a better wage, only contributing to the fact that the British government is dedicated to improving the quality of life for many individuals. In hopes of a better future, many students, low-income families, part-time workers, etc., will welcome this move with a sigh of relief.
However, other parties in the business community have expressed worry about these salary increases. Retail and restaurant businesses expressed concerns about rising labour expenditures following a similar increase in wages last year. This is where it becomes important to understand that while the government promises, it is businesses that can deliver. Given the UK’s holistic economy that thrives on various fronts, workers and businesses can work alongside to uplift the British economy.
Many Indian students go to the United Kingdom with a suitcase full of hopes and dreams of a better future, all for good reason. Being home to some of the most esteemed institutions in the world, the United Kingdom is the harbinger of academic research and pragmatic learning. Studying abroad helps young students realise their responsibilities as well as a sense of individuality, both of which are extremely important in preparing for a competitive job market. A higher minimum wage will significantly ease the lives of many Indian scholars who have to bear the weight of academic requirements and sustaining a living, both.
Gaurav Kandari is a seasoned study abroad consultant with over 5 years of experience, specializing in guiding students to the UK, USA, Canada, and Australia. An avid traveler, he draws on his global adventures to enrich his consulting, providing invaluable insights to aspiring scholars.
