The National Minimum Wage:2026

The minimum wage changed in April 2025, and it’s already expected to rise again next year.
Here’s what you should be paying right now:

• Aged 21 and over (National Living Wage): £12.21 per hour

• Aged 18 to 20: £10.00 per hour

• Aged under 18 or apprentices: £7.55 per hour

The Low Pay Commission has already hinted that from April 2026, the adult rate could reach around £12.70–£12.75 per hour, depending on inflation and average earnings.
The government hasn’t officially confirmed it yet, but it’s looking very likely - so factor that in now when planning pay rises and budgets for next year.

How we got here – a quick history

The National Minimum Wage kicked off back in 1999 at just £3.60 an hour for adults.
Before then, there was no national standard - some people were working full shifts for less than the price of a takeaway.

It’s crept up year by year since:

• £5.93 in 2010

• £7.20 in 2016 (when the “National Living Wage” came in)

• £9.50 in 2022

• £12.21 in 2025

So the adult minimum has more than tripled in cash terms over 25 years. Even after inflation, workers on the lowest pay are better off now than they were in the late 90s.
The government’s goal is to keep the living wage at roughly two-thirds of average UK earnings, so expect it to keep climbing each year.

Apprentices – what employers should know

Apprentices have their own minimum rate - currently £7.55 per hour if they’re under 19 or in the first year of their apprenticeship.
After the first year (and if they’re over 19), they must be paid the minimum wage for their age group.

There are also a few financial perks for taking on apprentices, including:

• £1,000 incentive for hiring an apprentice aged 16–18, or 19–25 if they have an Education, Health and Care (EHC) plan or are a care leaver.

• Employer National Insurance relief for apprentices under 25, which can save you the 13.8% employer NI contribution.

You can find the full details and eligibility rules here on GOV.UK:
👉 Apprenticeship funding and employer incentives

Veterans – another bit of help for employers

If you hire a veteran who’s just left the armed forces, you can also claim 12 months of zero employer National Insurance contributions on their wages (up to £50,270 per year).
More info here:
👉 National Insurance contributions relief for veterans

Why business owners need to stay sharp

HMRC doesn’t take kindly to underpayment - even small mistakes can trigger back pay, fines, and a name on their public list.
Make sure your payroll system is updated, especially if you employ part-time or casual staff who work varying hours.

The takeaway

The minimum wage has jumped again, and the next rise is already on the horizon.
Keep your payroll up to date, use the available reliefs if you hire apprentices or veterans, and make sure everyone’s paid fairly.

It’s good business, good karma, and one less thing to worry about when you’re talking shop.