United Kingdom

UK National Living Wage 2025: £11.74 Rates and Employer Actions

• United Kingdom

UK National Living Wage 2025: £11.74

From April 2025 the UK National Living Wage rises to £11.74 per hour for workers aged 21 and over. Younger workers also benefit from increased youth and apprentice rates, affecting hospitality, retail, and care sectors most.

Rate Table (April 2025)

  • 21+: £11.74
  • 18–20: £9.05
  • 16–17: £7.29
  • Apprentice: £6.45

Employer Steps

  1. Audit payroll to ensure all hours, including training and standby time, meet new rates.
  2. Update employment contracts and communicate changes to staff early.
  3. Adjust budgets for increased National Insurance and pension contributions tied to higher wages.
  4. Plan for compliance inspections by HMRC and maintain accurate time records.

Employee Guidance

Check payslips after April 2025 to confirm correct rates. Combine the wage increase with tax code reviews and benefit claims (Universal Credit, council tax discounts) to maximise take-home pay.

Tip: Use our UK wage calculator to estimate weekly and monthly net pay at the new rate, factoring in student loan or pension contributions.

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