A Salford cafe owner fears the Budget increase in the minimum wage for young workers will make it harder for them to find a job.
Adam Leyland-Hollingworth, owner of Brew & Bee, Walkden Road, Walkden, says many struggling businesses could be put off employing workers aged 18-21 whose minimum hourly rate will increase by 8.5 per cent from next April.
He already pays his younger workers more than the minimum wage but with Salford being home to approximately 940 small businesses he thinks many will find it hard to pay the increase.
He said: “My main concern would be affordability especially if businesses are struggling … you’re already paying utilities, food costs and rent.
“I also think it will be difficult to hire people in the 18–21 age bracket due to that high wage.”
He personally believes it is worth paying above the minimum to attract the best young staff.
He said: “It’s a tough world enough as it is out there… we value our team. We want to retain them.”
Chancellor Rachel Reeves in her speech said: “At the election, we promised a genuine living wage and we delivered it. At the Budget, I increased the national minimum wage and the national living wage.”
From 1 April 2026, the national minimum wage for 18 to 20-year-olds will also increase by 8.5 per cent to £10.85 per hour and for 16 to 17-year-olds will be £8 per hour.
The national living wage will increase by 4.1% to £12.71 per hour
Minimum wage workers make up a large proportion of a small businesses workforce.
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