National Living Wage

National Living Wage rises 4% today, United Kingdom

Published: 16:57, April 1, 2017

The National Living Wage rises from £7.20 to £7.50 per hour. This means that workers aged 25+ on minimum pay in the UK will get a 4% pay hike today.

A low-paid full-time worker aged 25+ will see his or her annual income increase by nearly £600. However, groups representing businesses have warned that many commercial enterprises may have to raise prices to cover the additional labour cost.

The incomes of the rest of the British labour force are failing to keep up with cost of living increases.

National Living WageIf you are 25+ years of age you should be receiving the National Living Wage. If you are under 25 you should be getting the National Minimum Wage. (Image: checkyourpay.campaign.gov.uk)

CheckYourPay.Campaign.gov.uk has the following information on its homepage:

“If you are a worker aged 25 and over, and not in your first year of an apprenticeship, you are legally entitled to at least the National Living Wage. Until 31 March 2017, this is set at £7.20 per hour. From 1 April 2017, it will go up to £7.50 per hour.”

“If you currently earn less than £7.50 per hour, you should automatically see an increase in your pay after 1 April 2017. It is illegal for your employer to pay you below the National Living Wage, so check your pay and talk to your manager to make sure you’re getting what you are entitled to.”



National Living Wage

The National Living Wage, which applies to workers in Britain aged 25 or more, came into force exactly one year ago today. On April 1st, 2016, over two million British workers saw their hourly pay rate rise significantly.

Workers aged from 21 to 24 years, as well as apprentices, are entitled to at least the National Minimum Wage, which started in 1999. The National Minimum Wage goes up by 5p or 10p per hour – depending on the employee’s age.

National Minimum Wage UKBefore 1999, there was no national minimum wage in the United Kingdom. (Image: adapted from checkyourpay.campaign.gov.uk)

While those on the National Living Wage got a 4% hike today, 21 to 24-year-old National Minimum Wage earners will receive a rise of only 1.4%, while their 18-to-20-year-old counterparts will get a meager 1% increase. However, the National Minimum Wage did rise considerably in October 2016.

National Living Wage and business costs

When the National Minimum Wage and the National Living Wage were first introduced, Britain’s business community voiced concerns that the additional costs would result in higher unemployment.



However, a 2016 Report by the Low Pay Commission found ‘no clear evidence’ of higher minimum wages adversely affecting employment.

In fact, some sectors with a high percentage of low-paid employees – including horticulture, cleaning and retail – reported significant rises in employment.

Not being paid enough?

If you think you are not being paid the right amount, the British Government says you should talk to you manager. “If you have been underpaid, your employer owes you back pay. Make sure you get what you’re owed,” it adds.

For those who feel uncomfortable talking to their manager, there is an Acas helpline – a) Telephone: 0300 123 1100. b) Acas online helpline – for confidential support and advice.

National Living Wage by 2020The aim is to have a National Living Wage of at least £9.00 per hour by the end of this decade.

Acas provides confidential advice, free of charge, to employers, workers, and their representatives on employment rights, policies, and best practices.

The helpline has a translation service for more than 100 languages (also free of charge).

Video – National Living Wage

In this Financial Times video, which was published one year ago, Sarah O’Connor assesses the impact of the National Living Wage on low-paid workers and their employers in the cleaning and hotel sectors.

Veronica Salvador Avatar

Other News

A bank tested AI customer twins for marketing, with mixed lessons for businesses

Nov 15, 2026

What makes a product vintage, and why the distinction matters to retailers

Nov 15, 2026

EU business social media use rises, but a gap remains by company size

Nov 15, 2026

Why startups may benefit from testing locally before expanding abroad

Nov 14, 2026

Novel product ideas can be harder to try but more rewarding afterward

Nov 14, 2026

What is in an online cart can influence whether shoppers check out

Nov 14, 2026

Subscription plans can miss customers who would save money, Lyft research finds

Nov 14, 2026

Workers with worse shifts than their colleagues were more likely to leave, restaurant study finds

Nov 14, 2026

More product options do not always reach more customers, cosmetics study finds

Nov 14, 2026

EU household spending grew in 2025 as communication purchases led gains

Nov 13, 2026

Ad experiments can help predict which campaigns drive additional sales

Nov 13, 2026

Browser choice screens lifted Firefox usage in Europe, researchers find

Nov 13, 2026

Online product rankings can cut shipping costs without reducing sales, experiment finds

Nov 13, 2026

Large companies lead EU service exports, but smaller firms dominate in some markets

Nov 13, 2026

Cart reminder timing is linked to different shopper responses

Nov 12, 2026

AI labels changed how consumers judged food images in three experiments

Nov 12, 2026

Shared AI tools were linked to higher sales for small online sellers

Nov 12, 2026

An image ad people like may not be the one they remember

Nov 12, 2026

Upfront rental prices changed competition as nightly rates rose in a study

Nov 12, 2026

Showing payment options earlier can influence online purchase decisions

Nov 11, 2026