The announcement was made by Sajid Javid, Secretary of State for Business, Innovation and Skills, in a written statement to parliament this morning, the first day on National Apprenticeship Week 2016.
He explained that the Low Pay Commission’s 2016 report made the recommendation for the apprenticeship increase.
The government plans to fulfull along with all other recommendations on the National Minimum Wage, which include that the adult hourly national minium wage rate for 21 to 24-year-olds should increase from £6.70 to £6.95.
Other commission recommendations set to be implemented by the government include increasing the youth development rate, which covers aged 18 to 20-year-olds, should go up from £5.30 to £5.55, while the rate for 16 to 17-year-olds should rise from £3.87 to £4.00.
It also recommends that the apprentice rate should increase from £3.30 to £3.40. The Commission recommend that all of these changes take place from 1 October 2016.