What’s Minimum Wage UK? £12.71 Rates by Age 2026

If you’ve ever stared at a payslip and wondered whether you’re earning enough, you’re not alone. Millions of UK workers track minimum wage changes closely, and April 2026 brought one of the largest increases in years. Whether you’re a new starter, a manager checking compliance, or just trying to benchmark your own salary, the figures matter. Here’s everything you need to know, pulled from official government sources.

National Living Wage (21+): £12.71 per hour ·
18-20 rate: £10.85 per hour ·
16-17 and apprentice rate: £8.00 per hour ·
Full-time annual (21+, 37.5 hrs/wk): £24,784.50 ·
Next rise estimate: April 2027

What is the UK’s minimum wage per hour?

The UK statutory minimum wage is split into four bands based on age and apprenticeship status. From 1 April 2026, the National Living Wage for workers aged 21 and over is £12.71 per hour, according to the GOV.UK announcement on minimum wage rates. This is the primary rate most adult workers will reference.

Current rates by age group

Workers aged 18 to 20 earn £10.85 per hour, which is set at 85% of the National Living Wage. The youngest eligible workers—those aged 16 or 17—receive £8.00 per hour, as do apprentices in their first year or under 19. These rates are identical: the law does not distinguish between a school-leaver and an apprentice in their first year at the same age.

National Living Wage vs National Minimum Wage

The terms often confuse people. “National Living Wage” applies specifically to workers aged 21 and over—it was extended from the 23+ threshold in April 2024. “National Minimum Wage” is the umbrella term covering all age bands. In practice, most employers and workers use the two terms interchangeably for the 21+ rate. No employer is exempt from paying the statutory minimum, as confirmed by the Check Your Pay campaign run by the UK Government.

What will be the minimum wage in the UK in 2026?

April 2026 IS the current rate. The National Living Wage rose to £12.71 per hour on 1 April 2026, up from £12.21 the previous year—a 4.1% increase. The 18-20 band saw a sharper jump of 8.5%, or £0.85 per hour. These figures come directly from the official government publication.

Annual salary projections

For someone working full time (37.5 hours a week), that amounts to £24,784.50 a year before tax. After tax and National Insurance, a single worker on the National Living Wage takes home roughly £20,500 annually—depending on personal allowance and tax code.

What salary is 13.50 an hour?

At 37.5 hours per week, a £13.50 hourly rate translates to approximately £26,325 gross annually. That’s higher than the current National Living Wage but in the ballpark of what some employers are beginning to offer as competitive entry-level salaries in cities like London and Manchester. The figure matters because it often appears in job adverts as a “real living wage” benchmark above the statutory minimum.

Monthly and yearly equivalents

• Weekly (37.5 hrs): £506.25
• Monthly gross: £2,193.75
• Annual gross: £26,325.00
• After basic tax (single, no allowances): ~£21,100 take-home

Tax implications overview

Both the National Living Wage and anything above it are subject to Income Tax and National Insurance once earnings cross the personal allowance threshold (£12,570 for 2025/26). The effective marginal tax rate for minimum wage earners re-entering higher pay bands sits at 32%, combining basic rate income tax (20%) and employee National Insurance (8%). This matters for anyone benchmarking whether a raise or a new job actually improves take-home pay meaningfully.

Is 25k a good salary in the UK?

A £25,000 annual salary sits almost exactly at the full-time National Living Wage level (£24,785). At 37.5 hours per week, someone earning £25k gross is technically earning above the minimum—but only just. The question of whether it’s “good” depends heavily on location and household situation.

Compared to minimum wage

Someone on the full-time National Living Wage earns £24,785 gross. A £25,000 salary represents a premium of just £215 above that baseline—roughly 0.87% more. In real terms, after tax and National Insurance, the gap narrows further to under £150 net per year. For context, the real living wage (set by the Resolution Foundation independently of government) sits at £13.15 per hour in London and £12.00 elsewhere, which would put a full-time worker above £23,400 annually.

Regional living costs

In London, £25k is well below the living wage threshold. Outside London, particularly in lower-cost regions of the North East, Wales, or parts of Scotland, £25k can cover basic living expenses—but leaves little margin for savings or emergencies. Housing costs dominate: a one-bedroom flat outside London averages £600–£800 per month in most cities, consuming 30–40% of a £25k gross salary before bills.

Is 30k a good salary in the UK?

A £30,000 salary is above the NLW but still entry-level in high-cost areas. After tax and National Insurance, a single worker on £30k takes home approximately £23,100 per year—roughly £1,925 per month. That puts it above the minimum but below the average UK salary, which sits around £35,000–£40,000 depending on the source.

After-tax take-home

The jump from £25k to £30k adds roughly £259 net per month—meaningful for anyone renting, repaying student loans, or supporting dependents. At £50,000, a single earner can comfortably afford private renting in most UK cities outside London and build meaningful savings, though mortgage affordability in the current interest rate environment requires careful budgeting.

Vs 50k and other benchmarks

The £50k threshold is where financial breathing room expands considerably. It exceeds the UK median by a meaningful margin and puts workers in a position to save, invest in a pension beyond minimum contributions, and access better mortgage deals. However, in London, even £50k faces significant pressure from housing costs, with a typical mortgage on a median-priced flat requiring household incomes well above £100,000 in some boroughs.

For someone working full time (37.5 hours a week), that amounts to £24,784.50 a year before tax.

— Yerty minimum wage guide

The National Living Wage has increased from £11.44 in April 2024 to £12.71 in April 2026—an increase of over 11% in two years. The 18-to-20 rate has grown from £8.60 in April 2024 to £10.85 from April 2026, a jump of over 26% in the same period. Before April 2024, the National Living Wage applied to workers aged 23 and over, with a separate rate of £10.18 for 21-to-22-year-olds. Before April 2021, the threshold was 25 years old.

The Low Pay Commission, a government advisory body, makes recommendations on minimum wage rates to ministers each year. Their analysis informed the April 2026 decision, which prioritised larger percentage increases for younger workers to begin closing the age gap—a policy direction the government has confirmed it intends to continue.

Related reading: Life in the UK Test Questions – Free 2026 Practice Tests

The projected £12.71 hourly rate for those 21 and over aligns with broader updates in the 2026 rates explained, covering changes for younger workers too.

Frequently asked questions