Millions of UK workers to get pay rise as Reeves plans increased minimum wage

Rachel Reeves, seen here on a visit to a Primark in central London, says the cost of living is ‘still the number one issue’ for many voters. Photograph: Carl Court/PA

Millions of low-paid workers in the UK are to get a pay rise of 4.1% next year, as Rachel Reeves confirmed that minimum wage rates will go up as part of the government’s ambition to improve living standards.

The national living wage will rise from £12.21 to £12.71 an hour from April for over-21s, which the government said would increase the annual earnings of about 2.4 million workers by £900.