New minimum wage rates effective from 1 April 2026

The UK’s minimum wage increased across all rates on 1 April 2026. The reform followed recommendations from the Low Pay Commission (LPC), issued in October 2025, and reflects the government’s ongoing approach of maintaining the National Living Wage (NLW) by reference to two‑thirds of median hourly earnings.

From April 2026, all minimum wage brackets increased. The NLW for workers aged 21 and over rose to £12.71 per hour, up from £12.21, which is an increase of 4.1%. Younger workers saw even larger percentage rises. Those aged 18 to 20 now earn £10.85 per hour, an 8.5% uplift, while 16 to 17‑year‑olds and apprentices receive £8.00 per hour, representing a 6% increase. The apprentice rate applies to apprentices aged under 19, or aged 19 or over and in the first year of their apprenticeship.

These changes aim to narrow age‑based pay gaps and ensure that wage growth takes account of living costs.

The reform also included an increase to the accommodation offset, rising to £11.10 per day, affecting employers who provide accommodation as part of employment arrangements.

For employers, the April 2026 changes form part of a broader landscape of employment law updates following the Employment Rights Act 2025, which received Royal Assent in December 2025 and is being implemented in stages. These adjustments collectively influence payroll planning, staffing costs, and compliance obligations across sectors.

For workers, the new rates mean a tangible boost to gross pay. A full‑time worker aged 21 or over working 37.5 hours per week now earns approximately £476.63 per week before deductions.

As the government continues to use two-thirds of median hourly earnings as a key reference point for the NLW, further changes are expected in 2027, with consultation already underway.

If you require guidance on minimum wage compliance, or support reviewing employment contracts, policies or working arrangements, our Employment team would be pleased to assist.