JEREMY Hunt is expected to confirm an increase in the national living wage starting in April.
The chancellor is said to have drawn up plans for a ten per cent increase which will raise the threshold from £9.50 to £10.40 per hour.
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The move means a payday for more than 2.5 million Britons.
The national living wage is the minimum amount that all employers must pay to employees aged 23 and over.
Those under the age of 23 can instead be paid the national minimum wage, which is £9.18 for those aged 21 – 22 and £6.83 for those aged 18 – 20.
During the budgetthe chancellor will also increase the national living wage to £10.40, as well as walking pensions and benefits from inflation.
Read more about Jeremy Hunt’s budget at the Live blog Autumn statement
But he will compensate for the alms with drastic cuts and to recover from tax increases a £60 billion black hole in the country’s finances.
The national living wage differs from the real living wage, which is £11.95 in London and £10.90 for the rest of the UK.
The real living wage is determined by the Living Wage Foundation charity and is not required for bosses to follow.
However, 11,000 UK companies voluntarily pay it to their employees.
Mr Hunt will provide more details on the living wage increase at 11:30 am when he delivers his autumn statement.
The budget will detail how the Treasury will fill an estimated £60bn black hole in the state coffers.
The gaping hole has been created by the pandemic, Mad Vlad Putin’s war in Ukraine, rising energy costs and Liz Truss’ disastrous mini budget.
Mr Hunt will soon say: “As countries around the world grapple with inflation, our plan reflects British values: we are both honest about the challenges and honest about our solutions.
“We are making tough decisions to ensure strong government finances and keep mortgage rates low, but our plan also protects our long-term economic growth.
“At the same time, we protect the vulnerable, because to be British is to be compassionate.”
The Chancellor will add: “There is a global energy crisis, a global inflation crisis and a global economic crisis.
“But the British people are tough, inventive and resourceful. We have faced bigger challenges before.
“We are not immune to these global headwinds, but with this plan for stability, growth and public services, we will face the storm.”
In addition to raising the minimum wage, the chancellor will give councils more powers to raise local taxes pay for social care.
At the moment, local government leaders are only allowed to increase it by 2.99 percent plus a one percent elder care levy without a local referendum.
But the threshold for such a vote is raised to 5 percent.
Meanwhile, Mr Hunt will be calling on the universal £10bn a month energy bills support – with only the least fortunate in line for substantial support.
Bills for the average home will be £500 higher than £3,000 now.