Tag: Business and Trade Department

The press release issued by the Department of Business and Trade on 8 April 2025.

Update following round 4 of negotiations on an upgraded Free Trade Agreement (FTA) with South Korea.

Negotiations took place in London between 10 and 21 March 2025.

The fourth round of negotiations to upgrade the existing Free Trade Agreement (FTA) with the Republic of Korea (RoK) took place in London between 10 and 21 March 2025. As with previous rounds, negotiators from both sides engaged productively across a broad range of areas in an ongoing effort to enhance and solidify the economic partnership between us.

Negotiations continue to centre around three key objectives:

1. Securing and future proofing existing arrangements: Progress was made in rules of origin discussions. Product Specific Rules were discussed for a range of important exporting sectors. Negotiators will continue to seek a chapter which accounts for both existing and future supply chains.
2. Capturing recent advances in Trade Policy: Negotiations on a new and comprehensive Digital Trade chapter progressed positively, with commitments on data, trade digitisation and business safeguards under discussion this round.
3. Supporting our strategic relationship with the Republic of Korea: During the round good progress was made towards agreeing new cooperation commitments covering areas such as the Environment, Trade and Gender Equality and Supply Chains.

Economic growth is the core mission of this government, and this FTA has an important role to play in supporting our £15.3 billion trade relationship with the Republic of Korea.

The government will only ever sign a trade agreement which aligns with the UK’s national interests, upholding high standards across a range of sectors, including protections for the National Health Service.

The fifth round of negotiations is currently expected to take place in Seoul in the Summer of 2025.

The press release issued by the Department for Business and Trade on 8 April 2025.

The Government has hosted the second meeting of the Steel Council today, and reiterated its commitment to British steelmaking.

• Steel sector, union and trade body leaders meet Government to drive forward development of its steel plan as part of drive towards industrial renewal.
• Industry Minister restates the Government’s commitment to British-made steel, including energy cost relief for businesses expected to be worth over £300m in 2025 alone.
• Government is reviewing nearly 100 responses to its steel consultation as it brings forward plans to help the industry secure jobs and deliver economic growth across the UK, as part of its Plan for Change.

Steel sector leaders were reassured about the Government’s plans to revitalise British steelmaking today (8 April) at the second meeting of the Steel Council, bringing together industry leaders to feed into amid global concerns around US tariffs on steel and aluminium.

Industry Minister Sarah Jones hosted the meeting earlier today after the Government’s steel plan green paper consultation closed on 30 March, receiving almost 100 responses and recommendations from business leaders and industry experts.

The meeting follow’s the Prime Minister’s speech yesterday where he pledged to do the right thing by the UK’s national interest, prioritising security and renewal in a changing world.

Minister Jones reiterated the Government’s firm support for industry and its role in delivering economic growth, as well as in the context of global tariffs on steel and aluminium imposed by the US. She assured Steel Council members the Government is continuing to do all it can to stand up for the sector.

The meeting comes as the Government continues to work round the clock to protect jobs at British Steel in Scunthorpe.

CEOs of steel firms including Tata, Liberty, British Steel and others joined leaders from trade unions and the industry’s trade association UK Steel to discuss the sector’s future and the challenges facing it.

Industry Minister Sarah Jones said:

We know this is a concerning time for our steel industry in the face of global challenges. That’s why we’re working in lockstep with industry to drive forward our steel plan so it can help the sector secure jobs, deliver growth and power the modern economy.

This government will always stand up for UK steelmaking, and where others may talk tough, we are acting, with money ready to go to back up British industry. With our steel plan we’re placing it at the heart of our growth mission, and we’ll keep all options on the table to help steel in the UK thrive and deliver on our Plan for Change.

The Steel Council’s second meeting comes as the final measure in the Government’s British Industry Supercharger package – the Network Charging Compensation (NCC) scheme – comes into force, bringing energy costs for steel companies and other energy-intensive industries closer in line with other major economies worldwide.

The first payments to industry from the NCC scheme will be made next month and provide over 15 million in energy price relief for businesses in May alone.

Once fully implemented, the total value of reduced electricity prices from the Supercharger package is expected to be between 320 million and 410 million in 2025, and more than 5 billion over the next 10 years.

Background:

A full list of attendees for the Steel Council meeting is below:

• British Steel
• Celsa Steel UK
• Liberty Steel
• Marcegagalia Stainless Sheffield Ltd
• Sheffield Forgemasters
• TATA Steel
• UK Steel
• British Metals Recycling Association
• Materials Processing Institute
• WMG High Value Manufacturing Catapult
• Community Union
• GMB Union
• Scottish Government
• Welsh Government
• Northern Ireland’s Department for the Economy

The press release issued by the Department for Business and Trade on 7 April 2025.

