UK National Living Wage Rises to £12.71 an Hour

LONDON, United Kingdom — The official minimum rates of pay for British workers rose on 1 April, lifting earnings for roughly 2.7 million employees under rules enforced by HM Revenue and Customs, according to the BBC. The increases apply across the United Kingdom and set out two separate legal minimums depending on a worker's age.

What is the National Living Wage now worth to full-time workers?

Workers aged 21 and over are covered by the National Living Wage, which rose to £12.71 an hour from 1 April 2026, an increase of 50p on the 2025 rate, the BBC reported. For someone working a 37.5-hour week, that amounts to £24,784.50 a year, up £900 from the previous year.

How much has the National Minimum Wage for under-21s increased?

Workers aged 18 to 20 fall under the National Minimum Wage rather than the Living Wage. That rate climbed to £10.85 an hour, an 85p increase, which the BBC said adds up to roughly £1,500 a year for a full-time worker in that age band. The rate for 16- and 17-year-olds rose to £8 an hour. The government has said its goal is eventually to scrap the separate 18-to-20 rate and apply a single adult rate, according to the BBC.

What do apprentices earn under the new rates?

Apprentices aged 16 to 18, and those aged 19 or in the first year of an apprenticeship, are entitled to the £8 National Minimum Wage rate for 16- and 17-year-olds. Apprentices over 19 who have completed their first year move onto the standard National Minimum Wage or National Living Wage rate that applies to their age group, the BBC reported.

Who is excluded from the minimum wage rules?

Several categories of workers do not qualify for either rate, including the self-employed, company directors, volunteers, members of the armed forces and prisoners, according to the BBC. People with disabilities or in long-term unemployment who take part in government work programmes are paid fixed amounts that are lower than the equivalent National Minimum or Living Wage rate.

What happens to employers who underpay staff?

Paying below the legal minimum is a criminal offence, and HMRC can fine employers that fail to comply. The BBC reported that in March 2026 the government said 389 employers had been fined around £12.6m for underpayment, and were ordered to repay a combined £7.3m to about 60,000 affected workers. Firms named included Busy Bees, Norwich City Football Club, Hays Travel and Costa Coffee.

How does the Real Living Wage compare?

Separate from the statutory rates, the Real Living Wage is an unofficial hourly figure calculated by the Living Wage Foundation charity to reflect the cost of living, the BBC reported. Unlike the government-set rates, it is voluntary for employers and is updated every October.

Rates at a glance

• National Living Wage (21 and over): £12.71/hour, up 50p
• National Minimum Wage (18–20): £10.85/hour, up 85p
• National Minimum Wage (16–17): £8/hour
• Enforcement in March 2026: £12.6m in fines across 389 employers; £7.3m owed to about 60,000 workers