The UK National Living Wage rose to £12.71 per hour from 1 April 2026 — a 4.1% increase from the previous rate of £12.21. This affects millions of workers across the UK, from retail and hospitality to care and logistics.
Whether you are an employee wanting to know if you are being paid correctly, an employer making sure your payroll is compliant, or a job seeker comparing offers — this guide gives you all the figures, all the age group rates, and exactly what the changes mean for take-home pay.
Use our free Salary Tax Calculator to calculate your exact take-home pay at the new minimum wage rates.
UK National Living Wage and Minimum Wage Rates — April 2026
From 1 April 2026, the following rates apply:
| Age Group | Rate from April 2026 | Previous Rate | Increase |
|---|---|---|---|
| 21 and over (National Living Wage) | £12.71/hour | £12.21/hour | +£0.50 (4.1%) |
| 18–20 (National Minimum Wage) | £10.85/hour | £10.00/hour | +£0.85 (8.5%) |
| 16–17 (National Minimum Wage) | £8.00/hour | £7.55/hour | +£0.45 (6.0%) |
| Apprentice rate | £8.00/hour | £7.55/hour | +£0.45 (6.0%) |
💡 Note: The apprentice rate applies to apprentices aged under 19, or those aged 19 and over who are in their first year of their apprenticeship. After the first year, apprentices aged 19 and over are entitled to the National Minimum Wage for their age group.
What Is the Difference Between the National Living Wage and the National Minimum Wage?
These two terms are often confused — here is the clear distinction:
National Living Wage (NLW)
The legal minimum wage for workers aged 21 and over. From April 2026 this is £12.71 per hour. This is a statutory, legally enforceable minimum — employers cannot legally pay less.
National Minimum Wage (NMW)
The legal minimum for workers aged under 21 and apprentices. Different rates apply depending on age, as shown in the table above.
Real Living Wage
A completely separate, voluntary rate set by the Living Wage Foundation — calculated based on the actual cost of living. From May 2026 the Real Living Wage is £13.45 per hour (or £14.80 per hour in London). Over 16,000 UK employers voluntarily pay this higher rate.
How Much Will You Earn Annually at the New Minimum Wage?
Based on a standard full-time working week of 37.5 hours:
| Rate | Hourly | Weekly (37.5 hrs) | Monthly | Annual |
|---|---|---|---|---|
| National Living Wage (21+) | £12.71 | £476.63 | £2,066 | £24,785 |
| NMW 18–20 | £10.85 | £406.88 | £1,763 | £21,156 |
| NMW 16–17 | £8.00 | £300.00 | £1,300 | £15,600 |
🧮 These are gross (before tax) figures. To see your take-home pay after income tax and National Insurance, use our free Salary Tax Calculator.
What Is the Take-Home Pay for a Full-Time Worker on the National Living Wage?
At £12.71 per hour (37.5 hours/week), a full-time worker on the National Living Wage earns approximately £24,785 per year before tax. After income tax and National Insurance in 2026/27:
| Gross annual salary | £24,785 |
| Income Tax (20% above £12,570) | −£2,443 |
| National Insurance (8%) | −£977 |
| Take-home pay (annual) | £21,365 |
| Take-home pay (monthly) | £1,780 |
💡 This is an estimate based on standard 2026/27 tax rates for England. Figures vary based on pension contributions, student loan repayments, and Scotland's different income tax rates. Use our Salary Tax Calculator for your exact figure.
The Real Living Wage vs the National Living Wage
| National Living Wage | Real Living Wage | London Living Wage | |
|---|---|---|---|
| Set by | UK Government | Living Wage Foundation | Living Wage Foundation |
| Rate (2026) | £12.71/hour | £13.45/hour | £14.80/hour |
| Legal requirement? | ✅ Yes — all employers must pay | ❌ No — voluntary | ❌ No — voluntary |
| Based on | Government/LPC recommendation | Actual cost of living | London cost of living |
| Applies from | 1 April 2026 | 1 May 2026 | 1 May 2026 |
The Living Wage Foundation's Real Living Wage is calculated based on what people actually need to cover everyday costs — food, rent, transport, and bills. It is consistently higher than the government minimum, reflecting the reality that the NLW alone may not be enough for a comfortable standard of living in many parts of the UK.
Who Is Entitled to the National Living Wage?
Entitled to the National Living Wage
- ✅ All workers aged 21 and over
- ✅ Both full-time and part-time workers
- ✅ Agency workers
- ✅ Zero-hours contract workers
- ✅ Casual and seasonal workers
- ✅ Workers paid by piece rate or commission (must average at least NLW)
Not Entitled to the National Living Wage
- ❌ Self-employed people (freelancers, sole traders)
- ❌ Volunteers
- ❌ Company directors (unless they have a worker's contract)
- ❌ Family members living in the employer's home
How Much Did the National Living Wage Increase in 2026?