Consultation aims to cut costs of UK staycations for families and small businesses.

•  New plans to help UK tourism businesses offer better deals and value-for-money packages
• Plan for Change to cut outdated regulations will allow hotels, attractions, and restaurants to collaborate more easily
• Families planning their summer holidays will have more choice, better prices, and greater convenience

The UK’s travel industry is set for a boost as the Government unveils plans to cut red tape as part of its Plan for Change, and make it easier for businesses to offer package deals, giving consumers better value and supporting growth across the tourism sector.

The measures being looked at in a consultation, could remove barriers that currently prevent small businesses including B&Bs and restaurants from working together to create tailored UK holiday experiences. The measures if implemented, could boost the travel sector and help grow the staycation economy right across the country.

The proposals will support the domestic travel market to go for growth by giving families and travellers more affordable, flexible, and convenient options for their staycations.

The proposed measures will make it easier for businesses to bundle offers together, helping hotels, attractions, and restaurants team up to provide exclusive deals.

• For example, a B&B in the Lake District that may not be able to offer dinner, could team up with a nearby restaurant or pub to offer a discount on an evening meal when purchased together with the room booking.
• Or a campsite in Cornwall could be able to offer discounts and deals for the local surf school.
• But it could also apply to trips in towns and cities too, with tourists staying in a London-based hotel could offer discounted show tickets when they refer a consumer who has booked a room with them.

It will aim to support businesses through measures like setting a time limit for third parties to provide redress to organisers and improving the flexibility of insolvency protection provisions for non-flight packages.

For UK holidaymakers, these changes will give families better staycation options to help them plan summer holidays. Instead of booking everything separately, these measures would make it easier for consumers to access tailored packages that combine great accommodation with exciting local experiences.

Minister for Employment Rights, Competition and Markets, Justin Madders, said:

“Right now, a British hotel, local attraction, and restaurant can’t offer a joint deal without jumping through regulatory hoops – and that’s frankly ridiculous. As part of our Plan for Change, we’re fixing that.

“These common-sense changes will help small businesses, boost British tourism, and give families more choice when booking a staycation. More options, better value, and a stronger UK economy.”

The 12 week consultation will seek input from businesses and industry leaders on how best to implement these reforms.

The press release issued by the Department for Business and Trade on 6 April 2025.

Outrageous fake reviews and sneaky hidden fees are now banned once and for all in a major win for consumers right across the UK.

• Fake reviews and hidden fees that cost consumers £2.2bn every year now banned
• CMA takes on major new powers to directly enforce new consumer laws
• Changes will protect consumers and create a more level playing field for businesses, helping to deliver economic stability as part of the Plan for Change

Outrageous fake reviews and sneaky hidden fees are now banned once and for all in a major win for consumers right across the UK. These laws will help deliver economic stability as part of the Plan for Change.

The new measures coming into force today will give the public control over their cash and save them money in the long run.

All mandatory fees, such as admin fees or ticket booking fees, must now be included in the headline price and can’t be deceptively dripped in throughout the checkout process, to dupe customers into paying more than they originally bargained for.

The ban aims to bring to an end the shock that online shoppers get when they reach the end of their shopping experience only to find a raft of extra fees lumped on top.

So, for shoppers buying train tickets – they won’t be stung by a hidden booking fee at the end of the checkout.

When buying a takeaway, the delivery and admin fees must be clear at the start of the process.

The same will apply to all online shopping experiences from concert tickets to trips to the cinema.

Every year a whopping £2.2 billion is spent by consumers on unavoidable hidden fees, which is why these new rules are coming into force.

Not only will it create greater transparency, but it will make it far easier for consumers to confidently compare products and services to make sure they are getting the best bang for their buck.

Justin Madders, Minister for Employment Rights, Competition and Markets, said:

From today consumers can confidently make purchases knowing they are protected against fake reviews and dripped pricing.

These changes will give consumers more power and control over their hard-earned cash, as well as help to establish a level playing field by deterring bad actors that undercut compliant businesses, helping to deliver economic stability as part of our Plan for Change.

Outlandish fake reviews will also be banned today – so customers know what they are buying when they shop online.

The legislation will prevent punters turning up to a restaurant with 5-star reviews only to be served 1-star quality food. Or ordering a product online from a top-rated seller only to find it never turns up, or that when it does, it doesn’t look anything like it did in the picture, despite what previous buyers said.

Reviews were found to be used by 90% of consumers and contributed to the £217 billion spent in online retail markets in 2023, underscoring the importance of these new consumer protection laws.

