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The UK’s Finance Minister Sajid Javid recently crossed wires, via The Sun, while announcing that the minimum wage will rise by a record 51p so  struggling Brits  begin the new year with an imminent pay rise. The Chancellor reveals that the National Living Wage  will increase from £8.21 to £8.72 an hour in April.

Key quotes

“The 6.2% hike is double the rate of average annual wage growth and also twice the current rate of inflation, as well as the legal minimum’s biggest cash rise ever since it came into force in 1997.”

“It will deliver an extra £930 a year into the pockets of  almost three million who earn it.”

“The move is the start of an array of actions by the newly elected Tory government that will make 2020 ‘the year of leveling up’.”

“Getting Brexit done  doesn’t just mean passing legislation, to me, it means helping people so that they know the country works for them.”

FX implications

While the market is still in its nascent stage amid the initial Asian trading, as well as year-end holiday mood, news like this adds to the on-going rise by the British pound. By the time of writing, the GBP/USD pair trades near to 1.3120.