National Living Wage to rise in April 2026: how much more you’ll earn

The key facts you need

From April 2026, the National Living Wage and National Minimum Wage are going up.

The government says the rise will help around 2.7 million workers across the UK who are struggling with the cost of living.

The main rate, paid to workers aged 21 and over, will increase to £12.71 an hour. That’s a 4.1% jump.

A full-time worker on this rate will get about £900 a year extra in their pay packet.

Younger workers see bigger rises.

If you’re 18 to 20, your minimum wage goes up to £10.85, which could mean around £1,500 more a year for someone working full time.

For 16 and 17 year olds and apprentices, pay moves to £8 an hour.

The government says the rises are designed to help people who are finding it hard to make ends meet.

Prices for food, travel and rent have gone up faster than wages for years, so this is meant to close the gap a little.

How this rise affects your real pay

If you earn the National Living Wage, your employer must move you to the new rate from April. For many people, this means a small but useful lift in take-home pay.

Here’s the sort of difference it makes.

A full-time job at 35 hours a week on £12.71 an hour gives you about £23,146 a year before tax.

It won’t suddenly make life easy, but it does help cover rising travel costs, the food shop, or that gap between bills and payday.

If you’re curious how your new wage compares to others, you can check the average salary in the UK to see where you stand.

Youth Employment UK said the rise will give young workers “much needed financial relief” at a time when high living costs and low pay are major barriers to getting into work.

They also warned that some employers may feel the pressure of higher wage bills, so support in the Budget will be important for youth jobs and training.

While the minimum pay is up, it still doesn’t hit close to the real living wage, calculated by the Living Wage Foundation, at £13.45 for the UK and £14.80 for London.

Why this matters now

Millions of people on low pay have faced the toughest squeeze during the cost of living crisis. Basic things like food, heating and travel are still eating into wages faster than they used to.

If your food shop feels tighter than ever, this guide on how to stretch your food budget can help you make things go further.

Even small increases can help when your budget feels stretched from one end to the other.

The government has frozen rail fares, frozen prescription charges and updated the triple lock for pensioners.

Wage rises are the next piece of the puzzle, although they won’t fix the whole cost of living problem on their own.

If you receive Universal Credit or other in-work benefits, you may see your support change once your wages go up.

Most people still end up better off, but it’s worth checking your updated payments once the new rate kicks in.

What to check in April

Have a quick look at your first payslip after the change. If you’re paid hourly, make sure your rate shows the new figure.

If you’re salaried but paid at the minimum rate, your total pay must still work out correctly for the hours you work.

And if you’re under 21, your employer should move you up as soon as you hit your next age band.

If something doesn’t add up, you can report minimum wage issues to HMRC anonymously.

And if your wages still don’t stretch far enough, you might find some quick wins in ways to make extra money from home.

What happens next

The new rates are locked in for April 2026. The Budget may bring further updates that affect wages, tax or in-work costs. We’ll break those down as soon as they’re confirmed so you can see exactly how they affect your income.

If you want a clearer picture of where your money goes, our guide on how much it really costs to go to work breaks down the hidden daily expenses many people forget to factor in.

For now, this rise means a little more breathing room for millions of workers. It won’t change everything, but it helps take the pressure off when money already feels tight.