New laws will also help prevent well-intentioned and compliant businesses from being under-cut by those seeking to catch out consumers with stealthy additional prices and fake reviews.

Sarah Cardell, Chief Executive of the CMA, said:

We will use these new provisions to safeguard people from harmful and unfair treatment, and to foster the level-playing field for the vast majority of businesses who want to do the right thing for their customers. We will be tackling the more egregious practices first and working hard to support businesses with compliance, conscious that – especially for small businesses – the burden of following the rules must be proportionate.

This new consumer protection regime will be implemented by the Competition and Markets Authority (CMA) in a way that is as simple as possible for smaller businesses to comply with.

This government is committed to taking action to reduce unnecessary burdens on business, meaning that should any new rules be required, these will be as clear as possible and only used where necessary and proportionate.

Notes to editors

• Legislation only bans unavoidable hidden fees. Optional fees, such as airline seats and luggage upgrades for flights, are not included.
• Website hosts are accountable for the reviews on their page. Businesses and online platforms will be legally required to take steps to prevent and remove the publication of fake reviews that are published on their websites. This could include, for example, having adequate detection and removal procedures in place to prevent fake reviews being published.

The press release issued by the Department for Business and Trade on 5 April 2025.

New entitlement will give thousands of eligible new parents each year with children in neonatal care a right to additional leave and pay.

• New right to neonatal care leave and pay enters into force this weekend.
• Parents of babies in neonatal care are entitled to an additional 12 weeks of leave and pay if eligible, on top of parental leave, as of tomorrow (6 April)
• The Government is supporting working families and protecting working people’s payslips, delivering on our Plan for Change.

Thousands of new parents each year will gain a day one right to leave and pay, if eligible, if they have a child in neonatal care as of tomorrow [Sunday 6 April].

Our Plan for Change relies on families having security in work. By protecting payslips and providing them with the support at work they need through these measures, we’re putting more money into the pockets of working people, delivering national renewal and growing the economy.

These measures will change the dial from where it is now, where working families have been faced with the challenge of going to work whilst their newborn baby is sick in neonatal care.

They will allow eligible parents to take up to 12 weeks of leave (and, if eligible, pay) on top of any other leave they may be entitled to, including maternity and paternity leave.

In a meeting between Justin Madders, the Employment Rights Minister, and campaigners from the charities The Smallest Things, Bliss and Working Families,

Employment Rights Minister Justin Madders said:

The campaigners and parents who have had to experience their children in neonatal care are an inspiration to us all and show just how much this new leave and pay entitlement is needed for families up and down the UK.

We know that many employers already go above and beyond the statutory minimum, which is why as part of our Plan for Change we’re creating a level playing field that ensures parents, wherever they work, have the vital relief they need to switch off from work and focus on their newborn baby.

Women’s Health Minister Baroness Merron said:

No parent should have to choose between being with their vulnerable newborn or returning to work. Our action today will make all the difference to families going through an incredibly stressful time.

We are giving parents peace of mind so they can focus on their family. At the same time, we are reforming the NHS and maternity and neonatal services to ensure that everyone receives the personalised, compassionate care that they deserve.

The new Neonatal Care Leave will apply to parents of babies who are admitted into neonatal care up to 28 days old and who have a continuous stay in neonatal care of 7 full days or longer.

These measures will aim to relieve some of the pressure on working families, providing the support families need to allow them to be by their child’s side without having to work throughout or use up their existing leave.

The Government’s Employment Rights Bill, which is currently making its way through Parliament, was introduced to upgrade workers’ rights across the UK, tackle poor working conditions and benefit businesses and workers alike. This includes bringing forward employment reforms, such as establishing day one rights for paternity, parental and bereavement leave for millions of workers.

Other measures being introduced by this Government include support for employers through the menopause and strengthened protections against unfair dismissal for pregnant women and new mothers.

Catriona Ogilvy, founder of parent-led charity The Smallest Things said:

The Smallest Things is thrilled that Neonatal Care Leave and Pay will finally be available to families from tomorrow (6 April).

This new law is the result of a decade of tireless campaigning by those who truly understand – neonatal parents themselves.

They know the journey doesn’t end when babies come home from hospital. Neonatal Leave will give families back stolen time. Time to be with their baby without the worry of work or pay. Time to bond. And time to begin to recover – both physically and mentally.

Neonatal parents and carers needed more time. From tomorrow, they’ll get it.

Bliss Chief Executive Caroline Lee-Davey said:

At Bliss we know just how important it is that babies born premature or sick have both parents at their side in neonatal care during their challenging first weeks and months of life, playing a hands-on role in their care.

