National Living Wage set to rise again in April

Amidst the hullabaloo of policy and legislation that dominates UK politics at the moment, it’s easy to forget about the annual increases to the National Living and National Minimum Wages. But it’s important that you take note, with nearly 3 million people set to experience an increase in gross pay.

The changes come into force on April 1st. That’s five days before the new tax year and the introduction of the IR35 rule changes. In anticipation of this busy period of regulatory change, the new Chancellor, Rishi Sunak, will deliver his inaugural Budget announcement on March 11th.

So, what’s changing?

  • As of April 1st 2020, the National Living Wage (NLW) will go from £8.21 per hour to £8.72ph for over-25s. That’s a growth of 6.2%.
  • For younger workers, aged between 21 & 24, it’s a 6.5% increase in the National Minimum Wage (NMW) from £7.70ph to £8.20ph.
  • Full-time workers will get an annual pay increase of up to £930.
  • The NMW will reach £6.45 for 18-20 year olds, £4.55 for those under the age of 18, and £4.15 for Apprentices.

‘Biggest ever cash boost to NLW’

The changes follow recommendations from the Low Pay Commission. They consulted stakeholders including unions, academics and businesses, before recommending the NLW and NMW rates to the Government.
Speaking ahead of the changes, Boris Johnson claimed his Government was aiming to “level up access to opportunity” for people across the UK. “For too long, people haven’t seen the pay rises they deserve,” he said.

The Prime Minister hopes these increases serve to counter that by introducing the “biggest ever cash boost to the National Living Wage.”

To keep up-to-speed with next month’s Budget announcement, be sure to keep an eye across our channels. And, for more on the forthcoming changes to the rules for off-payroll working in the private sector, check out our exclusive IR35 hub.

Blog written by
Sam Wright
Marketing Manager at

Sam Wright is Danbro’s Marketing Manager. He produces regular content and feature articles on our digital and non-digital channels – and social platforms – for the Danbro Group and its subsidiaries, as well as having responsibility for the Company’s internal and external communications.

His background is in Journalism and Creative Writing, having previously contributed to publications such as The Daily Post, The Lancashire Evening Post, and The Blackpool Gazette.

He is a keen swimmer and avid Manchester United fan (but don’t hold that against him), and he lives in Lancashire with his wife, Sarah.

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