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The Tories are set to fail on their pledge of a £9-an-hour minimum wage for the over-25s, the small print of the Budget has revealed.

Ex-Chancellor George Osborne announced the so-called "national living wage" would reach that level by 2020 in a triumphant Budget speech in 2015.

But in a crafty loophole, the wage rises were actually linked to average earnings - and these are lower than expected.

Yesterday the government's independent Budget watchdog confirmed it projects the rate to be just £8.75 an hour, not £9 an hour, by 2020.

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In its notes on the Tories' statement, the Office for Budget Responsibility said: "The level of the National Living Wage consistent with our forecast has been revised down slightly since November – from £8.80 to £8.75 an hour in 2020, reflecting revisions to our earnings growth forecast."

(Image: PA)

The national living wage - lower than the recommended living wage - applies to all workers over 25.

Younger workers earn the national minimum wage instead.

Chancellor Philip Hammond confirmed in his speech yesterday the national living wage will rise from £7.25 to £7.50 an hour next month.

But while he said the Tories would meet their manifesto commitment to raise income tax thresholds, he did not comment on their pledge on the £9 wage.

That commitment was made by George Osborne two years ago.

He told MPs at the time: "Let me be clear: Britain deserves a pay rise and Britain is getting a pay rise.

"I am today introducing a new National Living Wage. We’ve set it to reach £9 an hour by 2020."

The income tax personal allowance will however rise to £11,500 and the 40p tax threshold to £45,000, helping the richest 10%, the new Chancellor said yesterday.

Philip Hammond added: "We will meet our manifesto commitment to increasing the thresholds to £12,500 and £50,000 respectively by the end of this Parliament."