That is why Bliss is so proud to have led campaigning for the introduction of the Neonatal Care (Leave & Pay) Act, which will provide thousands of employed parents every year with the assurance that they can take the time to be with their sick baby when they need it most.

We now look forward to working with the Government and employers to ensure that all parents who are eligible know about this new entitlement, as well as the wider information and support that they can access from Bliss throughout their neonatal journey.

Jane van Zyl, Chief Executive, Working Families said:

We are delighted to see the introduction of this new entitlement after having worked with policymakers on its development.

Having additional leave and pay will mean parents can be by their baby’s side when they need them most. By giving families some breathing space and the ability to manage childcare for older siblings, this policy will help relieve some of the financial and emotional strain families are under.

We hope employers will build on this support by developing enhanced neonatal polices, as many compassionate employers have already, and consider flexible working, a little of which can go a long way in supporting families.

Nisha Marwaha, Director of DE&I at Virgin Media O2 said:

Introducing paid neonatal care leave as a day one right is a lifeline for parents whose babies require medical care shortly after birth.

At Virgin Media O2, we’re proud to have been one of the first UK businesses to introduce paid neonatal leave more than two years ahead of it becoming a legal requirement. We’ve seen first-hand the difference it has made to our employees, allowing them to focus on caring for their sick baby and take time away from work with our full support.

That’s why we welcome the introduction of the legislation that will benefit around 60,000 new parents each year so they can be there for their loved ones when it counts, without having to worry about work.

Liz Jeffery, Vice President for People Experience at Sony Music, said:

When a baby is born prematurely or requires neonatal care after birth, it can be a very difficult time for parents.

Since 2018, Sony Music staff have been entitled to full pay during the period in which a baby is born before full term or spends time in neonatal care, ensuring they are financially supported until parental leave begins.

This policy has been a huge benefit for our employees over the past seven years and we are pleased to see that the law is changing to support other families going through these experiences.”

Jackie Henry, managing partner for people and purpose at Deloitte UK, said:

Family-friendly policies can have a profound impact in supporting people in the modern workplace.

That’s why at Deloitte UK, we provide 12 weeks’ paid neonatal care leave as part a wider package of policies and benefits, including six months’ paid family leave, and paid time off for caring responsibilities and fertility treatment.

Families come in all shapes and sizes, so policies like these allow our people to focus on what matters during some of the most important moments of their lives.

The press release issued by the Department for Business and Trade on 3 April 2025.

Government begins process seeking business views on response to US tariffs.

• UK Government launches next stage in process asking UK businesses to comment on options to shape UK’s potential response to US tariffs.
• Business and Trade Secretary tells Parliament UK is disappointed at US tariffs and will continue constructive discussions with US on wider deal.
• Tariffs remain the last resort, with options kept open.

UK businesses will shape the UK’s response to US tariffs announced overnight, as part of plans announced by the Business and Trade Secretary today.

Following the 10% reciprocal tariffs on a range of products announced by the Trump administration yesterday, UK companies are being invited to give their views on what any future UK response should look like by providing feedback to questions asking them the average value of their US imports, the impact of any possible UK tariffs and how they would adjust to them.

The Business and Trade Secretary has also today published an indicative list of goods imported from the US that may be considered in a future UK response. This makes it clear to businesses that the Government would not consider products in the wider public interest issues such as medical supplies and military equipment. It marks the next stage in the government’s ongoing preparations and negotiations with the US on our economic relationship.

Business and Trade Secretary Jonathan Reynolds said: 

The best interests of British business has shaped our approach throughout as we prepare for all scenarios, which is why we are asking them for their views on how these tariffs impact their operations and day-to-day lives.

Our cool-headed, pragmatic approach means that talks with the US will continue to reflect our mandate to deliver economic stability, as we press the case for a trading relationship that supports businesses on both sides of the Atlantic, and reflects our Plan for Change and the best interests of the UK public.

The Business Secretary and Ministers across government have been engaging widely with business organisations and companies from across the economy, including sectors like steel, automotive and food, and other companies who export a high number of goods to the US and stand to be affected by any tariffs. They will continue to meet a broad range of businesses in the coming days to provide support and set out the Government’s priority of defending the interests of UK industry.

The four-week Request for Input launched today and open until Thursday 1 May continues the Government’s engagement with a wide range of UK sectors in response to tariffs, its commitment to working in the national interest and delivering economic stability, and its support of the UK public and businesses as part of its Plan for Change.

Once the Request for Input closes, the Government will reflect on the feedback and consider how best to respond.

While preparing for all scenarios, this Government’s priority remains strengthening its relationship with the US through an economic prosperity deal, and both countries will continue to have constructive discussions in the coming weeks to agree this.

The press release issued by the Department for Business and Trade on 2 April 2025.

