Views sought on impact of proposed minimum wage changes

Government previously committed to transitioning minimum wage to living wage by April 2025

The body that helps set the Island's minimum wage is seeking feedback on plans to transition the rate to the living wage next April.

The Minimum Wage Committee says current government policy would mean putting the rate up to around £13.73.

Enterprise Minister Tim Johnston has asked the committee to make recommendations on changes that would come into force in April 2025.

As a result, the panel is asking for views from interested parties on the wider social and economic implications of any minimum wage, how if effects employment and inflation, and the interaction between the figure and the tax and benefits system.

The committee highlights that government's Island Plan includes a commitment to transition minimum wage to the living wage by April next year.

It says it would be particularly keen to hear about the feasibility of the timing of this change, and the impact it would have on the wider economy.

It would also welcome feedback concerning business viability, the cost of living and the competitiveness of the Island internationally.

Minimum wage on the Isle of Man currently sits at £11.45, while living wage is £13.05.

UK Chancellor Rachel Reeves recently announced plans to increase the UK's minimum wage from £11.44 to £12.21 next year.