What is National Minimum Wage?
The UK minimum wage is the lowest hourly rate an employer can legally pay a worker, and it is split into bands. Since 1 April 2026, according to GOV.UK, the National Living Wage for workers aged 21 and over is £12.71 an hour, the rate for workers aged 18 to 20 is £10.85, and the rate for under 18s and for apprentices is £8.00. Together these are usually called the National Minimum Wage rates, and the higher adult band carries the name National Living Wage. The rates change on 1 April every year, so the figures above are for the 2026 to 2027 year and the 2025 to 2026 figures no longer apply.
The apprentice rate is not for every apprentice for the whole apprenticeship. It applies to apprentices under 19, and to apprentices aged 19 or over during the first year of their apprenticeship. After that, the apprentice is entitled to the rate for their age band. Employers who get this wrong are one of the most common causes of underpayment findings.
Minimum wage applies to almost all workers, not only employees on permanent contracts. Part-time workers, casual and agency workers, and many pieceworkers are covered. What counts as pay for the test is not simply the headline salary: it is total pay in the pay reference period divided by the hours worked, after certain deductions and payments are taken into account. Deductions for things that benefit the employer, and some payments for uniforms or tools, can push an hourly rate below the minimum even when the contract states a higher figure.
The employer is responsible for checking each worker against the correct band every pay period and again on each birthday that moves the worker into a higher age band. Payroll should keep records that show hours worked and pay for each period, because HMRC enforces the minimum wage and can ask to see them. An employer who underpays must repay arrears at current rates and can face financial penalties, and the government publishes the names of employers who have breached the rules.
In practice
A payroll team runs a check every April when the new rates start, and again whenever an employee has a birthday. Take a 20-year-old paid £10.50 an hour: that was above the 18 to 20 band before April 2026, but it is below the £10.85 rate from 1 April 2026, so the hourly rate must be raised from the first pay period that starts on or after that date. If the same person turns 21 mid-year they move to the National Living Wage band of £12.71 an hour from their birthday, and the payroll system needs their date of birth to catch it. Salaried staff need the same test: divide the pay for the period by the hours actually worked, including unpaid overtime, and confirm the result meets the band. Keep the working papers, since a compliance check can look back several years.
Frequently asked questions
What is the minimum wage in the UK?
From 1 April 2026 the National Living Wage for workers aged 21 and over is £12.71 an hour, according to GOV.UK. Younger workers and apprentices have lower bands: £10.85 for ages 18 to 20 and £8.00 for under 18s and apprentices.
What is the National Minimum Wage for England?
The same rates apply in England, Scotland, Wales and Northern Ireland. The National Minimum Wage is set for the whole of the UK, so there is no separate English rate.
When does the National Minimum Wage change?
The rates change every year on 1 April. Employers should update pay for the new rates from the first pay period that begins on or after that date.
Who counts as an apprentice for the apprentice rate?
The apprentice rate applies to apprentices aged under 19, and to apprentices aged 19 or over in the first year of their apprenticeship. After the first year, a 19 or over apprentice is paid the rate for their age.
What happens if an employer pays less than the minimum wage?
The employer must repay the arrears at current rates and can be fined. The government can also name employers who have underpaid their workers.