The Minister for Investment has signed a new partnership with Singaporean bank OCBC, which will help unlock £10 billion of investment into key priority sectors in the UK.

• Minister for Investment Poppy Gustafsson signs new partnership with OCBC, Singapore’s second largest bank, to facilitate £10 billion investment into the UK.
• Agreement will increase UK-Asia Pacific collaboration and support investment into priority growth sectors including energy, infrastructure and real estate.
• Comes in the wake of ratification of CPTPP – a massive trade deal with the region – helping to create economic growth and supporting the Plan for Change.

New collaboration between the UK government and one of the largest banks in Southeast Asia will unlock £10 billion of investment into Britain, boosting economic growth and driving forward the government’s Plan for Change.

Today [Wednesday 2 April], Minister for Investment Baroness Poppy Gustafsson has signed the new MoU with the Oversea-Chinese Banking Corporation Limited’s (OCBC) Head of Global Corporate Banking Elaine Lam.

The bank aims to finance £10 billion of investment from the Asia Pacific region into priority growth sectors including energy, infrastructure and real estate by 2030.

Minister for Investment Baroness Poppy Gustafsson CBE said:

This £10 billion commitment from OCBC is a major vote of confidence in the UK economy. Not only will it help create more opportunities in real estate and infrastructure, but will also back our clean energy industry, a key growth sector identified in our upcoming Industrial Strategy.”

We have the most open, stable and connected economy in the world – and our Plan for Change will encourage more international companies to invest here, delivering long-term growth that supports good, skilled jobs across the country.

Under the newly expanded Office for Investment, OCBC will collaborate with the government to promote the UK as a hub for businesses, investors and services, attracting billions of pounds worth of investment from Asia and supporting the government’s growth mission.

As one of the largest banks in Southeast Asia, OCBC brings valuable private capital from Asia into the UK. OCBC’s plan to finance £10 billion worth of investment until 2030 signifies the significant opportunities from Asia and is a huge vote of confidence in the UK economy.

OCBC Head of Global Corporate Banking Elaine Lam said:

The UK and Singapore share historically deep ties and OCBC is proud to play a part in further strengthening the relationship with this agreement. Our UK business has grown significantly over the years and our London branch is now the largest in our international network. The growth has been driven by developments in sectors such as real estate, renewables, energy transition as well as digital and core physical infrastructure.

These align with the priority sectors outlined in the UK’s industrial strategy and we will double down on our efforts to drive further growth in these areas. We are also committed to supporting UK companies that are keen to establish or expand operations in Singapore and Southeast Asia. We look forward to building on our strong track record in the UK to deliver on these goals.

The UK and Asia-Pacific trading relationship is worth £126 billion. This new partnership will create more opportunities in key growth driving sectors identified in the government’s upcoming modern Industrial Strategy, and build on the UK’s CPTPP ratification – expected to boost the economy by £2 billion a year in the long-term.

The collaboration will also help facilitate further trade and investment with the APAC region, as the UK remains committed to free and fair trade, with a pro-business approach focused on reducing barriers to investment.

The government’s new modern Industrial Strategy will deliver long-term, sustainable, inclusive growth right across the UK by driving investment into the economy and hardwire stability for investors, giving them the confidence to plan not just for the next year, but for the next 10 years and beyond.

The press release issued by the Department of Business and Trade on 1 April 2025.

Vietnam grants market access for British live seafood products, opening new opportunities for growth and trade.

The UK seafood industry celebrates a breakthrough today (1 April) as Vietnam grants market access for British live seafood products, opening new opportunities for growth and trade.

The agreement unlocks significant opportunity for exports of live seafood from the UK to Vietnam, who are amongst the highest consumers of seafood per capita and the highest in South East Asia.

British seafood is known globally for its taste, quality, and rich heritage, and Vietnamese consumers will now have access to premium seafood products in their preferred live form sourced from the UK’s vibrant and vast coastline, including popular varieties such as lobster and brown crab.

These additions will enrich culinary options for Vietnamese consumers, who eat approximately 37kg of seafood per person each year, allowing them to experience the distinctive flavours and exceptional quality that have made British seafood renowned worldwide.

British seafood exports to Vietnam have already shown strong growth, with fresh, frozen, and processed products seeing a 40% increase in the first 9 months of 2024 compared to 2023.

In line with the Government’s priority of delivering economic growth and putting more money into working people’s pockets under the Plan for Change, this breakthrough creates new export opportunities that coastal communities across the length and breadth of the UK have pushed for in recent years. Unlocking the Vietnamese live seafood market will boost local economies and support jobs across Britain’s shorelines, contributing to nationwide economic growth.

