The 2.5% increase in National Minimum Wage announced last week will add to the pressure on retailers trying to grow their businesses and create jobs, the British Retail Consortium (BRC) has warned.
The rise takes the adult minimum wage up from £5.93 per hour to £6.08 and comes into effect from October.

While the BRC supports the principle of the minimum wage, it says it must reflect economic realities, and that employers need more than the current six months' notice of any changes.

BRC director general Stephen Robertson called the announcement "out of step with reality", and said: "At a time when the priority should be getting more people into work, any increase in staff costs is an extra hurdle. This rise in the National Minimum Wage is at the very top end of what retailers could be expected to live with.

"Employers have just been hit by an increase in National Insurance. Business rates have soared and retailers are still absorbing much of the increase in VAT. This increase in the minimum wage is yet another challenge to retailers when trading is already difficult on the high street."