Did you know about the National Minimum Wage changes in 2026? Wage rates will rise from 1 April 2026, with the biggest increases going to younger workers and apprentices. While the uplift will be welcome news for employees, the added cost may put pressure on employers, particularly in the hospitality sector.
How will National Minimum Wage Change in 2026?
Following high increases in April 2024 and April 2025, the minimum wage rate for employees aged 21 and over has increased 22% since 2024. Current and future rates from 1 April 2026 are:
| Age | Current rate | From 1 April 2026 | Percentage increase |
| National Living Wage (NLW) 21 and over
|
£12.21 | £12.71 | 4.1% |
| National Minimum Wage (NMW) 18 to 20
|
£10.00 | £10.85 | 8.5% |
| NMW Apprentices and those under 18
|
£7.55 | £8.00 | 6.0% |
Apprentices over 19 who have completed the first year of their apprenticeship are entitled to the rate for their age. The new rates will have a significant effect on take-home pay. From April 2026, a full-time worker aged 21 and over will see their annual gross pay increase by around £1,000. The annual increase is more than £1,600 for someone aged 18 to 20. When making their recommendations, the Low Pay Commission took into account stronger-than-expected wage growth, which was 4.6% annually up to September 2025.
Mitigating the effects of the NMW and NLW increase?
Planning is key to managing the minimum wage rate increases. For example:
- Review staffing and working patterns, while introducing more flexible working arrangements.
- Consider automating tasks. Where this is not possible, then investment in staff training will hopefully improve productivity and efficiency. With training, staff should be able to cover a wider range of roles, making the workforce more adaptable during busy periods.
- Even small changes, such as updating the way in which stock is controlled, can soon add up to a meaningful time saving.
If price increases are become necessary, these should be clearly communicated as early as possible to customers. The rates of National Minimum/Living Wage can be found here.
Find help and advice on navigating changes to national and living wage with SMH
For more information, contact us on 0114 266 4432 or email info@smh.group.
National Wage FAQs
What is National Minimum Wage?
The National Minimum Wage is the legal minimum wage that can be applied to workers at or above school-leaving age in the UK. These rates are set according to the varying age of your workers.
As of April 2026, NMW rates will be set at
- Under 18 years: £8 per hour
- Between 18-20: £10.85 per hour
- 21 and over: £12.71 per hour
Is National Minimum Wage the same as National Living Wage?
No, there are small differences between the National Minimum Wage salaries and National Living Wage salaries.
The National Minimum Wage sets a legally mandated salary rate for all workers aged 16-20 (including apprentices), whereas the living wage represents a slightly higher salary rate that is mandatory for all workers aged 21 and over.
What is Real Living Wage in 2026?
Whilst National Minimum Wage and Living Wage rates are established by government mandates, the Real Living Wage is a voluntary salary rare used by over 16,000 UK businesses which is designed to set rates of pay according to the real cost of living.
Comments are closed.