Changes to National Minimum Wage and National Living Wage

As of April 2018, there will be an uplift in the National Minimum Wage and National Living Wage. Here we will provide you with the latest information about the upcoming changes.

What are the National Minimum Wage and National Living Wage?

The National Minimum Wage (NMW) is the minimum hourly wage that a worker is entitled to in the United Kingdom. The NMW is reviewed by the government every year and these rates are advised by the independent body, Low Pay Commission.

The National Living Wage (NLW) is a mandatory minimum wage payable to workers aged over 25. It was first introduced in April 2016 by then Chancellor George Osborne with the aim to raise the wages of people aged over 25 to £9 an hour by 2020.

What changes are being made?

As of 1st April 2018, the National Minimum Wage and National Living Wage will be increased by 4% for workers both under and over the age of 25.

The new rates of pay, compared to last year’s minimum wage, are as follows:

  • 25 and over (NLW)
    • 2017 - £7.50
    • 2018 - £7.83
  • 21 to 24
    • 2017 - £7.05
    • 2018 - £7.38
  • 18 to 20
    • 2017 - £5.60 
    • 2018 - £5.90
  • Under 18
    • 2017 - £4.05
    • 2018 - £4.20
  • Apprentice
    • 2017 - £3.50
    • 2018 - £3.70

Why do we have the National Minimum Wage and National Living Wage?

The National Minimum Wage helps to achieve pay equality and reduce poverty. Having a mandatory minimum wage in place means that people in lower income roles receive better pay overall.

The National Living Wage was introduced to go one step further than the National Minimum Wage - benefiting companies, individuals and families alike. The NLW gives workers the ability to better provide for themselves and their families. 

XCL are a recruitment agency specialising in supplying candidates for the automotive, construction, engineering, office & commercial and production sectors.

Whether you have a vacancy you need to fill right now, or you have any questions about recruiting new staff for your business, call XCL on 01484 819900 (North) or 01275 390612 (South) or send us an email to info@xclgr.com.