Chancellor of the Exchequer, Rachel Reeves, announced in her Autumn Budget that the National Living Wage from April 1st 2025 will increase to £12.71 per hour. The new rate will see a 4.1% increase on the living wage, rising 50p per hour from £12.21 per hour.
The Government has advised that this is to ensure the rate does not drop below two-thirds of median earnings for workers in the National Living Wage population.
Chancellor Rachel Reeves said:
“I know that the cost of living is still the number one issue for working people and that the economy isn’t working well enough for those on the lowest incomes.
Too many people are still struggling to make ends meet and that has to change. That’s why I’m announcing that we will raise the national living wage and also the national minimum wage, so that those on low incomes are properly rewarded for their hard work.”
The new National Minimum Wages rates from April 1st 2026:
| Rate from April 2026 | Increase (£) | Increase (%) | |
|---|---|---|---|
| 21+ Years | £12.71 | £0.50 | 4.1% |
| 18-20 Years | £10.85 | £0.85 | 8.5% |
| 16-17 Years | £8.00 | £0.45 | 6.0% |
| Apprentice | £8.00 | £0.45 | 6.0% |
Current National Minimum Wage rates (From 1st April 2025 – March 31st 2026)
| 21 and over | 18 to 20 | Under 18 | Apprentice | ||
|---|---|---|---|---|---|
| £12.21 | £10.00 | £7.55 | £7.55 |

