National Living Wage rises 3.9% to £13.21 an hour

What’s happening

The government accepted the Low Pay Commission’s recommendations in the October 28 Budget. From April 1, 2027, the National Living Wage for workers 21 and over rises 3.9% to £13.21 an hour (now £12.71), the 18 to 20 rate to £11.27 (now £10.85), and the 16 to 17 and apprentice rates to £8.31 (now £8.00). The Commission paused bringing the 18 to 20 rate into line with the adult rate this year. For a full-time worker on the National Living Wage, the raise is about £975 a year before tax.

What to do

Update payroll and pay-differential models at £13.21, and plan the weeks around the April payslip: tell people about the raise before it arrives, make saving the easy default, and brief managers for money conversations. Read: Your lowest-paid UK staff get a 3.9% raise in April. Will any of it reach their savings?

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