Fact Service April 2016

Issue 14

Above-inflation rise for minimum wage


Younger workers will see their national minimum wage rate rise from 1 October 2016.


Workers aged 21 up to 25 will get a 3.7% increase from £6.70 an hour to £6.95 an hour.


The development rate for workers aged 18-20 will rise by 4.7% from £5.30 an hour to £5.55. 


The young workers rate for those aged 16-17 increases by 3.4% from £3.87 an hour to £4.00.


Apprentices under 19 or over 19 and in the first year of the apprenticeship will only get a 3.0% taking them to £3.40 an hour from £3.30.


These new rates will only apply until April 2017 when they will be uprated along with the National Living Wage — the statutory higher minimum wage for older workers, which was introduced this April and which is set at £7.20 an hour.


www.cipd.co.uk/hr-inform/employment-law/pay-benefits/national-minimum-wage