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| How much will the National Minimum Wage and National Living Wage rise by? | How much will the National Minimum Wage and National Living Wage rise by? |
| (about 13 hours later) | |
| The wages of three and a half million low-paid workers will increase by more than expected in April 2025. | The wages of three and a half million low-paid workers will increase by more than expected in April 2025. |
| The government has confirmed the National Living Wage paid to over-21s will go up by 6.7% while the National Minimum Wage for 18 to 20-year-olds will see a 16% increase. | The government has confirmed the National Living Wage paid to over-21s will go up by 6.7% while the National Minimum Wage for 18 to 20-year-olds will see a 16% increase. |
| Separately, almost half a million workers benefit from a higher hourly rate paid voluntarily by some UK businesses called the Real Living Wage, which is also going up. | Separately, almost half a million workers benefit from a higher hourly rate paid voluntarily by some UK businesses called the Real Living Wage, which is also going up. |
| What is the National Living Wage and how much is it? | What is the National Living Wage and how much is it? |
| Since 1 April, employees aged 21 and over have been entitled to the National Living Wage. Previously, you had to be 23 to qualify. | Since 1 April, employees aged 21 and over have been entitled to the National Living Wage. Previously, you had to be 23 to qualify. |
| It is currently worth £11.44 an hour, but will increase to £12.21 in April 2025. | It is currently worth £11.44 an hour, but will increase to £12.21 in April 2025. |
| The pay rates are set by the government every year on the advice of an independent group, the Low Pay Commission, external. | The pay rates are set by the government every year on the advice of an independent group, the Low Pay Commission, external. |
| It had recommended that the National Living Wage should be £12.10 in April 2025, a 5.8% rise, external. | It had recommended that the National Living Wage should be £12.10 in April 2025, a 5.8% rise, external. |
| However, the government has announced that the rate will go up by 6.7%. It says the increase is worth £1,400 a year for an eligible full-time worker. | |
| What is the National Minimum Wage and how much is it? | What is the National Minimum Wage and how much is it? |
| Younger employees - aged between 16 and 20, external - receive the National Minimum Wage. | Younger employees - aged between 16 and 20, external - receive the National Minimum Wage. |
| For 18, 19 and 20-year-olds, the National Minimum Wage is £8.60, but will go up to £10 an hour in April 2025. | |
| That is the largest rise on record, and is the first step towards meeting the government's target of having a single adult rate. | That is the largest rise on record, and is the first step towards meeting the government's target of having a single adult rate. |
| The government says the increase is worth £2,500 for an eligible full-time worker. | |
| For 16 and 17-year-olds, the National Minimum Wage is £6.40 an hour. The government has not yet confirmed what this rate will be in April 2025. | For 16 and 17-year-olds, the National Minimum Wage is £6.40 an hour. The government has not yet confirmed what this rate will be in April 2025. |
| The separate apprentice rate,, external which applies to eligible people under 19 - or those over 19 in the first year of an apprenticeship will rise from £6.40 to £7.55, an 18% increase. | The separate apprentice rate,, external which applies to eligible people under 19 - or those over 19 in the first year of an apprenticeship will rise from £6.40 to £7.55, an 18% increase. |
| What is an apprenticeship and how much are wages going up by? | |
| Who can't get the National Minimum Wage or National Living Wage? | Who can't get the National Minimum Wage or National Living Wage? |
| Those who don't qualify include: | Those who don't qualify include: |
| self-employed | self-employed |
| company directors | company directors |
| volunteers | volunteers |
| members of the armed forces | members of the armed forces |
| people living and working in a religious community | people living and working in a religious community |
| prisoners | prisoners |
| People with disabilities or in long-term unemployment who take part in government work programmes are paid fixed amounts at different stages of the scheme. | People with disabilities or in long-term unemployment who take part in government work programmes are paid fixed amounts at different stages of the scheme. |
| These are less than the equivalent National Minimum or Living rate. | These are less than the equivalent National Minimum or Living rate. |
| Do employers have to pay the National Minimum Wage and National Living Wage? | Do employers have to pay the National Minimum Wage and National Living Wage? |
