Largest increase to the minimum wage announced
The government has announced substantial increases to the national living wage (NLW) and national minimum wage (NMW) rates from 1 April 2024, and a key change for workers aged 21 and 22. What are the new rates going to be and what is the key change?
Accepting the recommendations of the Low Pay Commission in full, the government has confirmed that it will be increasing the NLW and NMW rates from 1 April 2024 as follows:
- the NLW rate will rise by 9.8% from £10.42 to £11.44 per hour - this rate currently applies to workers aged 23 and over but it will be extended to also apply to 21 and 22 year olds from 1 April 2024
- the NMW rate for workers aged 18 to 20 will rise by 14.8% from £7.49 to £8.60 per hour
- the NMW rate for workers aged 16 and 17 will rise by 21.2% from £5.28 to £6.40 per hour
- the NMW rate for apprentices aged under 19, or those aged 19 and over but in the first year of their apprenticeship, will rise by 21.2% from £5.28 to £6.40 per hour
- the daily offset for the provision of living accommodation to a worker will rise by 9.8% from £9.10 to £9.99 per day.
Related Topics
-
Don’t overlook the partial exemption annual adjustment
As VAT year ends approach for many businesses, HMRC’s guidance highlights the need to carry out the partial exemption annual adjustment. This is often overlooked but can have a direct impact on recoverable VAT. What do you need to check?
-
MONTHLY FOCUS: USING YOUR COMPANY TO DIVERT INCOME TO FAMILY MEMBERS
Operating a business through a limited company is less tax-efficient than it used to be. However, it can still be a very useful way of diverting income to other family members. In this Monthly Focus, we look at the methods, and associated considerations, involved in doing this.
-
HMRC updates guidance on information notices
HMRC has updated its Compliance Handbook guidance on the use of information notices, with changes made on 18 March 2026. The revisions clarify how HMRC should request information during enquiries and place greater emphasis on proportionality. What does this mean in practice?
This website uses both its own and third-party cookies to analyze our services and navigation on our website in order to improve its contents (analytical purposes: measure visits and sources of web traffic). The legal basis is the consent of the user, except in the case of basic cookies, which are essential to navigate this website.