[UK] National Living Wage rises to £12.21 on April 1

[UK] National Living Wage rises to £12.21 on April 1
29 Mar 2025

On April 1, the UK’s National Living Wage will increase to £12.21. The change will be accompanied by increases in other minimum wage rates for 18-20 year olds (£10.00), 16-17 year olds and apprentices (£7.55), GOV.UK reports.

These changes were implemented based on recommendations made by the Low Pay Commission in autumn 2024.

The Low Pay Commission published a short report on March 28 exploring the context around and the impact of the incoming rates. 

It reportedly details the real-terms benefits to workers from the increases, the number of workers paid the rates and their interactions with changes to National Insurance, which come into effect on April 1.

The LPC’s 2025 Uprating Report is available here.

Commenting on the pending increases, Baroness Philippa Stroud - Chair of the LPC - said, “These rates secure a real-terms pay increase for the lowest-paid workers. Young workers will also see substantial increases in their pay floor, making up some of the ground lost against the adult rate over time.

“We recognise these increases come at a time when employers are facing increasing pressure and it is vital we monitor and assess how businesses are responding. As we build our evidence base for future recommendations to the Government, we will be launching a call for evidence in the coming weeks and holding in-person meetings up and down the country. I encourage all interested parties to get in touch with us.“

From April 1, 2025, the minimum wage rates will be:

 

NMW rate from 1 April 2025

Annual increase (£)

Annual increase (per cent)

National Living Wage (21 and over)

£12.21

£0.77

6.7

18-20 Year Old Rate

£10.00

£1.40

16.3

16-17 Year Old Rate

£7.55

£1.15

18.0

Apprentice Rate

£7.55

£1.15

18.0

Accommodation Offset

£10.66

£0.67

6.7



Source: GOV.UK

(Link and quotes via original reporting)

On April 1, the UK’s National Living Wage will increase to £12.21. The change will be accompanied by increases in other minimum wage rates for 18-20 year olds (£10.00), 16-17 year olds and apprentices (£7.55), GOV.UK reports.

These changes were implemented based on recommendations made by the Low Pay Commission in autumn 2024.

The Low Pay Commission published a short report on March 28 exploring the context around and the impact of the incoming rates. 

It reportedly details the real-terms benefits to workers from the increases, the number of workers paid the rates and their interactions with changes to National Insurance, which come into effect on April 1.

The LPC’s 2025 Uprating Report is available here.

Commenting on the pending increases, Baroness Philippa Stroud - Chair of the LPC - said, “These rates secure a real-terms pay increase for the lowest-paid workers. Young workers will also see substantial increases in their pay floor, making up some of the ground lost against the adult rate over time.

“We recognise these increases come at a time when employers are facing increasing pressure and it is vital we monitor and assess how businesses are responding. As we build our evidence base for future recommendations to the Government, we will be launching a call for evidence in the coming weeks and holding in-person meetings up and down the country. I encourage all interested parties to get in touch with us.“

From April 1, 2025, the minimum wage rates will be:

 

NMW rate from 1 April 2025

Annual increase (£)

Annual increase (per cent)

National Living Wage (21 and over)

£12.21

£0.77

6.7

18-20 Year Old Rate

£10.00

£1.40

16.3

16-17 Year Old Rate

£7.55

£1.15

18.0

Apprentice Rate

£7.55

£1.15

18.0

Accommodation Offset

£10.66

£0.67

6.7



Source: GOV.UK

(Link and quotes via original reporting)

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