The UK Government has announced an increase in the National Living Wage and National Minimum Wage rates which will come into force from April 2021.
It should be particularly noted that employees who are 23 or older will be entitled to receive the National Living Wage which will increase by 2.2% from £8.72 to £8.91 per hour as a minimum.
The National Minimum Wage bandings have been amended in light of the fact that those aged 23 or older are now to be entitled to the National Living Wage. The adjusted bandings from April 2021 are as follows:
· For those aged 23 or older, from £8.72 to £8.91 per hour
· For those aged 21 or 22, from £8.20 to £8.36 per hour
· For those aged 18, 19 or 20, from £6.45 to £6.56 per hour
· For those aged 16 or 17, from £4.55 to £4.62 per hour
· For apprentices*, from £4.15 to £4.30 per hour
*Apprentices are entitled to receive the apprentice rate if they are either aged under 19 or aged 19 or over and in the first year of their apprenticeship.