From 1 April 2016 all employers must ensure that workers over the age of 25 are being paid at least the National Living Wage of £7.20 per hour. To workers on minimum wage this will mean a wage increase of 50p per hour.
This is a legal requirement for all businesses and unless the employee is in the first year of an apprenticeship employers will have to make sure they are compliant.
The National Living Wage comes into effect for all over 25 year olds on 1 April but going forward will come into effect immediately when an employee turns 25.
The National Living Wage works alongside the National Minimum Wage it does not replace it. The Government has committed to reviewing and more than likely increasing the National Living Wage annually every April. The rates for the National Minimum Wage are generally updated from 1 October.
National Minimum Wage Rates from 1 October 2015
| Year | 21 and over (01/10/15 – 31/03/16 21 to 24 (01/04/16 – 30/09/16) | 18 to 20 | Under 18 | Apprentice* |
| 2015 -16 Rate | £6.70 | £5.30 | £3.87 | £3.30 |
