BRITISH bosses are pleading poverty in response to plans to increase the minimum wage and introduce a levy to fund apprenticeships.

Bosses’ club the Confederation of British Industry (CBI) claimed yesterday that many firms would struggle to meet the £7.50 an hour wage.

“Many companies were worried about the increased inflationary pressures facing their businesses in the coming months,” it said in a submission ahead of next month’s Budget.

The government is to increase its so-called “living wage” from £7.20 an hour to £7.50 an hour in April, the same month the apprenticeship levy comes into force.

The figure is still well short of the targets set by the Living Wage Foundation, which are £8.45 an hour outside London and £9.75 in the capital.

CBI chief economist Rain Newton-Smith bleated: “In a more challenging economic environment, the government must be careful not to put further pressure on firms.”

TUC general secretary Frances O’Grady said: “The combination of large profits in the service sector and high employment shows that employers can afford a pay rise for minimum wage workers.

“This is a golden opportunity to raise living standards for nearly two million low-paid workers, at a time when rising prices means that living standards are under threat.

“Next month’s Budget should include pay rises for our nurses and teachers too, with an end to the public-sector pay cap, and new investment in infrastructure like roads, rail and homes, which would boost jobs and wages and encourage businesses to invest more too.”

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