Is minimum wage going up in 2026? New rates and what they mean for your pay

Is minimum wage going up in 2026?

Yes, the UK minimum wage is going up in 2026. The Government has accepted the Low Pay Commission’s recommendations, and new rates will apply from 1 April 2026. This article explains the new hourly rates, what they mean for your weekly and annual pay, and how your take-home income might change.

New hourly rates from April 2026

The main changes are:

• National Living Wage (21 and over): £12.71 per hour (up 50p, a 4.1% increase)
• 18–20 year old rate: £10.85 per hour (up 85p, an 8.5% increase)
• Under 18 rate: £8.00 per hour (up 45p, a 6% increase)
• Apprentice rate: £8.00 per hour (up 45p, a 6% increase)

These rates come from official GOV.UK guidance and the Low Pay Commission’s report. The National Living Wage now applies to everyone aged 21 and over, not 23 as in previous years.

Hourly vs weekly vs annual pay

It’s helpful to convert the hourly rate into weekly and annual figures to see the real impact. For a full-time worker (35 hours per week):

• 21+ at £12.71: Weekly = £444.85, Annual = £23,132
• 18–20 at £10.85: Weekly = £379.75, Annual = £19,747
• Under 18 or apprentice at £8.00: Weekly = £280, Annual = £14,560

Remember, these are statutory minimums. Many employers pay above the minimum, especially in sectors like retail, hospitality, and care. The average weekly earnings for all employees in the UK are around £745 (from our pay data reference), which is well above the new minimum wage levels.

Take-home pay: more than just the hourly rate

Your actual take-home pay depends on tax, National Insurance, and any benefits you receive. The Low Pay Commission’s analysis shows that:

• A single person working full-time at the NLW will see their weekly take-home pay rise by about 3.3% (around £11.90) after tax and NI.
• Workers receiving Universal Credit will benefit from a 6.2% increase in the standard allowance, meaning their total income rises by more than the 4.1% hourly increase.
• However, because tax thresholds are frozen, workers who pay tax but don’t get UC may see a slightly smaller net increase.

This is a good time to check your tax code and benefit entitlement. Our pay guides offer more detail on how to calculate your net pay.

Why is the minimum wage going up?

The Low Pay Commission recommends rates based on economic conditions, labour market data, and the Government’s target of reaching two-thirds of median earnings. For 2026, the NLW increase of 4.1% is designed to keep the wage ahead of inflation, providing a real-terms rise. The Commission projects that two-thirds of median hourly earnings for workers aged 21+ will be around £13.18 by October 2027, which suggests further increases may be needed in future years.

Who is affected?

Around 1.7 million jobs are expected to be paid at or just above the NLW from April 2026, about 5.9% of all jobs. The increase particularly helps younger workers: the 18–20 rate rises by 8.5%, narrowing the gap with the adult rate. Apprentices and under-18s also see a 6% rise, ensuring their pay doesn’t fall too far behind.

What should you do now?

If you’re currently earning at or near the minimum wage, check that your employer plans to implement the new rates from 1 April 2026. If you’re an apprentice, confirm which rate applies based on your age and year of apprenticeship. Use the official GOV.UK minimum wage calculator to check if you’re being paid correctly.

For more information on pay scales and salary comparisons, visit our topics page or read our about section for methodology and sources.

Summary

The minimum wage is going up in 2026, with the largest percentage increase for 18–20 year olds. While the hourly rates are clear, your actual weekly and annual income will depend on your hours, tax situation, and any benefits. Use the new rates as a baseline, but remember that many jobs pay more than the minimum. Stay informed and check your payslip after April to make sure you’re getting the right amount.