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0113 246 1234

Employers need to get ready for rise in National Minimum Wage

From April 2023, the National Minimum wage (NMW) will increase by 92 pence per hour, or 9.7%, to £10.42. Those aged 21-22 will earn £10.18 per hour, an increase of £1, while 18–20-year-olds will receive £7.49 per hour, an increase of 66p. Apprentices and 16–17-year-olds will receive £5.28 per hour, a 47p increase. Currently, the NMW applies to those aged 23 and over, but the age was lowered from 25 in April 2021. These changes are expected to benefit around two million of the UK’s lowest-paid workers.

Employers who fail to pay the minimum wage can face penalties, including being required to pay the outstanding amount owed, fines of no less than £100 per affected employee or worker (up to £20,000), legal action, and potential public listing by the Department for Business, Energy, and Industrial Strategy (BEIS). If you are unsure of how these changes affect your workforce and existing employment practices, seeking professional advice is recommended. These changes are expected to benefit around two million of the UK’s lowest-paid workers.

The new rates are:

23 and over21 to 2218 to 20Under 18Apprentice
April 2022 (current rate)£9.50£9.18£6.83£4.81£4.81
April 2023£10.42£10.18£7.49£5.28£5.28

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