Reeves’ 4.1% Minimum Wage Hike Puts UK Inflation Goals at Risk

Britain will increase the minimum wage for workers aged 21 and over by 4.1%, in a bid to help low-earners that experts have warned would harm small businesses and stoke inflation.

Chancellor of the Exchequer Rachel Reeves announced plans to raise the minimum salary for younger workers to £12.71 ($17) an hour on the day before her much anticipated budget. Reeves said the move, which would take effect in April, would support people “struggling to make ends meet.”

The measure was among several anticipated in the budget in an effort to address cost-of-living concerns. The chancellor ...