Millions of workers across the United Kingdom are set for a significant wage increase from April 2026, as the government confirms a rise in the statutory minimum hourly rates.
New Hourly Rates Announced
The uplift, announced by Chancellor Rachel Reeves in November 2025, will see the main rate for those aged 21 and over increase by 4.1%. This means the so-called National Living Wage will rise from £12.21 to £12.71 per hour.
Younger workers will also benefit from the changes. For those aged 18 to 20, the National Minimum Wage will increase from £10 to £10.85 an hour. The rate for workers under 18 and apprentices will go up from £7.55 to £8 per hour.
Chancellor's Pledge to Low-Income Workers
Outlining the rationale for the increase, Chancellor Rachel Reeves stated that addressing the cost of living remained a top priority. "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," she said.
"Too many people are still struggling to make ends meet. And that has to change. That’s why today 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."
Understanding Your Pay and Rights
It is important to note that the statutory minimum wage rates do not apply to self-employed individuals, volunteers, or company directors. However, all employers must implement the new legal rates by May 2026.
Some employers choose to pay the higher, voluntary Real Living Wage, which is calculated based on the actual cost of living. This rate is set to rise to £13.45 an hour across the UK and £14.80 an hour in London.
What to Do If You Suspect Underpayment
If you believe you may be being paid less than the legal minimum, you should take the following steps:
- Check your payslip carefully against the new rates coming into force.
- Speak to your employer first to give them an opportunity to correct any error.
- If the issue is not resolved, contact ACAS (the Advisory, Conciliation and Arbitration Service) for free and confidential advice on your options.
As a last resort, you can take your employer to an employment tribunal or report them to HMRC. HMRC has the power to investigate and fine employers who fail to pay the minimum wage, and can even take them to court on a worker's behalf.
ACAS guidelines stress that you cannot pursue the same complaint through two separate legal processes, so it is crucial to seek advice from ACAS or Citizens Advice first to understand the best course of action.
