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The minimum wage for workers aged 23 and over will rise from £9.50 to £10.42 an hour in April.
The increase to the National Living Wage will boost the pay of about two million people.
Chancellor Jeremy Hunt announced the 9.7% increase as part of his Autumn Statement, to help workers cope with rising prices.
There are lower rates of pay for younger workers.
How much is the minimum wage?
The minimum wage - known officially as the National Living Wage - varies depending on the age of the employee.
From 1 April 2023, the increases will be:
The apprentice rate applies to people aged under 19 or people over 19 in the first year of their apprenticeship.
The minimum wage is the same across all parts of the UK.
Do employers have to pay the minimum wage?
The UK national minimum wage sets out the lowest amount a worker can be paid per hour by law.
The retail, care, and hospitality sectors account for a large number of minimum-wage jobs, although they are found in many other parts of the economy too.
Any employer not paying the minimum wage can be fined by the UK tax authority, HMRC.
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