Minister for Food and Rural Affairs Daniel Zeichner said:

This is a tremendous win for our seafood industry. By securing access to Vietnam’s thriving live seafood market, we’re opening new opportunities for British businesses while supporting jobs across the UK as part of our Plan for Change.

Our high-quality seafood is increasingly sought after worldwide, and this agreement demonstrates our commitment to get British exports moving by helping producers reach valuable international markets.

Minister for Exports Gareth Thomas said:

This is a welcome and significant breakthrough, opening up a new and lucrative market to live seafood exporters across the UK.

 We know that when businesses export the whole economy benefits. That is why this government will continue to support businesses by removing trade barriers to enable them to take advantage of export opportunities abroad to grow the economy at home.

Access to the Vietnamese market is estimated to generate around £20 million for the UK seafood industry over the next five years, according to the Shellfish Association of Great Britain (SAGB).

David Jarrad, CEO of Shellfish Association of Great Britain said:

We have been delighted to engage with government officials in the UK and Vietnam and help achieve this export agreement.

The opening of another market for our sector is great news for the industry and demonstrates the strong worldwide demand for the UKs quality live shellfish.

Vietnamese importers are willing to pay competitive prices for British seafood varieties that have less demand in UK and European markets, providing an important alternative revenue stream for dozens of seafood traders.

Through dialogue and collaboration with Vietnamese officials, Defra and the Department for Business and Trade (DBT) resolved concerns, cleared regulatory barriers, and showcased the high standards of British seafood production to create new opportunities for UK exporters.

These officials will work closely with the UK seafood sector and industry bodies to ensure a smooth transition into the Vietnamese market.

The press release issued by the Department for Business and Trade on 1 April 2025.

Over 3 million eligible workers set for a pay rise of up to £1,400 a year as new National Minimum Wage and National Living Wage rates take effect.

• Pay rise worth an extra £1,400 per year for an eligible full-time worker delivered from today.
• New rates put more money back into the pockets of working people, boosting productivity and ending low pay.
• More money to be spent in Britain’s high streets, kickstarting growth as part of the Plan for Change.

Eligible full-time workers are set for a pay boost of up to £117 from this month thanks to the Government’s increase in the National Living Wage, which comes into effect today.

The move – which delivers the Government’s pledge to increase living standards in the Plan for Change – will put more money straight into working people’s pockets.

Thanks to the decision made in the Autumn Budget, the uplift means more money can be spent on the high street to boost the local economy and help kickstart economic growth – the Government’s central mission in its Plan for Change.

The changes will also see a pay boost for Britain’s young people – with the National Minimum Wage for younger workers and apprentices seeing a record cash increase.

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.

Already, the UK is second in the G7 in terms of the minimum wage relative to average wages for a full-time worker – ahead of the US, Germany and Japan. This makes it one of the most financially secure countries in the world for workers.

Deputy Prime Minister Angela Rayner said:

This pay rise for over 3 million of the lowest paid workers was a priority for this government and means we’re already giving hard working people more money in their pockets and a proper wage increase worth over twice the rate of inflation.

These changes are part of our Plan for Change – to raise living standards for people across the county, including apprentices and young people, giving them more job security and the huge pay boost they deserve too.

Chancellor of the Exchequer, Rachel Reeves, said:

In the last Parliament, living standards were the worst on record and sky-high inflation was crushing working people’s finances.

Today we have raised the national minimum and living wages, meaning the lowest paid will receive an annual pay boost of up to £2,500 – something that wouldn’t have happened without my Budget last year.

Making work pay is good for workers, will strengthen businesses’ workforces, and will grow our economy for years to come. It’s a key milestone on my number one mission to get more money in people’s pockets as we deliver our Plan for Change.

Business Secretary Jonathan Reynolds said:

We promised to make low pay a thing of the past. Now, as part of our Plan for Change and the biggest upgrade to worker’s rights in a generation, we are delivering that.

Low pay is not only bad for workers, it prevents them from spending on our high streets and allowing local businesses to achieve their full potential.

By ensuring that everyone gets a fair wage for the hours they work, we’re delivering the financial stability needed to kick-start economic growth and ensure our country is fit for the future.

The Government is spending billions to support people suffering with the cost of living pressure that were inherited by the previous administration. This includes:

• £7.8 billion on State Pension spending, in line with the Triple Lock commitment so pensioners don’t get left behind
• £3 billion to freeze the fuel duty – to help Britain’s drivers
• £1 billion, including Barnett impact, to extend the Household Support Fund in England and Discretionary Housing Payments in England and Wales in 2025-2026
• £460 million on Warm Homes – to help the poorest households heath their homes
• £25 million boost for the carers allowance to better support people caring for a loved one.

