The league and NHL Players' Association announced Friday that teams will be able to spend up to US$50.3 million on players next season.
This year's cap was set at $44 million.
The minimum teams will be forced to spend in 2007-08 is $34.3 million.
When the league and union returned from the lockout for the 2005-06 season, the first NHL salary cap was $39 million. Less than two years later, it has already grown by almost 29 per cent.