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Blog  »  March 2017  »  Minimum wage rates to increase from 1 April - Blog
Mar 17

Posted by
Lauren Conway

Minimum wage rates to increase from 1 April

On the 1st of April there will be an increase in the National Minimum Wage and the National Living Wage across the UK. From this April all national minimum wage rates including the national living wage will be uprated at the same time. Here we have a look at each new increase:

National Living Wage rate:

  • 25 and Over: £7.50 from £7.20

National Minimum Wage rates:

  • 21 - 24 Years: £7.05 from £6.95
  • 18 - 20 Years: £5.60 from £5.55
  • Under 18: £4.05 from £4.00


  • £3.50 for those under 19 or those in the first year of their apprenticeship. Apprentices over 19 or who have completed the first year of their apprenticeship are entitled to the minimum wage rate for their age.

Penalties and non-compliance

It is extremely important for employers to keep up-to-date employee records to ensure that you are complying with the new rates of pay as employees have a birthday and move from one rate to another. The consequence of non-compliance, even unintentional but rather an administrative error, may be significant for your company. Penalties can be up to 200% of arrears (halved if employers pay within 14 days) up to a maximum penalty of £20,000 per worker.

Government Name and Shame

Even worse than that, you do not want your company to be named and shamed by the government for not paying the correct minimum and national wage rate. Since the government scheme was introduced in 2013 over 400 employers have been named and shamed for underpaying their staff by over £1,179,000 with total penalties of over £511,000. Read more about it in our blog here.

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