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National living wage

The UK government introduced a new minimum wage rate for all but the youngest workers, the national living wage, in 2016. Initially, it was for those aged 25 and over, but it is now for anyone aged 21 and over.

In 2024, the Labour government confirmed plans to apply the wage rate to all adults.

The national living wage (NLW) is compulsory and the Low Pay Commission (LPC) recommends future rises, maintaining it at two-thirds of median hourly earnings and, from 2025, taking into account the cost of living.

The national living wage is different to the Living Wage, a voluntary pay rate independently set by the Living Wage Foundation. The ‘real’ Living Wage is calculated according to the basic cost of living in the UK.


    • Adoption
    • National living wage
    • IR35

    April 2020 employment law changes: eight tasks for HR

    by Eleanor Gelder 6 Apr 2020
    by Eleanor Gelder 6 Apr 2020

    Each April, HR professionals must ensure that their organisation complies with the latest round of amended employment laws and deadlines....

    • National living wage
    • Coronavirus
    • Latest News

    ‘Emergency brake’ on minimum wage rises may be needed

    by Ashleigh Webber 1 Apr 2020
    by Ashleigh Webber 1 Apr 2020

    As the national living wage rate increases by more than 6%, the economic uncertainty posed by the coronavirus means the...

    • National living wage
    • Coronavirus
    • Latest News

    Delay increase to national living wage, says IFS

    by Jo Faragher 26 Mar 2020
    by Jo Faragher 26 Mar 2020

    The government should delay next month’s rise in the national living wage in order to protect jobs in the midst...

    • National living wage
    • NHS
    • Latest News

    Budget 2020: National living wage to hit 66% median earnings by 2024

    by Ashleigh Webber 11 Mar 2020
    by Ashleigh Webber 11 Mar 2020

    The Low Pay Commission has been tasked ensuring that the national living wage reaches two-thirds of median earnings by 2024....

    • National living wage
    • Latest News
    • Minimum wage

    Minimum wage underpayment arrears jump 50%

    by Rob Moss 20 Feb 2020
    by Rob Moss 20 Feb 2020

    HM Revenue & Customs’ policing of the national living wage and national minimum wage has identified a record amount of...

    • Benefits
    • National living wage
    • Childcare

    ‘Perverse’ minimum wage enforcement replaced by ‘proportionate’ approach

    by Rob Moss 11 Feb 2020
    by Rob Moss 11 Feb 2020

    The government has abandoned its previously “pedantic” regime.

    • National living wage
    • NHS
    • Dispute resolution

    Key London NHS trust to directly employ 1,000 services workers

    by Adam McCulloch 31 Jan 2020
    by Adam McCulloch 31 Jan 2020

    NHS trust moves to 'insource' 1,000 cleaners, porters and catering staff previously on minimum wage.

    • National living wage
    • Brexit
    • IR35

    2020 employment law: Eight action points for HR

    by Brightmine 8 Jan 2020
    by Brightmine 8 Jan 2020

    The new year begins with a new government, the prospect of Brexit and a number of employment law developments already...

    • National living wage
    • Latest News
    • Pay & benefits

    Tougher deterrents needed to end minimum wage underpayment

    by Ashleigh Webber 8 Jan 2020
    by Ashleigh Webber 8 Jan 2020

    Sanctions for failing to pay staff the national minimum wage are not tough enough and there needs to be a...

    • National living wage
    • Early careers
    • Latest News

    Employers cautious over steep 2020 minimum wage rises

    by Adam McCulloch 2 Jan 2020
    by Adam McCulloch 2 Jan 2020

    From the start of April low paid workers will benefit from a rise in the minimum wage that is four times the rate of inflation, in what the prime minister has called the “the biggest ever cash boost” to the legal pay floor.

    • National living wage
    • Latest News
    • Public sector

    Pay award levels increase to 2.8% in autumn months

    by Ashleigh Webber 21 Nov 2019
    by Ashleigh Webber 21 Nov 2019

    The average pay rise awarded to employees increased slightly in the three months to the end of October, according to...

    • National living wage
    • Early careers
    • Latest News

    Minimum wage pledges will benefit the wrong people

    by Rob Moss 15 Nov 2019
    by Rob Moss 15 Nov 2019

    Increases in the national minimum wage pledged in the general election could be a “gamble” and will inadvertently benefit middle-...

    • National living wage
    • Early careers
    • Latest News

    Younger workers: the political battle ahead on the minimum wage

    by Johnny Runge 6 Nov 2019
    by Johnny Runge 6 Nov 2019

    As younger workers' minimum wage rates look likely to increase, Johnny Runge examines the reality of how employers pay, for example, a 25-year-old versus a 24-year-old.

    • National living wage
    • Latest News
    • Pay & benefits

    Minimum wage rises will ‘not end low pay alone’

    by Ashleigh Webber 4 Nov 2019
    by Ashleigh Webber 4 Nov 2019

    Increases to national minimum wage rates should not be expected to “end” low pay and will need to be supported...

    • National living wage
    • Latest News
    • Political elections

    General election halts national minimum wage 2020 announcement

    by Brightmine 31 Oct 2019
    by Brightmine 31 Oct 2019

    The timing of the general election may present real problems for employers with a 1 January pay review date.
    In...

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Personnel Today
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