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The Government recognises that increases in the National Living Wage will mean extra costs for some businesses, However, it’s right that workers are fairly rewarded for their input into the economy. By the Spring, the Government will set out the Low Pay Commission’s remit for the years beyond 2020, taking account of the potential impact on employment and economic growth.
To support businesses with the costs of employing staff, the Government has introduced the Employment Allowance to reduce employers’ National Insurance contributions bill by £3,000. Over 1 million employers are benefitting from this relief.