This is on top of the additional £7.8bn that the government is spending in 25/26 to protect the value of the state pension and to reflect changes in the population.

The Government is clear that the mission to grow the economy and raise living standards is a top priority and a strong economy can only be built when people have financial security whilst in work.

Recent research from ReWAGE and the University of Warwick shows that low pay can lead to mental health issues including depression, meaning more lost days and crippling productivity, leaving employers carrying the cost burden as well increasing costs to public services such as the NHS.

By putting more money into the pockets of the lowest paid, this increases workers’ financial security instead offering stability to help increase staff retention and lowering recruitment costs for businesses in the long run.

This uplift is an essential part of the Government’s plan for long-term national renewal and growth.

To ensure workers get the fairest deal, this rise is also the first that has taken into account the cost of living and inflation.

The uplift sits alongside the Employment Rights Bill, the most significant upgrade to workers’ rights in a generation, and commitments to improve economic stability, get Britain building again, kickstart a skills revolution and bring forward a modern industrial strategy, and a plan to tackle inactivity.

The Government recognises that businesses will need more support next year. Ahead of permanently lowering tax rates for high street retail, hospitality, and leisure (RHL) from 2026/27, we have prevented the current RHL relief from ending this April, extending it for one year to ensure that over 250,000 RHL properties see a full 40 per cent reduction on their liability, and we have frozen the small business multiplier.

Julian Richer, founder of both retailer Richer Sounds and the Good Business Charter said:

One of the best ways to increase living standards and productivity in the UK is to put more money straight into people’s pockets with a National Minimum Wage increase that can be spent in shops and the economy to boost growth.

From this increase we can expect to see employee morale, productivity and retention all going up and hopefully will benefit millions of workers.

TUC general secretary Paul Nowak said:

This increase in the national minimum wage will make a real difference to the lowest paid in this country and setting out a path to end the outdated and unfair youth rates will give young workers a boost up and down the country.

More money in working people’s pockets means more spend on our high streets – that’s good for workers and good for local economies.

Debbie Crosbie, CEO, Nationwide said:

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.

Nationwide has long championed the national minimum and living wage and we welcome this focus on improving living standards and boosting productivity.

Peter Jelkelby, Chief Executive and Chief Sustainability Officer, IKEA UK and Ireland said:

People are at the heart of IKEA’s success, and we recognise the challenges they face from inflationary pressures and rises in the cost of living.

Businesses rely on a skilled, engaged and committed workforce, so ensuring that wages reflect the cost of living is the right route to providing that.

Centrica Group Chief Executive, Chris O’Shea, said:

A strong, sustainable economy needs wages that rise in line with productivity and needs to ensure people can live well.

As a Real Living Wage employer, we applaud this uplift in the National Minimum Wage for the millions of workers who will power the country’s economic growth. Government and business need to work together to drive prosperity to ensure workers get their fair share and to reduce inequality and raising living standards.

With the right policy choices—particularly in our energy sector—we have a vital opportunity to unlock billions of pounds of investment, boost growth and productivity, while creating thousands more well-paid jobs across the UK.

Danielle Harmer, Chief People Officer, Aviva said:

We’re proud to be a real Living Wage Employer in the UK, including for our contractors and suppliers who work on our sites.

Supporting our colleagues to thrive is good for them, our business, and our customers.

Nicola Ryan, Director of Colleague Support at One+All in Greater Manchester, said:

“We are very pleased with the increase to the National Minimum and Living Wage.

“This is great news for the millions of lower paid workers, as we know far too many working parents and their children are in poverty.

“We know that employees who have less financial stress do a much better job which leads to higher productivity and customer satisfaction.”

Notes to editors:

• The changes from 1 April mean:
• The National Living Wage for those aged 21 and over will rise from £11.44 per hour to £12.21 per hour.
• The National Minimum Wage for 18- to 20-year-olds rises from £8.60 to £10.00 per hour.
• The apprenticeship rate, and for 16- to 17-year-olds rises from £6.40 per hour to £7.55 per hour.

The press release issued by the Department for Business and Trade on 8 March 2025.

British artists are set to benefit from the latest round of government funding designed to boost music exports, drive growth and deliver the Plan for Change.

• £1.6m Music Export Growth Scheme to support 58 independent UK artists to tour the world
• Funding will boost UK’s creative industries – a key growth sector in the Government’s upcoming Industrial Strategy
• Creative Industries sector is worth almost £125 billion to the UK economy, and employs 2.4 million people

Up and coming British artists are set to benefit from the latest round of government funding designed to boost British music exports, drive faster growth and deliver the Plan for Change.

