UK 2022 Wage Increases

UK 2022 Wage Increases

As of today (Friday 1st April 2022) the national living wage and the minimum wage has increased for all workers across the UK.

The Difference between the two:

While the term “minimum wage” is commonly used, the National Minimum Wage only applies to those above the age of 16 but under the age of 23.

Under a system that was implemented earlier this year, everybody aged 23 and up now receives the National Living Wage.

The National Living Wage was established in April 2016, but only for persons aged 25 and over for the first five years, with a separate minimum wage for those aged 21 to 22.

Here’s how the current UK minimum wage system works:

  • National Living Wage (people aged 23 or over): £8.91 an hour
  • Minimum wage for 21 to 22-year-olds: £8.36 an hour
  • Minimum wage for 18 to 20-year-olds: £6.56 an hour
  • Minimum wage for under-18s: £4.62 an hour
  • Apprentice minimum wage: £4.30 an hour
 Rate from April 2022Current rate (April 2021 to March 2022)Increase
National Living Wage£9.50£8.916.6%
21-22 Year Old Rate£9.18£8.369.8%
18-20 Year Old Rate£6.83£6.564.1%
16-17 Year Old Rate£4.81£4.624.1%
Apprentice Rate£4.81£4.3011.9%
Accommodation Offset£8.70£8.364.1%

How will these wage changes effect you or your business? Will these new figures help you in the current cost of living crisis as we see many businesses across a wide range of industries in the UK raise prices for their products/services?

Let us know your thoughts!

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