The Government has announced a series of changes to the national minimum wage, increasing the rates for all workers and giving 21-year-old workers entitlement to the full National Living Wage for the first time. These changes will take effect on 1 April 2024.

Currently, only those aged 23 and older are entitled to the full National Living Wage of £10.42 per hour, with workers in other age groups entitled to a National Minimum Wage at different rates – £10.18 for 21–22 year olds, £7.49 for 18-20 year olds, and £5.28 for 16-17 year olds. From 1 April 2024 the National Minimum Wage band for 21–22 year olds will be abolished, with all employees aged 21 and over entitled to an increased National Living Wage of £11.44.

Firms employing young people, including potentially internship schemes, should review their remuneration policies to ensure that they comply. This is particularly important for those employing 21-year-olds, who for the first time will be eligible for the full National Living Wage.

 National Minimum Wage rate per hour from 1 April 2024Increase in pencePercentage increase
National Living Wage (21 and over)£11.44£1.02 (vs previous rate for 23-year-olds) £1.26 (vs previous rate for 21–22-year-olds)9.8% (vs previous rate for 23-year-olds) 12.38% (vs previous rate for 21-22-year-olds)
18-20 Year Old Rate£8.60£1.1114.8%
16-17 Year Old Rate£6.40£1.1221.2%
Apprentice Rate£6.40£1.1221.2%

For more information on the changes to the National Minimum and Living wage, please click here.

Thank you to Tor Walberg for his help in drafting this blog post.