Insights

New National Minimum Wage Rates from April 2021

The Government has accepted the recommendations of the Low Pay Commission as regards the National Living Wage (NLW) and the National Minimum Wage (NMW) rates that will apply with effect from 1 April 2021:

  • The NLW will increase from £8.72 to £8.91 per hour, and will apply to those aged 23 or over, rather than those aged 25 or over as at present;
  • The NMW for 21- and 22-year-olds will increase from £8.20 to £8.36 per hour;
  • The NMW for 18- to 20-year-olds will increase from £6.45 to £6.56 per hour;
  • The NMW for 16- and 17-year-olds will increase from £4.55 to £4.62 per hour; and
  • The apprentice rate of the NMW, which applies to apprentices aged under 19 or those aged 19 or over and in the first year of their apprenticeship, will increase from £4.15 to £4.30 per hour.

The accommodation offset will increase from £8.20 to £8.36 per day for each day during the pay period that accommodation is provided.

Although correct at the time of publication, the contents of this article are intended for general information purposes only and shall not be deemed to be, or constitute legal advice. We cannot accept responsibility for any loss as a result of acts or omissions taken in respect of this article. Please contact us for the latest legal position.