The new National Living Wage: pros and cons for SMEs

5th April 2016

2016 announced the introduction of the new National Living Wage, which is expected to have both positive and negative effects on SMEs throughout the UK.

Currently in the UK all employees are entitled to the National minimum wage, and workers don’t need a written contract to be eligible for it.

The National Minimum Wage increased to £6.70 per hour in October 2015 but will be increased again, with the new premium, to £7.20 in April 2016 – and predicted to rise, in increments, to £9 per hour by 2020 for workers aged 25 and over.

Upwards of a million workers in the UK are set to benefit from this latest 50p increase.