New minimum wage rates from October


There will be rises of well above inflation in the National Minimum Wage (NMW) rates for younger workers from October 2016.


The adult rate (workers aged 21 to 24) goes up by 3.7% from £6.70 to £6.95 an hour, while the Youth Development Rate (those aged 18 to 20) goes up by 4.7% from £5.30 to £5.55. The 16-17 year-old rate goes up by 3.4% from £3.87 to £4.00; and the apprentice rate increases by 3% from £3.30 to £3.40.


The new 25+ National Living Wage (NLW) rate of £7.20, which comes into force in April, will remain unchanged in October when other rates increase. 


The Low Pay Commission published its recommendations in its 2016 Spring Report on the minimum wage on 14 March and the recommended rates were accepted by the government. 


The government confirmed it will be aligning the cycle of the NLW and NMW from April 2017, which means the Low Pay Commission will be making recommendations in the autumn on the level of all minimum wages. 


https://www.gov.uk/government/news/the-government-accepts-minimum-wage-rate-recommendations--2

https://www.gov.uk/government/publications/national-minimum-wage-low-pay-commission-report-2015