Seema Malhotra MP
Seema Malhotra MP

On 1st April 2025, the increase in the National Minimum Wage and National Living Wage announced by Chancellor Rachel Reeves came into force. This brings a rise to £12.21 for those 21 and over, and £10 for those aged 18-20. It is estimated that over 3 million eligible workers across the UK will benefit from a pay rise of up to £1,400 a year as new National Minimum Wage and National Living Wage rates take effect.

 

These changes were enacted through The National Minimum Wage (Amendment) Regulations 2025, a form of secondary legislation, following the decision made by Chancellor Rachel Reeves in the 2024 Autumn Budget and were laid before Parliament earlier this year.

 

This means that for a full-time employee working 37 hours a week, the increase of minimum wage rates on 1st April 2025 could see an annual increase (before tax) of £1,481 for minimum wage workers aged 21 and over, £2,694 for minimum wage workers aged 18-20 and £2,213 for minimum wage workers aged 16-18 and apprentices. For those aged 18-20, the increase could be worth up to £2,500 after tax, as the government works to narrow the gap between age bands. This is the first step towards removing the unfair minimum wage age-bands that see a 21-year-old getting paid more than a 20-year-old for doing the same job.

 

In Hounslow, there were 5.6% of employees paid at or below their relevant minimum wage rate in 2024 who will now benefit from the rise in National Minimum wage and National Living Wage. This means that 6,600 workers in Hounslow could see a pay boost of up to £117 per month starting this April. This change will put more money straight into the working people of Hounslow’s pockets and delivers on the Government’s pledge to increase living standards in our Plan for Change.

 

I am proud that the rise in National Minimum Wage and National Living Wage will support the Government’s mission to secure economic growth by giving the British public the wages, prosperity and dignity that everyone needs. In our community, and across the country, there have been too many people working tirelessly and not getting the pay that they deserve. These changes put working people front and centre whilst tackling pay inequalities and low pay.

 

Support for these changes has been welcomed by companies across the UK with Debbie Crosbie, CEO of Nationwide, stating that ‘the Government’s Plan for Change is a welcome and clear plan for growing the economy, strengthening businesses and supporting employees. Eliminating low pay will make sure that everyone shares in the progress the country makes.’

 

Further support has come from TUC general secretary – Paul Nowak, Chief Executive and Chief Sustainability Officer at IKEA UK and Ireland – Peter Jelkelby, Centrica Group Chief Executive – Chris O’Shea, Chief People Officer at Aviva – Danielle Harmer and founder of both retailer Richer Sounds and the Good Business Charter – Julian Richer, who have all championed the recent rises.

 

The rises in National Minimum Wage and National Living Wage are part of Labour’s Plan for Change, to increase living standards, kickstart growth and put more money in working people’s pockets. If you are concerned that you are not being paid the correct wage, you should speak to your employer. If the problem is not resolved, you can contact the ACAS (the Advisory, Conciliation and Arbitration Service) by phoning 0300 123 1122, or complain to HMRC in confidence using the link www.gov.uk/minimum-wage-complaint.

 

I am also keen for local residents who are struggling to find work to get in touch as I will be holding local sessions and surgeries to understand what more is needed to help local people seeking work, after data published this week showed that in March 2025, there were 5,545 people claiming unemployment-related benefits in Feltham and Heston, or 6.2% of the population aged 16-24, compared to 4.7% for the whole of the UK. This includes 780 claimants aged 18-24. If there is more we can do together to support people in their job search and job readiness then it is vital we do so. I want to hear from people with ideas for what more we can do so that we are actively tackling barriers to opportunity and helping local people to achieve their aspirations.

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