The Music Export Growth Scheme (MEGS) will support 58 UK artists to tour the world thanks to a fund of £1.6 million issued by the Department for Business and Trade and the Department for Culture Media and Sport.

This funding will directly support small and medium sized music companies to deliver high-quality marketing and promotion campaigns for their artists to tour abroad and attract new fans, overseas touring opportunities and revenue.

These opportunities will open up global music markets and international audiences to home-grown talent in the UK, paving the way for the next big band or artist to usher in a new British Invasion.

The UK is already one of the largest music exporters – a key part of the UK’s soft power. However, in one of the most competitive industries on the planet, government is clear that staying ahead of the pack means backing the next generation of talent to help deliver economic growth.

Gareth Thomas, Minister for Exports and Small Businesses, said:

The UK has always led the way with its world-renowned musical acts, and this funding is vital to supporting smaller music companies to seize opportunities abroad.

Not only will this help shine a spotlight on the best of British talent globally, but it will drive exports abroad, amplifying growth at home in the UK.

The support forms a key pillar of the government’s Industrial Strategy which focuses on eight essential areas identified to generate growth. This includes the Creative Industries which was worth almost £125 billion to the UK economy in 2023 and employed 2.4 million people.

The Strategy, as part of the Plan for Change, is designed to boost the UK’s industries, put more money into people’s pockets and secure jobs for the future.

Over 99% of the Creative Industries sector are highly innovative SMEs and when smaller businesses export more, the whole economy benefits.

This year, successful applicants include companies representing artists like Fat Dog, who last weekend performed at the 2025 BRIT Awards, as well as others from across the UK like Manchester’s indie-rock band Blossoms, Hertfordshire’s electronic music act Maribou State, Newcastle’s singer-songwriter Andrew Cushin, and Bangor’s indie-rock band :Panic :Over.

In the past, MEGS has also supported the international careers of top British artists including Jungle, Kae Tempest and 2025 BRIT award winners Ezra Collective, and nominees, Dave and beabadoobee.

Since the government began providing support in 2014, around £7.9 million has been given out in grants, which includes this funding round, to support almost over 4560 musical acts from across the UK.

Culture Secretary Lisa Nandy said:

The Music Export Growth Scheme has helped so many of our talented homegrown artists launch their careers internationally.

As part of our Plan for Change, we are supporting our creative industries to reach their full potential including through this latest round of funding, which will help the next generation of artists to tour abroad, market themselves to new audiences and showcase the best of British culture and creativity to the world.

The music industry benefits from several other government funding schemes. In January, the Department for Culture, Media and Sport announced a £60 million fund for the Creative Industries, which included a further £2.5 million investment to support Grassroots Music which provide grants to rehearsal and recording studios, festivals and promoters, as well as live music venues.

Support for grassroots music provides an essential foundation on which future export success, as supported by schemes like MEGS, is built.

:Panic :Over said:

We’re thrilled to announce that we will be receiving funding from BPI MEGS board to help us progress our musical career! We are delighted to be able to use this amazing opportunity to play shows and gigs all across the Republic of Ireland over the rest of the year. This support means the world to us, and we can’t thank everyone involved enough for believing in our music and the journey ahead.

Dolores Forever said:

We are beyond thrilled to receive this funding from MEGS which will be a complete game changer for us. It will enable us to move forward with plans for album 2 and accept international live offers, reaching audiences which we haven’t had the resources to do so before. In the current music industry, support like this really is vital and we would like to say a huge thanks to the MEGS board.

The Bug Club said:

We’re really pleased to be a recipient of MEGS funding. In the current climate, it’s near impossible for artists to be able to broaden their horizons without additional financial support, so we would like to thank the MEGS board and everyone involved in making this happen. We’re looking forward to using the funding to embark on a headline European tour and proudly represent Wales overseas.

Punk Rock Factory said:

We are super excited to have been chosen for MEGS funding, this truly means so much to us. We are excited to be able to push our music growth outside of the UK and this funding will be a huge help to that. We would like to thank everyone on the MEGS board for their support and belief in us as a band.

Sophie Jones, BPI Chief Strategy Officer, said:

At a time where new acts face increasing global competition, the Music Export Growth Scheme (MEGS) is needed more than ever to enable the next generation of British talent to reach international audiences and grow their profile. It is a genuine game-changer for the artists supported through the scheme, a critical resource for the UK’s burgeoning independent sector, and a proven financial success with a significant return on investment and boost to exports.

The 58 incredible acts supported by this latest round of MEGS funding are testament to the diverse creative talent that exists across the whole of the UK. We welcome the Government’s continued support of this essential scheme and look forward to continuing our partnership in the years to come.