The government was summoned to help young people weakly paid, which are among the most affected by the CVIV-19 epidemic.
Le Monde with AFP
This is one of the flagship measures of the budget that will be presented Wednesday by Rishi Sunak, the British Minister of Finance. In a hurry to help young people weakly paid and pushed by the labor shortage, the Treasury announced, Monday, October 25, that the budget would include an increase in the minimum hourly wage that will pass, from 1 Er April 2022, from 8.91 pounds per hour to 9.50 pounds (11.26 euros) for employees over 23 years of age. This increase means that a full-time worker will receive 1,074 pounds (1,273 euros) more per year before taxes. For employees aged 21 to 22, he will increase from 8.36 pounds to 9.18 pounds (10.88 euros) of the hour. For apprentices, it will increase from 4.30 pounds to 4.81 pounds (5.70 euros) of the hour.
“It’s a government that is on the workers’ side. This increase in salary (…) puts us on the path of our goal of ending the low remuneration by the end of this term”, commented Rishi Sunak. A fund of 500 million pounds to help the most modest to cope with energy bills this winter was also announced in early October following a decline in social minimums.
Rachel Reeves, the Chancellor of the Labor Ghost Cabinet, replied on Twitter as “this offer returns to 1,000 pounds (1,185 euros) than less than the labor plans for a minimum wage of At least 10 pounds of the hour for people working full time “. She added that “a large part will be engulfed by government tax increases, universal credit cuts and the inability to control energy bills”.
this works out at £ 1,000 / year Les Than Labour’s existing Plans for at Least £ 10 year Hour for People Working Full-Ti … https://t.co/t2eql9bb89
Lovely by massive government aid to amortize the shock of the pandemic, the public loan reached 14.9% of the United Kingdom gross domestic product (GDP), the highest ratio since the end of the Second World War.
Taxes up
To bring the public accounts into the green, Rishi Sunak has already announced a historic increase in taxes that will increase by an increase in social levies of 1.25% from April 2022 for the health system, and an increase. of six points of the corporation tax, at 25%, from 2023.
But companies fear to be struck by additional tax increases and the management organization Confederation of British Industry warns: Any further increase “risk curbing the economic recovery”. Conversely, a group of 30 British millionaires addressed an open letter to the Chancellor to ask him to pay more taxes: “We have the means to contribute more (…). The cost of the recovery can not fall back on young people or the most modest incomes. “
The IMF anticipates 6.8% growth for the United Kingdom this year, the fastest pace of G7. But the rebound is less dramatic than it seems because the British economy had experienced the sharpest fall in the G7 last year, nearly 10%, and the recovery is showing signs of slowing, penalized by labor shortages, supply chains to punishment and soaring energy prices.