The April 2026 increase was recommended by the Low Pay Commission (LPC) — an independent body that advises the UK Government on minimum wage rates. The Government accepted the LPC's recommendations in full.
| New NLW rate | £12.71/hour |
| Previous rate | £12.21/hour |
| Increase | £0.50/hour (4.1%) |
| Annual earnings increase (full-time) | +£900/year |
| Effective date | 1 April 2026 |
History of the National Living Wage — How It Has Changed
| Year | National Living Wage | Age Threshold |
|---|---|---|
| 2016 | £7.20/hour | 25 and over |
| 2018 | £7.83/hour | 25 and over |
| 2020 | £8.72/hour | 25 and over |
| 2021 | £8.91/hour | 23 and over |
| 2023 | £10.42/hour | 23 and over |
| 2024 | £11.44/hour | 21 and over |
| 2025 | £12.21/hour | 21 and over |
| 2026 | £12.71/hour | 21 and over |
The NLW has more than doubled since it was introduced in 2016 at £7.20 per hour. The age threshold has also progressively lowered — from 25 in 2016 to 21 today — meaning more younger workers are entitled to the top rate.
What If Your Employer Is Not Paying the Minimum Wage?
Every employer in the UK is legally required to pay at least the National Minimum Wage or National Living Wage for your age group. If you believe you are being underpaid:
- 1Check your payslip — calculate your hourly rate (divide weekly pay by hours worked)
- 2Speak to your employer — this may be a genuine payroll error
- 3Contact HMRC — report underpayment at gov.uk/minimum-wage-underpayment. HMRC investigates complaints and can force employers to pay arrears
- 4Contact ACAS — for free employment rights advice at acas.org.uk
Employers found to be underpaying face fines of up to 200% of the arrears and can be publicly named by the government.
Calculate Your Take-Home Pay at the New Rate
Knowing your hourly rate is just the start. Use our free Salary Tax Calculator to see exactly what you take home after income tax and National Insurance.
- ✅ Enter your hourly rate or annual salary
- ✅ Calculate income tax and National Insurance for 2026/27
- ✅ Include student loan repayments (Plan 1, 2 or Postgraduate)
- ✅ Add pension contributions
- ✅ See monthly and annual take-home pay instantly
Frequently Asked Questions
What is the National Living Wage in 2026?
The National Living Wage is £12.71 per hour from 1 April 2026, for workers aged 21 and over. This is a 4.1% increase from the previous rate of £12.21.
What is the minimum wage for under 21s in 2026?
Workers aged 18–20 are entitled to £10.85 per hour. Workers aged 16–17 and apprentices in their first year are entitled to £8.00 per hour.
Is the National Living Wage the same as the Real Living Wage?
No. The National Living Wage (£12.71/hour) is the legal government minimum. The Real Living Wage (£13.45/hour) is a voluntary rate set by the Living Wage Foundation based on actual cost of living — it is higher and paid by over 16,000 accredited employers.
When did the 2026 minimum wage increase take effect?
The new rates took effect from 1 April 2026.
What is the London minimum wage in 2026?
There is no separate government minimum wage for London. However, the London Living Wage — set voluntarily by the Living Wage Foundation — is £14.80 per hour from May 2026, reflecting higher living costs in the capital.
How much is the National Living Wage per year?
Working full time at 37.5 hours per week, the National Living Wage of £12.71/hour equals approximately £24,785 per year before tax.
Can my employer pay me less than the minimum wage?
No. It is illegal for employers to pay below the National Minimum Wage or National Living Wage. You can report underpayment to HMRC at gov.uk/minimum-wage-underpayment.
Summary — UK Minimum Wage Rates April 2026
| Age Group | Hourly Rate | Annual (37.5hr week) |
|---|---|---|
| 21 and over (NLW) | £12.71 | £24,785 |
| 18–20 | £10.85 | £21,156 |
| 16–17 | £8.00 | £15,600 |
| Apprentice (year 1) | £8.00 | £15,600 |
| Real Living Wage | £13.45 | £26,228 |
| London Living Wage | £14.80 | £28,860 |
All rates are based on official UK Government and Low Pay Commission figures effective from 1 April 2026. Real Living Wage and London Living Wage figures from the Living Wage Foundation, effective May 2026. Always verify current rates at gov.uk/national-minimum-wage-rates.