| Yes, it is a criminal offence if employers fail to pay the correct National Minimum and Living Wages to their workers. | Yes, it is a criminal offence if employers fail to pay the correct National Minimum and Living Wages to their workers. |
| The rates apply to staff even if they are not paid by the hour. | The rates apply to staff even if they are not paid by the hour. |
| Calculator: Am I getting the right wage?, external | Calculator: Am I getting the right wage?, external |
| If you think you are being paid incorrectly, you can complain via the HMRC website, external. | If you think you are being paid incorrectly, you can complain via the HMRC website, external. |
| You can also get advice from workplace experts Acas, external. | You can also get advice from workplace experts Acas, external. |
| What happens if employers don't pay the right National Minimum Wage or National Living Wage? | What happens if employers don't pay the right National Minimum Wage or National Living Wage? |
| Any employer not paying the correct amount can be fined by HMRC. | Any employer not paying the correct amount can be fined by HMRC. |
| In June 2023, the previous government said that more than 200 firms had been fined a total of nearly £7m and told to reimburse 63,000 workers for failures over several years. | In June 2023, the previous government said that more than 200 firms had been fined a total of nearly £7m and told to reimburse 63,000 workers for failures over several years. |
| The companies included Marks and Spencer, Argos and Lloyds Pharmacy. | The companies included Marks and Spencer, Argos and Lloyds Pharmacy. |
| WH Smith was the worst offender, having failed to pay more than £1m to more than 17,600 workers. | WH Smith was the worst offender, having failed to pay more than £1m to more than 17,600 workers. |
| What is the Real Living Wage and how much is it? | What is the Real Living Wage and how much is it? |
| The Real Living Wage, external is an unofficial hourly rate of pay which is overseen by the Living Wage Foundation charity. | The Real Living Wage, external is an unofficial hourly rate of pay which is overseen by the Living Wage Foundation charity. |
| The rate is independently calculated by the Resolution Foundation think tank, external, and is overseen by the Living Wage Commission, external. | The rate is independently calculated by the Resolution Foundation think tank, external, and is overseen by the Living Wage Commission, external. |
| It is aimed at UK workers aged 18 and over, but is not a legal requirement, and businesses choose whether to pay it. | It is aimed at UK workers aged 18 and over, but is not a legal requirement, and businesses choose whether to pay it. |
| The charity says more than 475,000 employees working for 15,000 firms, external receive the Real Living Wage. | The charity says more than 475,000 employees working for 15,000 firms, external receive the Real Living Wage. |
| The rate for workers in London - the London Living Wage - is going up by 70p to £13.85 an hour. | The rate for workers in London - the London Living Wage - is going up by 70p to £13.85 an hour. |
| In the rest of the UK, a 60p increase will take the rate to £12.60. | In the rest of the UK, a 60p increase will take the rate to £12.60. |
| Employers must implement the new rates by 1 May 2025. | Employers must implement the new rates by 1 May 2025. |
| Announcing the new rates, the charity said the Real Living Wage was now worth over £2,262 more per year in the UK than the legal minimum pay - and over £4,700 more in London. | Announcing the new rates, the charity said the Real Living Wage was now worth over £2,262 more per year in the UK than the legal minimum pay - and over £4,700 more in London. |
| It says the scheme has delivered nearly £3.5bn in extra wages to low-paid workers since 2011. | It says the scheme has delivered nearly £3.5bn in extra wages to low-paid workers since 2011. |
| How does your pay compare with other jobs? | How does your pay compare with other jobs? |
| When were the National Minimum Wage and National Living Wage introduced? | When were the National Minimum Wage and National Living Wage introduced? |
| The National Minimum Wage came into force under the Labour government in 1999. | The National Minimum Wage came into force under the Labour government in 1999. |
| It started at £3.60 an hour for those 22 and older, and £3 for those aged 18 to 21. | It started at £3.60 an hour for those 22 and older, and £3 for those aged 18 to 21. |
| A new minimum wage rate for 16 to 17-year-olds was introduced in October 2004, and the apprentice rate began in October 2010. | A new minimum wage rate for 16 to 17-year-olds was introduced in October 2004, and the apprentice rate began in October 2010. |
| The National Living Wage for workers aged over 25 started in 2016. | The National Living Wage for workers aged over 25 started in 2016. |
| It was initially set at £7.20 an hour - 50p more than the National Minimum Wage. The qualifying age fell to 23 in 2021. | It was initially set at £7.20 an hour - 50p more than the National Minimum Wage. The qualifying age fell to 23 in 2021. |