National Living Wage and National Minimum Wage to rise significantly in April 2020

National Living Wage and National Minimum Wage to rise significantly in April 2020

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As of 1 April 2020, the National Living Wage for workers aged 25 and over will increase by 6.2% to £8.72 in what the government is calling its “biggest cash increase ever”.

The changes in the minimum wage rates were recommended by the Low Pay Commission and come as part of the government’s 2017 manifesto plan for the national living wage to reach 60% of median earnings by 2020. The government has said that it will set out more details on this future policy framework later this year, but the national living wage is currently forecast to continue to increase up to £10.50 by 2024. 

Almost 3 million UK workers are expected to receive increases to their pay as a result of these increases, which are far above the rate of inflation.

From April 2020, the new rates will be:

  • The National Living Wage for ages 25+ - £8.72 (up 6.2%)
  •  The National Minimum Wage for:
    • 21 to 24-year-olds - £8.20 (up 6.5%)
    • 18 to 20-year-olds - £6.45 (up 4.9%)
    • Under-18s - £4.55 (up 6.4%)
    • For apprentices - £4.15 (up 6.4%)

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