When Does Minimum Wage Go Up 2026? Hourly, Weekly and Annual Pay Explained

When Does Minimum Wage Go Up 2026? A Guide to Hourly, Weekly and Annual Pay

If you’re asking “when does minimum wage go up 2026”, the answer is clear: the new rates come into force on 1 April 2026. The government has accepted the Low Pay Commission’s recommendations, meaning the National Living Wage (for workers aged 21 and over) rises to £12.71 per hour, an increase of 4.1%. For younger workers and apprentices, the rises are even larger in percentage terms.

Understanding how these hourly rates translate into weekly and annual pay is essential for budgeting, comparing job offers, and knowing your rights. This article breaks down the statutory minimums, what they mean for your take-home pay, and how they stack up against average earnings.

The New Hourly Rates from April 2026

From 1 April 2026, the following statutory minimum rates apply:

• National Living Wage (21 and over): £12.71 per hour
• National Minimum Wage (18–20): £10.85 per hour
• National Minimum Wage (under 18): £8.00 per hour
• Apprentice rate: £8.00 per hour (for apprentices under 19 or in their first year)

These rates are the legal minimum. Employers cannot pay less, but many roles – especially in sectors like retail, hospitality, and logistics – advertise salaries above these floors. Always check the advertised salary alongside the statutory rate.

From Hourly to Weekly and Annual Pay

To see the real impact, it helps to convert hourly rates into weekly and annual figures. For a standard full-time week of 35 hours:

• NLW (21+): £12.71 × 35 = £444.85 per week → approximately £23,132 per year
• 18–20 rate: £10.85 × 35 = £379.75 per week → approximately £19,747 per year
• Under 18 / apprentice: £8.00 × 35 = £280 per week → approximately £14,560 per year

These are gross figures before deductions. Your take-home pay will be lower after tax, National Insurance, and any pension contributions. The Low Pay Commission notes that because tax thresholds are frozen, workers who pay tax will see a smaller net increase than the headline 4.1%. However, workers receiving Universal Credit may benefit from a larger overall increase due to the above-inflation rise in the standard allowance.

How the Minimum Wage Compares to Average Earnings

The ONS reports that average weekly earnings for all employees (total pay) stand at £745 per week. That’s significantly higher than the minimum wage weekly figures above. The NLW at £12.71 is about 60% of the average hourly rate for all employees. This gap reflects the fact that many jobs – especially in professional, technical, and managerial roles – pay well above the minimum.

But for low-paid workers, the April 2026 increase is a meaningful boost. The Low Pay Commission expects the NLW to stay ahead of the cost of living up to March 2027, providing a real-terms increase. The 18–20 rate rises by 8.5%, bringing it to 85% of the NLW, which the government sees as a step towards eventually eliminating the age-based differential.

What This Means for Job Seekers and Workers

When you’re looking for work or negotiating a pay rise, it’s important to distinguish between:

• Statutory minimum rates – the legal floor set by government.
• Advertised salaries – what employers actually offer, which can be higher.
• Take-home pay – what you receive after deductions.

For example, a job advert might say “£12.71 per hour” – that’s the minimum. But many employers in sectors like construction, care, or logistics pay more to attract staff. Always check the full package, including overtime rates, shift premiums, and benefits.

Our pay guides offer detailed breakdowns for different industries and regions. You can also explore pay data to see typical salaries for your role and location.

Key Points to Remember

• The new rates apply from 1 April 2026. Your employer must pay at least the rate for your age and role.
• Apprentices: if you’re 19 or over and have completed your first year, you’re entitled to the NLW (£12.71), not the apprentice rate.
• The accommodation offset (if your employer provides housing) rises to £11.10 per day.
• If you think you’re being underpaid, contact Acas for advice.

Frequently Asked Questions

When does the minimum wage go up in 2026? The new minimum wage rates take effect on 1 April 2026. This applies to the National Living Wage (21 and over), the National Minimum Wage for 18-20 year olds, under-18s, and apprentices. The rates are set by the government following recommendations from the Low Pay Commission.

Who qualifies for the National Living Wage of £12.71? The National Living Wage of £12.71 per hour applies to workers aged 21 and over. Workers aged 18 to 20 are entitled to the National Minimum Wage of £10.85, while those under 18 get £8.00. Apprentices under 19 or in their first year also receive £8.00; after the first year, they qualify for the rate for their age.

How does the new minimum wage compare to average weekly earnings? The new National Living Wage of £12.71 per hour gives a full-time worker (35 hours) around £444.85 per week before deductions. The ONS reports average weekly earnings for all employees at £745 per week, so the minimum wage is roughly 60% of the average. However, many jobs pay above the minimum, especially in skilled roles or sectors with higher demand.

Final Thoughts

Knowing “when does minimum wage go up 2026” is just the start. Understanding how the hourly rate translates into weekly and annual pay – and how it compares to advertised salaries and average earnings – helps you make informed decisions about work and pay. Use our topics section to explore more about pay rights, sector-specific rates, and what to do if you’re underpaid.

Remember: the figures in this article are based on the 2026-27 rates. Always check your contract and the latest statutory rates from GOV.UK guidance. If you have questions about your specific situation, speak to your employer or seek advice from Acas.