Minimum Wage increases announced

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Posted on 21 Nov 2022

Minimum Wage increases announced

The Minimum Wage is to be increased

The Government has announced Minimum Wage increases of between 9.7% and 10.9%. The increases will take effect from 1 April next year. 

The National Living Wage, paid to those aged 23 and over, will increase to £10.42 an hour (up from £9.50). This is the largest increase to the National Living Wage since it was introduced in 2016. The Government accepted the Low Pay Commission’s recommendations which aim to ensure that the National Living Wage reaches the Government’s target of two-thirds of median earnings by 2024. 

The Government also confirmed increases in the National Minimum Wage as follows: 

  • The rate for 21 and 22-year-olds will go up by £1 to £10.18 per hour, narrowing the gap with the National Living Wage. It is intended that this age group will receive the full National Living Wage by 2024. 
  • The rate for 18 to 20-year-olds will increase to £7.49 (from £6.83), with the apprentice rate and the rate for 16 and 17-year-olds going up to £5.28 (from £4.81). 

The accommodation offset, an allowable deduction from wages for accommodation, will increase to £9.10 per day, up from £8.70

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