Millions of employees are set to experience an increase in the minimum wage starting in April this year. The minimum wage is the lowest amount an employer must pay per hour, as dictated by the law. The specific wage rate is determined based on the individual’s age and is applicable to both full-time and part-time workers.
For individuals aged 21 and above, the minimum wage will see a 4.1% climb from £12.21 per hour to £12.71 per hour beginning in April 2026. Those falling in the 18 to 20 age bracket will witness their wage rise from £10 per hour to £10.85 per hour.
If an individual is under 18 or is in an apprentice role, the minimum wage will elevate from £7.55 per hour to £8 per hour. Notably, many employers do compensate their employees above the minimum wage threshold.
The announcement of this wage increase was made in November 2025 by Chancellor Rachel Reeves, who emphasized the importance of addressing the cost of living challenges faced by working individuals. The objective is to ensure that those with lower incomes are duly recognized and rewarded for their efforts through an increment in the National Living Wage and National Minimum Wage rates.
The Real Living Wage, which is a voluntary pay scale based on the cost of living and exceeds the statutory minimum wage, is also on the rise to £13.45 per hour outside London and £14.80 per hour within London. Employers are expected to implement these updated rates by May 2026.
In cases where individuals suspect they are being underpaid, it is advisable to first review their payslip and engage with the employer to rectify any discrepancies. If unresolved, seeking guidance from the Advisory, Conciliation, and Arbitration Service (ACAS) is recommended for exploring further options.
As a final recourse, individuals can consider legal action against their employer, with support and advice available from ACAS or Citizens Advice to navigate the process effectively. Reporting non-compliance with minimum wage regulations to HMRC is another avenue, potentially leading to investigations and penalties for offending employers. Remember, you cannot pursue the same issue through multiple legal processes, as per ACAS guidelines.